Reduction of import duty by 33% (i.e from 15% to 10.2%) on non-alloy steel is an unfortunate step as this is the only core sector industry which has been singled out for such treatment. We hope the Government will not hesitate to take care of the industry when it is hit by an adverse cycle which was the case as seen in the last 5 years.

The increase in excise duty on steel will fuel inflationary trend especially in the projects and construction segment where steel is not modvatable.

The positive feature is the emphasis on agriculture infrastructure, rural irrigation which could have a multiplier effect for increased steel consumption.