Urge to Withdraw Anti-Dumping Duty
Bangladeshi Jute exporters urge to withdraw anti-dumping duty on jute export to India.
Dhaka Chamber of Commerce & Industry (DCCI) organizes a seminar on “anti-dumping duty on imports of jute products from Bangladesh by India: challenges and potential way out” at Pan Pacific Sonargaon Hotel, Dhaka on 15 November, 2016. Commerce Minister Tofail Ahmed, MP was present as the chief guest while State Minister for Textiles & Jute Mirza Azam, MP was present as special guest.
A delegation from the Jute Products Importers Association (JPIA) of India led by its President Sandeep Saraff was present in the seminar.
President of International Chamber of Commerce, Bangladesh Mahbubur Rahman chaired the seminar.
President of International Chamber of Commerce & Industry (ICC,B) Mahbubur Rahman in his address of welcome saidthe proposed imposition of anti-dumping duty on Bangladeshi jute products by the Directorate General of Anti-Dumping (DGAD), India will affect jute industry of Bangladesh. He urges the government of Bangladesh and India to find alternative and mutually agreeable and industry friendly solution shunning the proposed Anti-dumping duty. He said all the stakeholders of this sector should come forward to resolve the problem. He said such decision will widen the trade imbalance between these two very friendly neighbors.
DCCI President Hossain Khaled presented the keynote paper on the main topic of the seminar. He highlighted that Bangladesh exported jute goods worth of $ 918 million in Year 2015-16. He said Bangladesh exports about21.89% of total Jute and Jute goods to India. Regarding anti-dumping duty imposed by India, he said petitioners have indulged in excessive confidentiality in the petition process which has significantly impaired the ability of the respondents to defend their interests. Indian government is protecting the Indian jute producers by compulsory jute packaging and procuring sacking bags at a cost plus profit based pricing, he said. He further said there is no separate jute pricing mechanism in Bangladesh for India. Commodity prices are only driven by open market system. He also said due to anti-dumping duty imposed by Indian government about $170 million of export of Jute goods will be challenged and almost $1 billion jute export market will be destabilized. He requested the Ministry of Finance of India to review the investigation and withdraw the imposition of anti-dumping until a further review study is conducted.
Commerce Minister Tofail Ahmed said Bangladesh and India are good friends since long. He also said during the liberation war India helped Bangladesh closely. But imposing anti-dumping duty on our jute export to India is unexpected and unfortunate. He said government of Bangladesh is diplomatically negotiating the issue with the Indian counterpart to resolve the problem. He said our jute export to India during the period July-April of 2015-16 increased about 33 per cent. He said the bilateral trade relation between India and Bangladesh is very congenial and friendly. He also said that Bangladesh’s total export was US$34.25 billion in the last year of which US$28 billion earned from RMG sector. He further said government sets US$37 billion export target for the next fiscal year. He said “I hope Indian government will immediately remove the anti-dumping duty on our jute products”.
State Minister for Textiles & Jute Mirza Azam, MP terming the imposition of anti-dumping duty on our export of jute to India is surprising. He said there is no reason of imposing such anti-dumping duty on our jute export. He said this crisis is temporary and we hope soon it will be solved as the government is negotiating with the Indian government. He said the quality of our jute is best in the world and we export about 1 million bales of jute every year. He said jute is declared as agro products now and government will consider to give special incentive to the producers of jute goods. He also said government will observe ‘National Jute Day’ from 6th March 2017.
President of JPIA Sandeep Saraff said against a petition filed by Indian Jute Mills Association, Directorate General of Anti Dumping, India (DGAD) initiated an investigation in October 2015 on export of jute products from Bangladesh to India and has recommended imposition of 25-30% anti-dumping duty on jute goods. If imposed, this will create a severe impact on jute industry and trade on short term and long term basis, he said.
Chairman of Bangladesh Jute Spinners Association Ahmed Hossain, Chairman of Bangladesh Jute Mills Association Mohammad Sams-uz Zoha, Chairman of Bangladesh Jute Mill Corporation Md. Mahmudul Hasan, Vice President of Jute Products Importers Association Rishi Jalan and Member of Bangladesh Tariff Commission Rashedul Hasan spoke as designated discussants. The discussants urged Indian government to review the investigation and withdraw the decision of imposing anti-dumping duty on our jute.
Source: DCCI
