During April-December 2019-20, the country's crude and manufactured fertiliser imports grew by 8.47 per cent to USD 6.2 billion.
The commerce ministry has suggested its finance counterpart to rationalise basic customs duty on over 300 items to boost domestic manufacturing and cut in the rising import bill.
It has proposed removal of import duty on products like waste paper, and wood pulp which is currently 10 per cent and 5 per cent, respectively.
In 2018-19, the country imports rose by about 9 per cent to $507.44 billion.
Finance minister Nirmala Sitharaman will present the Union Budget for 2020-21 on February 1.