Home Economy Govt announces tax sops for steel, aviation sectors

Govt announces tax sops for steel, aviation sectors


New Delhi : Concerned over the slump and resultant decline in prices of iron and steel, the government on Friday announced major incentives for the industry and also scrapped the customs duty on aviation fuel.

While the government has withdrawn export duty on items such as pig iron, iron and steel ingots, bars and rods, it has abolished 5 per cent customs duty on aviation turbine fuel (ATF), a finance ministry statement said.

With a view to improve the export competitiveness of the mining industry and also for protecting interests of employees engaged in the sector, the government replaced the 15 per cent ad valorem export duty on fines with a specific duty of Rs 200 per tonne.

However, the export duty on iron ore lumps remains unchanged at 15 per cent, it said.