New Delhi, Mar 4: The glazed ceramic tile industry has condemned the excise duty rationalisation in the Budget proposals.According to the industry, the finance minister has laid major stress on the housing sector both in his speech and proposals, but has surprisingly handed out a raw deal to the ceramic tile manufacturers - reducing the duty from the existing 25 per cent to 24 per cent.
The industry has said that it expects a sympathetic and sincere consideration from the finance minister to shift the same from demerit list to the central category list as all the other products used as building materials like paints, marble, asbestos and cement are categorised in the central category products.
Ceramic glazed tile manufacturers in the organised sector have to face competition from small scale industry, which is exempted from payment of excise duty upto permissible limits.
The Indian market for ceramic tiles is extremely cost conscious and it is unfortunate that a certain arbitrariness in respect ofexcise tariff has crept in and has made the ceramic tile industry suffer for want of realistic appreciation of its use and potential including exports, said industry sources.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.