Prices of milled steel bar, hot rolled and cold rolled coil have once again shot up by Rs 3,500, Rs 1,300 and Rs 3,000 per tonne respectively after the raise in the sales tax in the federal budget.
The disturbing element in the entire story is that the steel importers have unanimously decided not to pay a single penny on account of steel import sale tax, it was learnt on Wednesday.
Sources said that the market movers have once again decided to keep steel prices high and out of the consumers'' reach. This is the second raise in the steel prices after the announcement of budget in the last three days.
Earlier, on Monday steel prices soared in the range of Rs 140-Rs 2,750 per tonne to all time high after the sales tax was raised from 15 percent to 20 percent in the federal budget 2007-08.
Imported steel products have become costlier after the imposition of one-percent surcharge on imports and five-percent increase in sales tax on iron and steel products, traders said. After the current upsurge in the steel prices, trading in the domestic market has come to a grinding halt.
Comments
Comments are closed for this article.