Slashing import duty on copper scrap will reduce hidden environmental and socio-economic cost
The decision of cutting down import duty on copper scrap from 5 to 2.5 per cent can yield multifolds benefits in terms of environmental, social and economic aspects.
The announcement of reducing import duty on copper scrap in Union Budget 2021-22 has been perceived as one of the laudable policy measures towards promoting the recycling of metal and increasing the usability of mineral resources.
Apart from boosting eco-friendly practises without any loss to property, recycling of the metal will also indirectly impact the socio economic conditions of the communities inhabiting the mineral rich in terms of employment generation.As most of the mines lay in the interior regions of the state, the process of metal extraction causes disruption to the dwellers and becomes the cause of conflicts between authorities and people.
By utilising copper scrap, domestic companies can improve competitiveness and profitability as reusability of metal is economically viable, hence industries will have an edge in export. Reduced import dependence for critical minerals will help to improve the country’s trade balance and promote economic stability
Innovation in the recycling process has an immense role in manufacturing and has the potential to create highly skilled jobs which can benefit the domestic industries in developing a strong footing in the export market.
Metal extraction activities often lead to environmental degradation and it is high time stakeholder thought about the reduced extraction pressures by adopting innovative recycling measures to curb the pollution associated with mining.
