Indian solar module manufacturers finding it difficult to sustain biz: Waaree CMD

• There will be no duty barriers for imports of solar modules from the date of Safeguard Duty expiry to the date of implementation of Basic Customs Duty while duties on import of raw materials will continue to exist, Hitesh Doshi has pointed out

• For Indian solar module manufacturers to expand their capacities, they need to sustain, which looks difficult at the moment, he added

New Delhi: Waaree Group Chairman and Managing Director Hitesh Doshi has said that Indian manufacturers of solar modules are going through a tough time because the import duty imposed by the government on raw materials and the cost of shipping have made the situation extremely unviable to continue manufacturing in the country. In an official statement released by the company, Doshi said that sustenance has become difficult in this scenario for Indian solar module manufacturers.

"For Indian solar module manufacturers to expand their capacities, they need to sustain, which looks difficult at the moment. There will be no duty barriers for imports of solar modules from the date of Safeguard Duty expiry to the date of implementation of Basic Customs Duty while duties on import of raw materials will continue to exist," Doshi said.

9-month period will cripple domestic manufacturers: Doshi

The Waaree Solar CMD added the nine-month period, when there will be no duty barrier on import of solar modules but duties on import of raw materials will exit, will have a crippling effect on domestic manufacturers which may also lead to a shutdown of units in India and risk 3,00,000 jobs. "So, till the BCD comes into force some steps need to be implemented to aid the sustenance of domestic manufacturers," Doshi said.

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Mumbai-based Waaree is the largest solar PV module manufacturer in India. The company also provides solar energy solutions employing over 2,500 people globally. It owns the largest solar panel module manufacturing facility in India with a capacity of 2,000 Megawatt.

Doshi welcomes PLI scheme announcement

The Waaree Solar CMD said the government's latest announcement on Production Linked Incentive (PLI) scheme is a welcome step. One of the objectives of the scheme is to boost domestic manufacturing of high efficiency indigenous PV solar modules to reduce reliance on imports and generate employment opportunities.

However, Doshi added that in order to completely wean off dependence on imports, the allocated fund for PLI Scheme is "quite meagre" and capacities expected to be generated with this amount will be very less, and sanctioning of more funds will allow the manufacturers to set up additional units.

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