India Industrial policy and DIPP may pave the way of import fireworks form China
The business standard newspaper in India reported on April 22, during April 7th -16th, the fireworks industry center broke out the strike in Sivakasi Tamil nadu India, Because of industrial policy and DIPP recently announced the notice of the fireworks user fees which is growth spurt to explosives manufacture charges, another reason is that the government is unable to control import fireworks from China.
Soon afterward the industry and Commerce ministry invited the industry representatives have the meeting, DIPP is agreed to carry out old law temporarily, the state of Tamil nadu fireworks Amorces manufacturers association (TANFAMA) announced that will end to protest against DIPP temporary .
DIPP stipulated in the announced notice on Mar. 20th. that the annual fee of 200 or more tons storage fireworks increase from 1,5000 to 400,000 rupees, almost 25times than before, and the annual fee increase to 6,6000 rupees for the storage below 200 tons. The notification of DIPP was declared that the different kinds of Fireworks is levied different purpose tax. In addition, India <explosive rules> stipulated that anyone import, storage or sell foreign country’s fireworks will be punished. the PESO for Petroleum and explosive still haven’t issued the import approval of napalm bomb, but the fee from the notice is include import license fee of 7classes of explosive for fireworks, so people concerned about that the policy will therefore changed. Actually, the PESO and NAGPUR office have the new position of handing import and export explosive an fireworks application, the fireworks manufacture industry worried about it. Tanfama indicated that, all the behavior clearly showed DIPP pave the way of import fireworks form China.
It was reported that India imported fireworks for 300,000,000 rupees from China last year, most are the fireworks. It is said that the import maybe increased double because the retailer placed more orders this year. However the ministry of the interior in India
wrote to state governments last year, indicated that the unaccustomed fireworks from China included the potassium chlorate which forbidden by India, and it is very dangerous. On the other side, the fireworks price is cheaper in China that is caused impact to
India fireworks industry.
The fireworks production accounted for 80% of the country in Sivakasi and Virudhunagar, the employee about 300,000 people. The fireworks industry have 30,000,000,000 rupees of annual value that is regard as labor concentrated industry, the safety and
fire risk seriously, hired child laborer suffering denounce in the past. the fireworks industry began realize modernization,installed safety equipment, used safety technique in these years. But the extra cost that caused by the notification make the enterprise faced additional financial pressure.