95% Safeguard Duty On Imported Solar Cells, Proposed

Indian Solar Manufacturers Association (ISMA) has demanded imposition of 95 per cent safeguard duty on imports of solar cells and modules to protect domestic players from cheap inbound shipments.

According to the ISMA data submitted to the Directorate General of Trade Remedies (DGTR), the injury from solar imports is to the tune of 95 per cent and therefore ISMA sought the proportionate safeguard duty on the solar equipment imports.

The ISMA in its submission has stated that India is missing out on a multi-billion opportunity for the country by allowing import of inputs from countries such as China, Taiwan and Malaysia.

India is estimated to add capacity of 9,000 MW solar power in 2018. This means India will give away market opportunity worth Rs 21,500 crore to China, Taiwan or Malaysia at the cost of interests and employment of national capital and labour.

However, according to Solar Power Developer Association, the imposition of safeguard duty can jeopardise India’s ambitious target of having 100 GW by 2022 as it would directly impact 25 GW capacity which either tendered or being tendered.