Govt may extend anti-dumping duty on Chinese chemical

Government may further extend anti-dumping duty on imports of a chemical used in the making of products like soaps and cosmetics, from China to protect the domestic industry from cheap in-bound shipments.
In the final findings of the sunset review, the Directorate General of Anti-dumping and Allied Duties (DGAD), has concluded that 'coumarin' has been exported to India from China at the below-normal value during the period of investigation despite the anti-dumping duty in force.
The period of investigation was April 2013 to September 2014.
DGAD has recommended that "continued imposition" of the anti-dumping duty is required to offset the likelihood of dumping and injury to the domestic industry.

It has proposed an anti-dumping duty of USD 14.02 per kg on imports of coumarin from China.
"The authority recommends continuation of definitive anti-dumping duty on all imports," it said in a notification.

While DGAD, which is under the commerce ministry, recommends the duty, the finance ministry imposes it within three months of the recommendation.
India had imposed the restrictive duty on coumarin for the first time in August 2010 for five years.
Last year, Aims Impex Pvt Ltd had filed an application before the authority alleging likelihood of continuation or recurrence of dumping of the chemical, originating in or exported from China and requested for review, continuation and enhancement of the duty.

Countries initiate anti-dumping probes to check if their domestic industries have been hurt because of a surge in below-cost imports. As a counter measure, they impose duties within the multilateral regime of WTO.
Anti-dumping measures are taken to ensure fair trade and provide a level-playing field to the domestic industry. It is not a measure to restrict imports or cause an unjustified increase in the cost of products.