India initiates Anti-dumping Probe into Sodium Cyanide Import [UPSC Current Affairs]

In April 2023, India began an inquiry on anti-dumping for imports of sodium cyanide from China, the European Union, Japan and Korea after a complaint by domestic players. In this article, you can read all about this development for the IAS exam current affairs segment.

India initiates Anti-dumping Probe into Import of Sodium Cyanide

Domestic Complaints

• Filed by the Hindusthan Chemical Company and United Phosphorus Ltd for the probe.
• They want the imposition of anti-dumping duty on imports from these countries.
• The Directorate General of Trade Remedies (DGTR) is probing the dumping allegations of the chemicals.
• The investigative agency notified that the applicants have alleged that material injury is being caused to the domestic industry.

Probe findings

• The normal value and the export price when compared at the ex-factory level, prima facie established that the dumping margin is beyond the specified level. 
• Hence, there is sufficient prima facie evidence that the product is being dumped in the domestic market.

Implications

• If material injury to domestic players is established, DGTR will recommend the imposition of anti-dumping duty on imports.
• The finance ministry will make the final decision to impose duties.
• Under the World Trade Organization (WTO) the duty is aimed at ensuring fair trading practices and creating a level-playing field for all.

Way forward: In the past also India had imposed anti-dumping duties on a lot of products to nullify the effects of cheap imports, especially from China which sees India as an easy dumping ground. Therefore, a strict stand needs to be taken going forward to safeguard the national interest.

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