The Hindu Business Line : Safeguard probe into sago imports

DOMESTIC producers of starch (other than wheat and potato starch), modified starches and manioc (Cassava, Tapioca)-based sago can now look forward to some relief against the surge in imports of these items.

The Director General (Safeguards) has initiated safeguard investigations on imports of starch, modified starches and manioc (Cassava, Tapioca) based sago.

The move to initiate safeguard investigation comes close on the heels of the announcement in the Budget to increase the tariff rate of customs duty on these items from 30 per cent to 50 per cent.

If the Centre, after conducting an enquiry, is satisfied that any article is imported into the country in such increased quantities and under such conditions so as to cause or threaten to cause serious injury to domestic industry, then it can impose a safeguard duty on that article.

Informed sources said that the Farmers & Farmers Association of Tamil Nadu and the Tamil Nadu Sago & Starch Manufacturers Welfare Association (TASSAMA), Salem had approached the Finance Ministry seeking imposition of safeguard duty.

``This representation had been forwarded to the office of the Director General (Safeguards), which has now initiated investigation for imposition of safeguards duty,'' sources said.

Starch, modified starches, manioc (Cassava, Tapioca) based sago are imported into India mainly from Australia, Chile, People's Republic of China, Finland, France, Germany, Hong Kong, Italy, Japan, South Korea, Malaysia, the Netherlands, Thailand, the US and Vietnam.

Imports of starch had increased from 700 mt in 2000-01 to about 5,000 mt in 2003-04. Similarily, imports of sago had registered a marginal increase from 3,568 mt in 2000-01 to about 4,000 mt in 2003-04.

Imports of modified starches had increased from a level of 305 tonne in 2000-01 to 2,000 mt in 2003-04.

Since the producers of starch, modified starch and sago comprise of more than 700 small manufacturers, the Director General (Safeguards) held that the representations made by the Associations has been considered to have been made on behalf of domestic industry.

More Stories on : Foods & Food Processing | Exports & Imports

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Rescheduling of farm loans to lift credit offtake

Wet spell to continue in Kerala

As domestic, global price band widens — Rubber imports under OGL could turn viable

Rubber prices remain static

Mills seek change in raw sugar import norms

Safeguard probe into sago imports

World cotton prices may decline on higher output

Jhunjhunwala is EICA President

Cardamom crop hopes improve on good rains

Another farmer ends life in AP