India to review anti dumping on soda ash based on new data

12 April 2012 09:19  [Source: ICIS news]

KOLKATA (ICIS)--India’s Ministry of Commerce has directed the department of chemicals and petrochemicals (DCPC) to re-look into anti-dumping duties levied on soda ash imports from seven countries, a government official said on Thursday.

The inquiry by DCPC will be independent of the investigations concluded by the Director General of Anti-dumping and Allied Duties (DGAD) and recommendation for a levy ranging between $2.38/ tonne and $38.79/ tonne.

The final imposition has however been kept in abeyance by the Ministry of Finance.

“The department would be collating fresh data on soda ash since cost and pricing structure of producers and cost of production of end-users as these have changed in recent months,” the official said.

The inquiry report will include average year-wise cost price per tonne of domestic and imported soda ash for three years, average ex-factory price of per tonne of glass products over the last three years and year-wise percentage cost of soda ash to total cost of production of glass products over the last three years.

The department will be holding consultations with the All India Glass Manufacturers Federation (AIGMF), the representative body of soda ash consumers and Alkali Manufacturers Association of India (AMAI), representing the producers.

Information collected from soda ash and glass manufacturers will also be verified with industry filings with the Department of Industrial Policy and Promotion (DIPP) and based on the final report the Ministry of Commerce will take a final decision.

There are 37 units engaged in production of caustic soda in India while 6 units are involved in production of soda ash.

AIGMF in its representation to the Ministry of Commerce has claimed that few producers of soda ash were pegging their domestic price on landed cost of imports and not on their cost of production resulting in 37% increase in price of soda ash over the past 12 months.

India’s installed capacity of soda ash is around 3.16 m tonne and production in 2011 was estimated at 2.42m tonnes accounted by Tata Chemicals, GHCL, Nirma, Saurashtra Chemicals, DCW and Tuticorin Alkali Chemicals and Fertilisers.

By: Ajoy K Das
+65 6780 4359

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