Antidumping duty: FinMin considering DGAD view on solar cells

Finance Ministry is considering the suggestions of Director General of Antidumping and Allied Duties to impose duty on imports of solar cells, Parliament was informed today.

DGAD has stated in its findings that solar cells, modules or panels have been exported to India from China, Taipei, Malaysia and USA below the normal value, resulting in the dumping of the product.

The domestic industry has suffered material injury due to the dumping.

DGAD has recommended imposition of anti-dumping duties ranging from $0.11 per watt to $0.81 per watt on the imports of the product from these countries.

The recommendations of the "designated authority (DGAD) are under the consideration of the Ministry of Finance," Commerce and Industry Nirmala Sitharaman said in a written reply to the Rajya Sabha.

Countries initiate anti-dumping probes to check if the domestic industry has been hurt because of a surge in below- cost imports.

As a counter-measure, they impose duties under the multilateral WTO regime.

Replying to another question, Sitharaman said Brazil, Columbia, Australia and the EU have raised the issue of incentives provided by India to the sugar sector at the meetings of the Committee on Agriculture of the WTO held in March and June.

"India has been questioned in the WTO's Committee on Agriculture but no penal action has been initiated," she said.

India has explained that the aim of the incentive was to facilitate payments of outstanding arrears to farmers by the sugar mills and product diversification by incentivising raw sugar production.

In an another reply on trade between India and China through Nathu La border in Sikkim, the minister said that during May and July 16, the total trade stood at Rs 1.96 crore. It was Rs 8.92 crore in May 2013 and November 2013.

The main import items through the border include wool, goat skins, yak tails, china clay and butter. Exports include blankets, copper, dry fruits, vegetables, tobacco and shoes.

In an another reply on evaluation of free trade agreements (FTAs), she said: "As per preferential import data available, the extent of utilisation of FTAs by the exporters of the trading partner countries is low".

Amidst concerns raised by industry on impact of FTAs on domestic manufacturing, the Commerce Ministry has said it is undertaking a comprehensive analysis of free trade agreements which India has implemented with its trading partners.

India has implemented FTAs with countries like Japan, South Korea, Malaysia and the Asean region.