Waaree welcomes proposed Basic Customs Duty on solar modules & cells
Solar modules manufacturers Waaree Energies considers the recently proposed Basic Customs Duty on solar modules and cells with effect from 1st April 2022 as another step towards the upliftment of the sector. While appreciating the move Dr. Hitesh Doshi, Chairman, Waaree Group said, “We appreciate the Government’s move to impose 40% Basic Customs Duty on solar modules and 25% on cells, this shall provide a level playing field to the Indian manufacturers. The duty will create adequate opportunities for expansion for the domestic manufacturers while also allowing newer players to enter the market.”
The country has witnessed over 80% solar modules requirements which have been fulfilled via imports till now. If this is shifted to India, it will give an impetus to the Government’s vision of making India self- dependent, Dr. Doshi observed. It is expected that the introduction of any new industry brings with it the growth of all ancillaries, services and other supporting industries.
He also pinpointed some concerns about the solar manufacturing sector in the country. He said, “For all the solar module manufacturers in India, we see a short term yet huge challenge to continue our business for next one year, Safeguard Duty which is expiring in June. There will be no barriers for imports of solar modules. Due to import duties on raw materials and other cost differences Indian manufacturers will be not able to compete-with the imports. In such a scenario from the date of SGD expiry to the date of implementation of BCD, Indian manufacturers will not have any business and we will see a huge surge in imports.”
“There is also the risk of loss of 20 thousand direct jobs and over 2 lakhs indirect jobs. There shall be a huge financial crunch and operations shall be affected of Indian module manufacturers,” Dr. Doshi adds.