At present, the duty on magnesia is 5 per cent and on alumina 10 per cent.
The scarce availability of these raw materials is forcing the industry to import from other countries, which is raising input costs, Sameer Nagpal, Head Advocacy, IRMA said.
"Refractory is one of the key equipment used in steel making. Not just steel, refractories are also used by glass makers, aluminum, cement players etc and all these industries are growing in India. But raw materials availability to make one of the key equipment remains an issue," he said.
Import of raw materials like alumina and magnesia from China increases the input cost, Nagpal said.
He further said that minerals used to make refractory are also available in India and the government can explore the areas and auction the mines to the players. This will reduce the dependence on imports and reduce the input cost as well, Nagpal said.
"We are trying our best to produce refractories of global standards in India and have potential to cater to the needs of steel and aluminium industries. Recently, Centre of Excellence for Refractories joined hands with IIT-BHU's Advance Research Centre for Iron and Steel to develop advance technologies to cater to the needs of domestic steel industry," he said.
This will help Indian refractory makers to catch up with the global players and reduce dependence on imports, he added.
The domestic refractory industry recognises that steel industry requires positive ecosystem to step up its production capabilities in view of the new steel policy, Nagpal said.
IRMA is the apex body of refractory makers engaged in promoting use of domestically manufactured refractory. The body represents more than 90 refractory companies operating in India and over the years has become a credible voice of refractory industry in India.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)