What is Safeguard Duty ?

Safeguard Duty:

• The safeguard duty is tariff barrier imposed by government on the commodities to ensure that imports in excessive quantities do not harm the domestic industry.
• It is mainly temporary measure undertaken by government in defence of the domestic industry which is harmed or has potential threat getting hared due to sudden cheap surge in imports.
• The duty will be on the products which are imported at or above the minimum import price (MIP), which helps to set a floor price mainly to discourage imports below this price.
• The main intention of this move is to protect domestic industry from onslaught of cheap steel supplies (imports) from China amid a global glut.