Anti-dumping duty on import of an aroma chemical, used in manufacturing of soaps and fine fragrance, from China has been extended for further five years to protect the domestic producers of the compound.
The duty will be levied at the rate of USD 14.02 per kilogram of 'Coumarin of all types' imported from China.
The Central Board of Excise and Customs (CBEC) had imposed the anti-dumping duty on the import of chemical in March 2010 for five years. Later in April 2015, the levy was again extended till March 22.
After a 'Sun Set Review' (SSR) investigation of the anti-dumping duties imposed on the imports of 'Coumarin', the Directorate General of Anti-Dumping and Allied Duties has recommended its continuation.
"In view of the finding that the expiry of anti-dumping duty is likely to lead to continuation or recurrence of dumping and injury to the domestic industry, the Authority considers it necessary to recommend continued imposition of definitive anti-dumping duties," the DGAD had said in the final findings.
Based on the recommendations, the CBEC extended the levy on imports of the chemical for further five years.
Coumarin has characteristic odour of newly mown hay and bittersweet somewhat similar to vanilla. It is used in the preparation of fragrance compounds and those fragrance compounds are used in the production of soaps, detergents, cosmetics, incense sticks, and fine fragrances.
It imparts pleasant fragrance and masks unpleasant odors in many other household and industrial products.
