New Delhi, 02 April (H.S.):

In the midst of the ongoing war in West Asia, the Central government has announced a significant relief measure for industries that depend on petrochemical products as major raw materials. Under the move, the government has declared a complete removal of customs duty on 40 key petrochemical products for the next three months.

The objective is to shield the Indian manufacturing sector from the sharp price rise in raw materials triggered by the conflict‑driven supply‑chain disruptions.

Amid the war between the United States, Israel and Iran, this step is expected to benefit a wide range of industries, including pharmaceuticals, auto components, plastics, textiles, packaging and chemical manufacturing. With customs duty scrapped, the production cost for these sectors is likely to come down, and consumers may get some relief from the inflationary pressure.

According to the information provided, custom duty has been fully removed until 30 June on several crucial industrial raw materials such as acetic acid, epoxy resin, purified terephthalic acid, methanol, phenol, toluene, anhydrous ammonia, ethylene polymers and various grades of formaldehyde.

This relief comes at a time when geopolitical tensions in West Asia have reached a peak. The strain is beginning to affect the global availability of vital petrochemical feedstocks. The fighting between the U.S. and Israel on one side and Iran on the other has already disturbed global supply chains, leading to a sharp jump in prices of key intermediates. By removing customs duty, the government aims to ensure uninterrupted and affordable supply of critical raw materials for Indian industries.

Officials have clarified that the purpose of this customs‑duty exemption is to sustain supply and to curb further price hikes along the value chain. The Centre also hopes that downstream manufacturers will be able to maintain price stability for end consumers, as reduced input costs may lessen the need to pass on higher prices.

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Hindusthan Samachar / Jun Sarkar