Commerce Ministry’s investigation arm DGAD has refused to impose anti-dumping duty on polyester staple fibre from China, Indonesia, Malaysia and Thailand, saying that its imports are “not solely responsible” for causing material injury to the domestic industry. The recommendation of the Directorate General of Anti-dumping and Allied Duties (DGAD) followed its probe into an alleged dumping of the fibre from these four nations. Alok Industries, Indo Rama Synthetics (India) and Bombay Dyeing had filed an application for the probe. DGAD in a notification has said that “imposition of antidumping duty is not warranted in the present investigation. Therefore, the authority considers it appropriate to recommend termination of investigation…” In the conclusion of the final findings of the investigation, it said that although the fibre has been exported to India from these four countries at dumped prices but the same are “not solely responsible for causing material injury to the domestic industry”.
The authority had initiated the probe on the basis of sufficient evidence submitted by the applicants. Countries carry out anti-dumping probe to determine whether their domestic industries have been hurt because of a surge in below-cost imports. As a counter measure, they impose duties under the multilateral regime of WTO.
The duty is also aimed at ensuring fair trading practises and creating a level-playing field for domestic producers with regard to foreign producers and exporters. India has already imposed anti-dumping duty on several products to check below-cost imports from countries including China.