The President of Ukraine approved the import of metal scrap without payment of duty

The President of Ukraine Petro Poroshenko has signed a law that provides for the withdrawal of five percent duty rate on imported to Ukraine scrap metal. The law prescribes a number of amendments in the law on Customs tariffs. The news was published on the official website of the Verkhovna Rada.

The fourth of July, deputies adopted a corresponding decision. For changes to the law «On Customs tariff of Ukraine» voted the people’s choice 221.

But already the twelfth of October, he was signed by the head of the Verkhovna Rada of Ukraine Andrey probIem. As was mentioned above, the law provides for the complete elimination of the five percent duty rate on imported black metal.

The reason for the elimination of duty rates on imports of metaloloma in Ukraine, became the country’s external deficit on exhaust black metal product.

According to the head of the Committee on industry, the abolition of duty rates was the second item in the package about the support of the mining and metallurgical complex (MMC) of Ukraine.

«We have previously been accepted as strategically important to the economic stability of the state, a decision on raising prices for the export of Ukrainian scrap metal. The abolition of duties on the importation of scrap metal is another important step in this direction," — commented on the news by one of the authors of the law.

Also, earlier, the Ukrainian authorities took the decision to cancel the registration of contracts for export of scrap metal. This legislative act entered into force, the fifth of October of this year.

Recall, from January to August 2016 Ukraine imported about ten thousand tons of metal raw materials. In 2015, for the same reporting period, the number of imported scrap was only two thousand tons.

The reason for the deficit on the Ukrainian market of scrap metal was an embargo on Russian goods.

Before the abolition of duty rates on imports of scrap, all imported scrap was originally from Turkey and Slovakia. The zero duty will lead in the domestic scrap market in Ukraine the new company. The authorities hope to attract more of the goods, in particular European manufacturers. Thus, the government plans to increase the production capacity of the Ukrainian steel industry. And to ensure an uninterrupted supply of raw materials for local producers.

Ukrainian metallurgists, it is hoped that such measures would not result in an influx on the local market of substandard goods.