The Hindu Business Line : `Anti-dumping cases involving India likely to increase'

In a seminar organised by the Clothing Manufacturers Association of India and Economic Laws Practice on `Threat to Indian Textiles and Clothing post the ATC in the US' in Mumbai, Ms Caroyl Miller, Deputy Textile Negotiator, Office of the United States, said the US had undergone a "high level of structural adjustments during the period of the Agreement on Textiles and Clothing (ATC), which saw an increased number of plant closures and the loss of employment to 60 per cent of those employed in the US textiles and apparel industry."

A number of studies, she said, had predicted that with the phase-out of quotas, China would become the supplier of choice.

It has become just that and its share of the US imports has grown substantially.

India is also sharing this growth.

However, the incidence of anti-dumping cases against Indian industry was rising.

According to Ms Lizbeth R. Levinson, Partner, Attorney, Garvey Schubert Barer, anti-dumping cases could be initiated only when there was sufficient evidence that there had been material injury to an industry when products have been selling at lower prices than their fair value. She added that the number of anti-dumping cases had increased substantially over the last five years.

Ms Levinson added that India was better off than importers from China because the Chinese government did not facilitate good advice and information on anti-dumping proceedings.

Further, the law was skewed against China where anti-dumping cases were concerned.

For instance, while shrimp exporters had to pay 10 per cent duty on their US consignments, the Chinese have to pay 112 per cent duty, effectively wiping out their advantage in the US market.

Mr Richard D. Boltuck, Vice-President, Charles River Associates, said that India would become a more frequent target of anti-dumping cases in future and importers to the US needed to defend themselves against allegations of injury before the US International Trade Commission.

Importers would need to scout around for good legal help and also work with rivals and competitors, domestically and in other nations, to defend their cause.

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