Fisheries Economics

7.5.7. Relief to the Domestic Industry

The Government of India provides the following relief measures to the domestic Industry who suffered from anti – dumping:

(1)Anti – dumping Duty

It is levied on the case-to-case consideration. If may take the form of either ad valoren basis or specific case basis. When the foreign exporters do not co-operate, they are termed non – cooperative exporters and they will have to pay what is called residuary duty. It is the highest duty paid by the co – operative exporters.

Lesser Duty Rule

The GATT regulations stipulated that the duty imposed against anti – dumping should not exceed the margin of dumping. It should be lesser and adequate enough to remove the injury suffered by the domestic industry. The Government of India restricts the anti – dumping duty to the lower of the two; that is, the dumping margins and the injury margins.

Injury Margin

It is the difference between the fair selling price due to the domestic industry and the landed cost of the product under consideration.

The assessable values under the Indian Customs Act and on the basic custom duties constitute the landed cost.

De Minimis Margins

According to Indian law, “any – exporter whose margins of dumping is less than 2% of the export price shall be excluded from the purview of anti – dumping duties even if the existence of dumping, injury as well as the casual link are established.”

Further, it is stipulated that,

“investigations against any country are required to be terminated if the volume of dumped imports from that particular source are found to below 3% of the total imports, provided the cumulative imports from all those countries who individually account for less than 3%, are not more than 7%.

(2) Price undertakings

When an exporter considered for anti–dumping case offers to revise the sale price, than, anti – dumping proceedings could be stopped. However, this will be done only after preliminary determination is made in this regard.

There are procedures for dealing anti – dumping cases and the competent authority undertakes it comprehensively.