The government has started an investigation as to whether safeguard duty can be imposed on importing particle board, an engineered wood product, from China.
The Directorate General of Safeguards (DGS), under the finance ministry, started the investigations after Bajaj Eco-Tec Products Ltd, Noida, and Shirdi Industries Ltd, Mumbai, complained of a rise in particle board imports, an official said.
The firms have demanded safeguard duty on imports of particle board for four years to protect the domestic industry.
The complainants said the particle board is being imported from Australia, Bangladesh, China and several European countries.
Particle board is manufactured from wood particles, such as wood chips. It is cheaper than conventional wood and plywood.