India's new naphtha import tax unlikely to alter product flows

摘要

Singapore - A 5% import tax to be levied on naphtha imports by polymer producers in India from April 1 is unlikely to dramatically change flows of the product into and out of the country,industry sources said this week.The reinstatement of the tax,which was scrapped only two years ago,prompted protests from some petrochemical players soon after Finance Minister P.Chidambaram announced it as part of his 2008-09 budget plan February 29.Speaking at a petrochemicals conference in Mumbai the following week,Minister of Chemicals and Fertilizers Ram Vilas Paswan vowed to take up the issue with the finance minister,seeking a reduction in the tax.