Indian government may reduce customs duty for shipbuilders.

Mumbai: The ministry of shipping, road transport and highways has approached the Indian government with a request for a reduction in the 37% customs duty currently applicable to shipbuilding equipment imported by Indian shipbuilders. A ministry official said "Around 70-80% of the equipment for shipbuilding and ship repair is imported, since it is not available locally. Our thrust for the coming budget is on making the shipping sector globally competitive. Given the growing demand for ships and vessels to meet increasing trade volumes, we have asked the ministry of finance to consider either lowering the duties on imported machinery or do away with it altogether."  [11/12/06]