The DGTR held a hearing of all stakeholders in the matter, including ISMA, Indian power project developers and their association, exporting countries – China, Taiwan, Europe, the US, and their respective trade associations and government officials.
In its final recommendation, the DGTR observed that the position of domestic industry “further deteriorated on account of continued low price of import of product under consideration (solar cells and modules) which continued price injury to the domestic industry, thereby establishing the threat of injury as well.”
The DGTR took into consideration the market share and profitability, which sharply declined over the injury period 2014-2015 to 2017-2018 (annualised) whereas market share of imports have increased during the same period.
The Indian solar manufacturing had asked for 95 per cent SGD on imports. On the other side, Indian project developers and more than a dozen importers from China, Taiwan, Canada, etc said any SGD would be detrimental to India’s solar target. In its application, ISMA has estimated that with a duty of 20 cents/watt, the increase in power tariffs would be Rs 0.7 per unit. The project developers however, have calculated the increase to be around Rs 1-1.5 per unit.
The current installed capacity of Indian solar cell manufacturing is around 1,386 Mw and the module is close to 2,500 Mw, according to government estimates. Less than 20 per cent of the manufacturing capacity is operational due to low demand. Of the total solar power generating capacity, more than 80 per cent is built on imported cells from China, 10 per cent from the US, and the balance domestic. India’s current solar power installed capacity is 21,000 Mw.