New Delhi, January 16^th, 2025: In a discussion on the challenges faced by India’s aluminium sector, a panel of senior bureaucrats, industry experts, and journalists called for urgent policy intervention to safeguard domestic producers and attract more investment. The panel proposed raising import duties on primary and downstream aluminium products to 10% and imposing a 7.5% duty on aluminium scrap, in keeping with the approach adopted towards other key non-ferrous metals such as zinc, tin and lead. These measures are seen as critical for mitigating the surge in imports, which currently account for 56% of domestic demand, and addressing the growing threat of India becoming a dumping ground for low-quality aluminium. With import dependency on rise, the panel warned of severe consequences for the country’s economic self-reliance and sustainability goals.

Speaking at the webinar, Advancing Aluminium for Atmanirbhar Bharat: Key Imperatives, organized by Bureaucrats India, the panelists provided incisive recommendations:

Dr. Jayadev Sarangi, IAS (retd), Formerly Secretary- Govt of Delhi / Goa: “India’s aluminium sector is at a critical juncture. Despite having one of the world’s most integrated aluminium value chains, our reliance on imports and scrap, projected to rise to 66% by FY2025, poses a severe threat to economic self-reliance and Net Zero ambitions. Strategic reforms such as higher duties up to 10% on imports and 7.5% on scrap are imperative to protect domestic manufacturers from unfair competition and sustain our global competitiveness.”

Mr. Binod K Singh, IRS, Formerly Addnl. Commissioner, Govt of India: “The aluminium sector is the backbone of critical industries like infrastructure, renewable energy, defence, and electric vehicles. Its significance goes beyond production, with over 8 lakh jobs created and 4,000 SMEs supported in downstream industries. Flooding our market with low-quality and carbon-intensive aluminium not only impedes domestic growth and investments but also threatens key national projects such as Bharatmala and the 500 GW renewable energy target for 2030. Without raising duties on imports by 10% and scrap by 7.5% among other policy interventions, we risk undermining our progress.”

Mr. Deba R Mohanty, Vice President at Society for the Study of Peace and Conflict: “Aluminium is central to national security and economic growth. Boosting domestic production is indispensable for meeting rising demand, projected to reach 9–10 MTPA by 2030, and for fostering defence self-reliance. By implementing higher duties on scrap imports, we can not only secure our industrial future but also support India’s transition to a circular economy.”

The panelists collectively urged the government to adopt these strategic policy changes to combat unfair trade practices, strengthen domestic production, and align the aluminium sector with the vision of Atmanirbhar Bharat.