India initiates probe into alleged dumping of low-density polyethylene from 6 countries

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October 26, 2020 5:38 PM

India has started a probe into the alleged dumping of low-density polyethylene from six countries, including Singapore and the US, following a complaint by an industry association.

"Logistics cost is an important aspect of determining the viability of any business. Benefits of volume and efficiency should also accrue to small players and not only the big ones," she added.The association has requested for the imposition of anti-dumping duty on the import, it said.

India has started a probe into the alleged dumping of low-density polyethylene from six countries, including Singapore and the US, following a complaint by an industry association. Chemicals and Petrochemicals Manufacturers Association on behalf of the domestic industry has filed an application before the commerce ministry’s investigation arm DGTR for initiation of an anti-dumping investigation on imports of ‘low-density polyethylene (LDPE)’ from Qatar, Saudi Arabia, Singapore, Thailand, United Arab Emirates and the US.

The applicant has alleged that the domestic industry has impacted due to dumped imports of LDPE from these countries, according to a notification of the Directorate General of Trade Remedies (DGTR). The association has requested for the imposition of anti-dumping duty on the import, it said. “On the basis of the duly substantiated written application by or on behalf of the domestic industry, and having satisfied itself, on the basis of the prima facie evidence submitted, about dumping of the subject goods…the authority, hereby, initiates an investigation,” it added.

In the probe, DGTR will determine the existence, degree and effect of alleged dumping on domestic manufacturers.
If it is established that the dumping has impacted the domestic industry, the directorate would recommend imposition of anti-dumping duty. The finance ministry will take the final decision on imposing these duties. DGTR is an investigation arm of the commerce ministry, which probes the dumping of goods, a significant increase in imports and subsidised imports from India’s trade partners.

Global trade rules, framed by Geneva-based World Trade Organisation (WTO), allow these initiatives to guard the domestic industry against these anti-trade practices. Countries carry out an anti-dumping probe to determine whether their domestic industries have been hurt because of a surge in cheap imports.

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