Gujarat demands waiver of custom duty on ship breaking

Gujarat Finance Minister Nitinbhai Patel on Wednesday strongly demanded that Government of India should consider waiver of custom duty on import of ships being brought for breaking and bring it at par with import of melting scrap.

Speaking at the pre-budget meeting convened by Union Finance Minister P Chidambaram, Patel also urged the Union government to extend 90 per cent assistance for Desert Development programme (DDP) areas at par with Drought Prone Area Programme (DPAP) areas, for all projects under the Accelerated Irrigation Benefit Programme (AIBP).

Patel was of the opinion that the current economic scenario needed a strong vision for sustained growth. Financial self reliance of the various states needed to be strengthened so that they continue to contribute to India’s GDP.

Taking the issue of reduction of custom duty from 5 per cent to zero on import for ship breaking, Patel strongly demanded that Government of India should consider waiver of custom duty on import of ships and bring it at par with import of melting scrap.