The duty, ranging from $8 to $350 per tonne, would apply to varying categories of jute
goods originating in Bangladesh
and dumped into India.
The anti-dumping duty
has been notified by the central finance ministry on January 5, 2017, as dumping of jute
goods was suppressing the prices in the domestic industry. Due to dumping, the performance of the domestic jute
industry had deteriorated in terms of profitability returns on investments and cash flow.
According to the notification by the finance ministry, the anti-dumping duty
would be in force for a period of five years unless superseded or revoked and is mandated to be paid in Indian currency.
Categories of jute
products to be covered under the duty are jute
yarn, sacking bags, twine and Hessian fabric.
bag manufacturers have been affected by the dumping margin and are facing injury over exports by manufacturers in Bangladesh
The comparison of ex-factory prices and exports from Bangladesh
shows considerable dumping margin. Industry body Indian Jute
Mills Association (IJMA) had earlier lobbied for imposing an anti-dumping duty. IJMA
had roped in Delhi-based T M Consultants to take necessary action on behalf of the industry. Based on the preliminary data from selected jute
mills, the consultant found merit in taking up the anti-dumping measure with the government.
Based on the concerns of the jute
industry, the designated authority, the Directorate of Anti Dumping & Allied Duties, had recommended the anti-dumping duty
on October 22, 2016, on jute
goods imported from Bangladesh