Unrestricted Newsprint imports to hamper local producers

Newsprint producers in India is reeling under import onslaught from third parties. Currently, in India, direct users like newspapers can import newsprint duty free. However, third party users are using ambiguity clauses in import policy and import duty which is hampering the industry. The demand for newsprint in India is around 2.7 million tonnes of which the local producers can meet upto 2.0 million tonnes. The rest of the needs are met by imports. However, unrestricted and unscrupulous imports will cause the paper mills to run at 60% capacity utilization resulting in loss and evident closure. The industry is already facing issues with raw material availability. India do not export newsprint to other countries.