Dumping cuts across all nations, says expert

Dumping is an unfair trade practice that cuts across boundaries and nations to a greater or lesser extent, according to Mr S.C Choudhary, the retired chief commissioner of customs.

He was delivering a lecture on anti-dumping duty at a one-day seminar on tax matters conducted by the Tax Law Research Group here on Saturday.

Mr Choudhary said many nations were dumping a wide range of products into the Indian market but the public perception was that China was the worst culprit. “It is true that China dumps products into many markets including India, but it is equally true, we must admit, that India pays back China in the same coin, though not to the same extent. Anti-dumping cases are pending against 35 countries in India as on date and it is also true that in some countries, cases are pending against our exporters,” he explained.

Describing dumping as a universal malady, Mr Chaudhary said that all nations had agreed to make use of anti-dumping duty as a tool to curb the practice to the extent possible. “Taking a pragmatic view, and not a moralistic posture, attempts should be made to curb the practice,” he opined. He said that anti-dumping duty, once imposed, would be valid for five years and it had to be renewed, if necessary.

In response to a question by one of the participants whether imposition of anti-dumping duty was not a protectionist measure, and whether it did not go against the interests of the consumers, he said it was certainly a protectionist measure, viewed from one angle, but it was inevitable.

Earlier, Mr S. Kishore, the Development Commissioner of AP Special Economic Zone, spoke about the advantages of setting up units in SEZs and Mr M. Ponnuswamy, the Commissioner of Customs and Central Excise and Service Tax, spoke about the changes and challenges in the field.

Prof Y. Satyanarayana, the Director of the School of Law, Gitam University, said a just tax regime would ensure better compliance. Mr K. Vijaya Kumar, the editor-in-chief of Taxindiaonline.com, spoke about the changes in adjudication and appellate procedures.

Mr G. Prabhakara Sastry, the Convener of the Tax Law Research Group, welcomed the gathering and later spoke about the negative list in service tax in relation to the Union Budget.

COMMENT NOW