Govt may impose anti-dumping duty on chemical from 5 countries.

India may impose anti-dumping duty of up to $168.76 per tonne on imports of a chemical, mainly used in textile and packaging industry, from five countries including China and Iran to protect domestic players.

MCC PTA India Corp and Reliance Industries Ltd (RIL) had jointly filed an application seeking anti-dumping investigations.

In its final findings, the Directorate General of Anti-Dumping and Allied Duties (DGAD), under the ministry, has found that ‘Purified Terephthalic Acid’ has been exported to India from China, Iran, Indonesia, Malaysia and Taiwan below its normal value which has resulted in dumping.

The DGAD said that it considers it necessary to impose the duty on the imports.

“The authority recommends imposition of anti-dumping duty…so as to remove the injury to the domestic industry,” it said in a notification.

It has recommended an anti-dumping duty in the range of $83.08 per tonne to $168.76 per tonne on the imports.

While DGAD recommends the duty, the Finance Ministry imposes it.

Countries initiate anti-dumping probes to determine if the domestic industry has been hurt by a surge in below-cost imports. As a counter-measure, they impose duties under the multi-lateral WTO regime.

Anti-dumping measures are taken to ensure fair trade and provide a level-playing field to the domestic industry. They are not a measure to restrict imports or cause an unjustified increase in cost of products.

Source : financialexpress.com