India has initiated a probe into alleged dumping of fishing nets from Bangladesh and China following complaints from the domestic industry.
Indian Fishnet Manufacturers Association has filed a petition before the Directorate General of Antidumping and Allied Duties (DGAD) for initiation of anti-dumping investigation and to suggest imposition of the duty on fishnet imports from these two countries.
The DGAD, in a notification, has stated that it has found "sufficient evidence of dumping" of the goods.
"The authority hereby initiates an investigation into the alleged dumping, and consequent injury to the domestic industry," it said.
The period of investigation is from April 2015 to September 2016 (18 months).
However, for the purpose of injury investigation, it will also cover the data from 2012-16.
If established that dumping has caused material injury to the domestic players, the commerce ministry's arm - DGAD would recommend imposition of anti-dumping duty on the imports.
These duties are levied to guard domestic players against cheap below-cost imports.
Increasing imports and dumping of goods from China have always been areas of concern for Indian companies. India's exports to China were only USD 9 billion in 2015-16 but imports aggregated at USD 61.7 billion in that fiscal.
The DGAD is also probing dumping of several other products such as certain chemicals and steel products from the neighbouring country.
India is one of the most attractive markets for global producers due to its large middle class population.
Imposition of anti-dumping duty is permissible under the World Trade Organisation (WTO) regime. Both India and China are members of the Geneva-based body.
The duty is aimed at ensuring fair trading practices and creating a level-playing field for domestic producers vis-a-vis foreign producers and exporters.
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