The commerce ministry's arm DGTR has initiated an anti-dumping probe into the import of multi-layer paperboard from Indonesia following a complaint by domestic players. The Indian Paper Manufacturer Association has filed the application on behalf of the domestic industry before the Directorate General of Trade Remedies (DGTR) for the initiation of an anti-dumping investigation concerning imports of "Virgin Multi-layer Paperboard" originating in or exported from Indonesia. The applicant has alleged that the industry is impacted due to the dumped imports. The product is used in the packaging of pharmaceuticals, FMCG products, food and beverages, electronics, high-end cosmetics, liquor, book covers, and publishing. According to the DGTR's notification, the applicant has provided prima facie evidence with respect to the injury suffered by the domestic industry due to the dumped imports. "The authority hereby initiates an anti-dumping investigation to determine the existence, degree and effect of the dumping," it said. If it is established that the dumping has caused material injury to domestic players, the DGTR would recommend the imposition of the levy on imports. The finance ministry takes the final decision to impose duties.
Anti-dumping probes are conducted by countries to determine whether domestic industries have been hurt because of a surge in cheap imports. As a countermeasure, they impose these duties under the multilateral regime of the Geneva-based World Trade Organization (WTO). The duty is aimed at ensuring fair trading practices and creating a level playing field for domestic producers vis-à-vis foreign producers and exporters. India and Indonesia are members of the WTO, which is a 166-member multilateral trade body. India has already imposed anti-dumping duties on several products to tackle cheap imports from various countries, including China.