Question : PAPER RECYCLING MILLS



(a) whether the Government are aware that paper recycling mills in the country are facing a crisis;

(b) if so, the details thereof; and

(c) the steps being taken by the Government to bail out the paper recycling mills?

Answer given by the minister

THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (DR. RAMAN SINGH)

(a) to (c) : Paper Industry is delicensed subject to locational policy. Of the total domestic production of paper, about 39.2% is based on wood, 32.4% is bagasse based and 28.4% is based on waste paper. Incentives for paper mills adopting recycling and using non-conventional raw material are already available in the form of concessional excise duty and customs duty. Paper & paperboard produced by using 75% and above non-conventional raw material has been exempted from payment of excise duty upto 1st clearance of 3500 MT per annum. Import of waste paper by paper mills is allowed at a concessional rate of 5% basic customs duty.