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The move to waive import duties on some key raw materials and intermediaries needed for production of steel is expected to help in moderating steel prices in the domestic market, besides reducing inflation, said Uday Narang, Founder and Chairman of Omega Seiki Mobility.

Also, this initiative by the Centre will boost demand for the automotive industry, he said.

Omega Seiki Mobility is an end-to-end mobility solutions provider which is revolutionising the electric vehicle industry in India.

"The ongoing surge in the price point of raw material for steel has been one of the biggest challenges for the already reeling automotive industry in the past few years," Narang said,adding that it will further enhance the Indian automotive industry's competitiveness in the global market.

During the weekend the government waived customs duty on the import of some raw materials, including coking coal and ferronickel, used by the steel industry.

Further, to increase domestic availability, the duty on exports of iron ore has been hiked up to 50 per cent, and a few steel intermediaries to 15 per cent.

Also, the duty on import of raw materials used in the plastic industry has also been reduced to lower the cost of domestic manufacturing.