he details of investment made and incentives given to steel industry during the Eleventh Five Year Plan in the country especially in Andhra Pradesh?
he details of investment made and incentives given to steel industry during the Eleventh Five Year Plan in the country especially in Andhra Pradesh?
MINISTER OF THE STATE IN THE MINISTRY OF STEEL (SHRI A. SAI PRATHAP)
Steel is a deregulated sector and the Government does not directly make investments in the steel industry.
However, a Gross Budgetary Support (GBS) of Rs.118.00 crore has been provided for promotion of Research
and Development (R&D) in the Iron and Steel Sector during the Eleventh Five Year Plan. Government implements
various fiscal measures in the form of duties and taxes, from time to time with an overall view to regulate
economy and boost the industry. However, on the aftermath of global economic slowdown the following economic
stimulus measures were initiated by the Government during October 2008 to February 2009:
(i) Export Duty on steel items (except melting scrap) withdrawn with effect from 31.10.2008;
(ii) Duty Entitled Pass Book (DEPB) on steel items restored with effect from 14.11.2008;
(iii) Import Duty on iron and non-alloy steel items re-imposed at 5% with effect from 18.11.2008;
(iv) Central Value Added Tax (CENVAT) on steel items reduced to 8% with effect from 24.02.2009; and
(v) Countervailing duty (CVD) on Thermo Mechanically Treated (TMT) bars and structurals were reintroduced
with effect from 02.01.2009.