India to frame stringent policies to curb aluminium and copper imports, especially from China: Sources

According to a recent report, India is planning to raise surveillance and develop policies that would curb aluminium and copper shipments from China and other Asian nations and protect domestic producers. The news came after two government sources and an industry official familiar with the matter reported.

These moves for the more stringent screening of imports are aimed at reducing dependence on overseas markets and pushing economic self-reliance, according to the federal mines ministry’s letter to the commerce ministry late last month.

Government sources said the aim of tighter surveillance would be to move aluminium and copper imports onto a restricted items list, which would require importers to get a government-issued license for every shipment.

However, India’s federal mines and commerce ministries made no response to the requests for comments.

B.K. Bhatia, joint secretary general at Federation of Indian Mineral Industries (FIMI), said China is a huge threat to India’s aluminium industry.

Industry data showed that since April 2020, about 58 per cent of India’s aluminium demand was met by scrap imports, at prices 22 per cent cheaper than domestic primary aluminium.

During 2019-20, India imported around $4.4 billion worth of aluminium. China was the biggest supplier, shipping aluminium worth over $ 1 billion.

India has now increased its trade and investment barriers against China firms following the deadly clash in June along the disputed Himalayan border.

Note to readers: AlCircle brings two-day event for aluminium industry players. We look forward to meeting you virtually at “Global Aluminium Expo 2020”on October 6-7, 2020. For registration, visit www.alcircleevents.com