Capital goods makers decry steel ministry’s new move

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Steel

KOLKATA: Capital goods makers have decried the steel ministry’s move against allowing stainless steel end users and producers ‘sufficient time’ to get BIS licenses for implementation of Stainless Steel Products Quality Control Order.

“Why were stainless steel global producers not given 15 months to get the BIS License which is minimum period required by producers and the end users of stainless steel products to align their imports with BIS certification,” V P Ramachandran, secretary general, Process Plant and MachineryBSE 0.00 % Association of India (PPMAI), an apex body of capital goods producers said.

Department of Industrial Policy and Promotion (DIPP) and Department of Heavy Industries (DHI) had earlier requested Ministry of Steel to give extension of at least 15 months for implementation of Stainless Steel Products Quality Control Order, similar to the extension given to carbon steel global producers earlier to get Bureau of India Standards (BIS ) license, giving sufficient time to foreign producers to align their imports into India with Indian standards

He said the discrimination has put roadblocks in the ease of doing business by the capital goods producers in the country.”The adhoc decision of steel ministry ignoring the requests by DIPP and DHI has put the capital goods sector in difficult situation,” Ramachandran said in a statement released by PPMAI on Friday.

“Capital Goods sector had submitted a list of grades which are not covered by the BIS standards but for strange reasons the steel ministry did not notify all those grades for exemptions. What is shocking is that exemption notification from steel ministry was done arbitrarily and many non standard grades which do not conform to any international or BIS standards were included in the exemption list,” he added.

The Stainless Steel Products (Quality Control) Order 2016 was issued on June 10, 2016, covering three stainless steel products. This order was scheduled to be enforced after 3 months of publication, ie September 10, 2016. However on receipt of several representations, date of enforcement was extended by total 180 days from the date of the original order (in effect, three months extension), which postponed the implementation date till December 7, 2016. Following this, on December 6, 2017, the government granted extension of two months for the implementation of Stainless Steel Products (Quality Control) Order.