Antidumping duty likely on ofloxacin imports from China

The government may impose anti- dumping duty on imports of an antibiotic from China as it has initiated a probe into below-cost shipments into the country.
The Directorate General of Anti-Dumping and Allied Duties (DGAD), under the Commerce Ministry, has started the anti-dumping investigation concerning imports of "Ofloxacin" originating in or exported from China.
The DGAD has prima facie found "sufficient evidence" of dumping of the chemical. Aarti Drugs Ltd has filed a complaint over dumping of the drug from China.
The authority has initiated "an investigation into the alleged dumping, and consequent injury to the domestic industry...To determine the existence, degree and effect of alleged dumping and to recommend the amount of anti dumping duty, which if levied, would be adequate to remove the 'injury' to the domestic industry," the DGAD said in a notification.

Ofloxacin is used to treat certain infections including bronchitis, pneumonia, and infections of the skin, bladder, urinary tract, reproductive organs, and prostate gland.
The period of investigation is July 2015 to June 2016 (12 months). However, it would also cover the periods between April 2013- March 2016.

While DGAD recommends the duty to be levied, the Finance Ministry notifies 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 multilateral 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.

India has initiated maximum anti-dumping cases against 'below-cost' imports from China.