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According to the Pharmaceutical Export Promotion Council of India (Pharmexcil), the Mexican ministry of Economy has initiated an anti-dumping investigation against import of metoprolol tartrate from India. Mexico feels that the imported metoprolol tartrate is priced lower than those available in its domestic market and hence is hurting the indigenous industry, claimed Pharmexcil sources.
Metoprolol tartrate is primarily used to treat diseases of the cardiovascular system especially hypertension.
A notice on the website of the ministry of economy of Mexico says that on the request of a party it has decided to start anti-subsidy investigation on imports of metoprolol tartrate originating in the Republic of India, irrespective of the country of origin."
This merchandise enters through tariff 2922.19.28 of the Tariff Act of the General Import and Export," the notification mentioned.
PV Appaji, director general of Pharmexcil said, "We have asked for information from all our members who supply metoprolol tartrate to Mexico. We usually do not have product-wise export information from members and hence have asked for the details. Things are in the initial stages. Based on the data collected we would present our case to the Mexican government."
Whenever the import price is less than the market price of a particular product available in a country, such investigations are initiated, he explained adding that one purpose of the investigations is also to look into the subsidies etc that have contributed to arrive at this cost.
While Mexico ranks among the top 20 pharma export destinations from India, its share in India's overall exports is still very low, around 0.94 per cent.
However, Pharmexcil informed that in between 2009 to 2013, exports to Mexico have been clocking an 8 per cent compounded annual growth rate (CAGR).
Analysts feel that such a move by the Mexican government is likely to create apprehensions about exports to that country. Currently, around 80-100 companies export either metoprolol tartrate or its intermediates to Mexico and other countries from India. As Pharmexcil has only recently started collecting data, detailed information is not yet available.
Companies have been asked to provide details of the volume and value of export of the product over the last three year period. After studying the data, Pharmexcil would prepare its case that would be presented to the Indian embassy in Mexico which would then present India's case in the country.
In case the investigation by the Mexican government finds the assumptions valid, a countervailing duty could be imposed on imports of metoprolol tartrate from India.
