In the light of escalating crude oil prices, the government of India is considering imposition of duties and regulating exports of petrochemical products like polymers (PE, PP, PVC and others). In an attempt to combat inflation, a meeting is being planned between the leading representatives of the petrochemical industries and the Finance Ministry. The key points to be discussed include the price related issues of the petrochemical sector and the industry's opinion on the expected curtailment of exports. With the corresponding rise in crude oil and petroleum products, imported polymers have become cheaper. The domestic plastic industry has raised a demand for being allowed cheaper imports - an issue that the government wants to address.
The government has taken several steps previously to contain prices in segments like steel, cement and cotton and thereby, may well consider curtailing of petrochem exports.