Protecting Indian Business

But when taking safeguards or anti-dumping action, India will have to observe those rules as well which don't quite suit Indian producers. This is probably inadequately appreciated by trade and industry. For instance, Indian businessmen need to understand that dumping per se is not illegal under the WTO and no action can be taken against the mere act of dumping. They have to prove that the dumping has led to injury to them. In fact, both dumping and injury have to be proved before action can be taken. But, because of the tightening up of rules, proving injury is not going to be easy. For instance, an application for anti-dumping investigations must be supported by the producers who account for 50 per cent of the value of domestic output. Consumer organisations and industrial users of the dumped product must also be consulted. So even with the rules, domestic producers may not find the going very easy. There is also the problem of administering the new rules. It is not enough to draw them up but can the commerce ministry administer them efficiently? Probably not, which is why these are areas which should best be left to the Tariff Commission.