Government rejects petrochem makers’ proposal for duty differential

23-Jul-09

Petrochem makers in India have been canvassing for a duty differential between naphtha and polymers. But the Government has reiterated that there was no duty inversion when customs duty on naphtha, and that of polymers were kept at same level of 5%. The government contends that when naphtha is processed, a lot many products are generated other than polymers, due to which question of inversion is not applicable since the revenues generated take care of 5% duty on naphtha.