Borosil Renewables to benefit from import duties levied by the Govt

Borosil Renewables said that the government's recent decision to impose a countervailing duty and a basic customs duty on certain import items will benefit the company.

The Ministry of Finance (MOE), Government of India, has imposed a countervailing duty ranging from 9.71% to 10.14 of cost, insurance, and freight (CIF) value for a period of 5 years, on imports of textured tempered coated or uncoated solar glass from Malaysia or of which origin is in Malaysia and exported from some other country or of which origin is some other country and exported from Malaysia.

As such, this is likely to have a positive impact on Borosil Renewables, as the company is a manufacturer of solar glass.

Further, the Ministry of New & Renewable Energy (MNRE), Government of India, has conveyed that the Ministry of Finance has agreed to impose basic customs duty (BCD) of 40% on solar photovoltaic (PV) modules or panels and 25% on solar PV cells with effect from 1 April 2022.

Since solar glass is used in the manufacture of solar PV modules or panels, this is likely to have positive impact on solar glass demand, which may also benefit the company as it is the manufacturer of solar glass.

Borosil Renewables is engaged in the business of manufacturing of extra clear patterned glass and low iron solar glass for application in photovoltaic panels, flat plate collectors and green houses.

The company reported a standalone net profit of Rs 10.58 crore in Q3 FY21 as compared to a net loss of Rs 0.87 crore in Q3 FY20. Net sales during the quarter increased by 86.39% to Rs 140.13 crore.

The scrip jumped 4.21% to end at Rs 273.80 on the BSE yesterday. In the past three months, the stock has surged 106.02% while the benchmark Sensex has added 11.57% during the same period.

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