G. Srinivasan

New Delhi, March 17

THE anti-dumping duty on the vitamin used as an ingredient in poultry feed is set to go. The Designated Authority in the Commerce Ministry has recommended that the definitive duty imposed on imported Vitamin AB2D3K from the European Union, the US , Thailand and Singapore, be discontinued.

The product under investigation is an essential component of poultry feed, providing required vitamin level in poultry feed for better nutrition.

In its notification of final findings of its mid-term review, the Authority said the product under investigation was a loose brownish yellow coloured powder containing AB2D3 and K groundnut meal is the carrier. It is added to the poultry feed at the poultry feed mills, hatcheries and farms that make their own feed.

In the original investigation, the application for anti-dumping action was filed by Nicholas Piramal India Ltd on behalf of the domestic industry. However, when the EU sought a review of the definitive duty, none of the domestic producer filed information to the Authority.

The petitioner (EU) submitted that there was no exports from EU of Vitamin pre-mix AB2D3K to India since the imposition of anti-dumping duty. It further said the pre-mix was specifically prepared for the Indian market and, therefore, there were no sales to other countries, including its own domestic market. Hence, the Authority held that in a situation when there was no export of the subject goods, the determination of dumping margin was not feasible. Further, the transaction-wise import data of DGCI&S was examined and it was found that there was no import of subject goods during the period of probe.

The petitioner further said the domestic producer Nicholas Piramal Ltd had undergone a significant structural change since the original probe as it had merged with another major pharmaceutical company Rhone Opulence India, which rendered it possible to rationalise capacity utilisation by closing down the number of production centres of the original company. It was further contended by the petitioner that the demand for imported pre-mixes was gradually decreasing due to increased availability of all major vitamins at highly competitive prices among others from China.

Hence the Authority concluded that in the absence of any response from the domestic industry, it considered appropriate to recommend discontinuation of the anti-dumping duties recommended earlier on the subject goods.

(This article was published in the Business Line print edition dated March 18, 2005)
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