Anti-Dumping Duty Likely On Nylon Filament Yarn From EU, Vietnam
The Directorate of Anti-Dumping and Allied Duties has suggested a duty between $128.1 to $719.4 per tonne.
India may impose an anti-dumping duty of up to $719 per tonne for five years on imports of nylon filament yarn from the European Union and Vietnam following recommendations by the Commerce Ministry's investigation arm—Directorate General of Anti-Dumping & Allied Duties.
Imposition of duty aims at guarding domestic manufacturers of this yarn from cheap imports from EU and Vietnam. Following complaints by five domestic players, the directorate initiated a probe against the alleged dumping of nylon filament yarn from the two regions.
In its final findings, the directorate has concluded that the product has been exported to India from these countries below normal values and that the domestic industry has suffered material injury on account of such dumped imports.
The final view to impose the duty would be taken by the Finance Ministry soon. The suggested duty ranges between $128.1 to $719.4 per tonne. Import of this yarn from EU and Vietnam has increased to 13,799 tonnes during the period of investigation from 7,201 tonnes in 2013-14.
Five domestic firms, including JCT Ltd, Gujarat Polyfilms Pvt Ltd and AYM Syntex, had filed an application for initiation of the investigation.
The major uses of this yarn are in home furnishing and industrial application such as curtains, sewing and embroidery thread and fishnets.
Imposition of anti-dumping duty is permissible under the World Trade Organization regime. Both India and China are members of the Geneva-based body.
The duty is aimed at ensuring fair trading practices and creating a level-playing field for domestic producers. They're not a measure to restrict import or cause an unjustified increase in cost of products.