Corrugated makers plea on Excise Duty
Chennai, Mar 3 (UNI) Federation of Corrugated Box Manufacturers(FCBM) of India today urged the Centre to rationalise Central Excise structure on their products to prevent the closure of thousands of small-scale units involved in the manufacture of corrugated boxes.
Addressing a press conference here, FCBM President Manohar Shetty said some consumer goods were fully exempted from Excise duties in the Union Budget.
In a few cases, the Excise Duty was reduced from 16 to eight per cent. Even big paper mills will be paying only eight to 12 per cent as against the 16 per cent earlier.
He said corrugated box manufacturers were now facing grim future in the backdrop of Excise Duty hike from eight to 16 per cent on corrugated boards, boxes and other materials.
South India Corrugated Box Manufacturers Association President Lalit Lath said as import duty was reduced to 12.5 per cent in the Budget, many big customers were exploring the possibility of importing finished corrugated boxes from neighbouring countries like Sri Lanka and Malaysia where kraft paper is cheaper, sounding the death knell for the industry.
Under the circumstances, they appealed to the Centre to grant immediate relief for the industry by withdrawing Excise Duty hike on corrugated boards and boxes among others.
UNI RV GM 1546