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Blanket exports to S Africa under anti-dumping probe
E-Tex Staff - New Delhi
The cup of woes of domestic textile textile units seems
to brimmeth over, at least on the export front. Already facing an onslaught
of anti-dumping probes by developed nations, the sector is under fire from a
new quarter now - the developing nations.
The latest is an anti-dumping investigation by South
Africa against acrylic blanket imports from here. This comes close on the heels
of a similar action on cotton yarn by South Korea, say textiles ministry officials.
The developed countries are protective about the textile
sector and hence have been resorting to such trade defensive measures, say the
officials, adding this is so particularly in the case of the United States,
the European Union and Canada which have been reluctant to sign the agreement
on textiles and clothing as part of the Uruguay Round negotiations which were
completed by end of December 1994. Thereafter the agreement replaced the earlier
multi-fibre arrangement and came under the World Trade Oganisation’s discipline
from January 1, 1995.
The multi-fibre agreement that itself is a derogation
from the general agreement on tariffs and trade had been allowed to continue
for a number of years, adversely affecting market access to the Third World,
officials say and point out that moreover, there has been no real integration
of removal of quotas under the agreement on textiles and clothing, which is
due to be terminated by December 31 next year, after a 10-year transition period.
Among the anti-dumping actions initiated by the European
Union against the domestic textile products include unbleached cotton fabrics,
cotton type bed linen, polyester texturised yarn and polyester staple fibre.
Of these, New Delhi has won two cases - unbleached cotton fabrics and cotton
type bed linen - after taking these up with the dispute settlement body of the
World Trade Organisation while it has lost the polyester texturised yarn and
polyester staple fibre cases. The anti-dumping duty/anti-subsidy duty imposed
by the 15-nation Union on polyester texturised yarn stands in the absence of
any ‘unanimous’ view among the domestic manufacturers on the course
of action to challenge the decision of the WTO appellate body. The Silk and
Rayon Textiles Export Promotion Council that has been coordinating the case
has therefore been unable to proceed in the matter.
The duty has been imposed notwithstanding New Delhi’s
strong refutation of the charge of ‘subsidised’ dumping and the consequent
injury to the domestic industry as alleged by the European producers. In regard
to polyester staple fibre, the domestic manufacturers are ‘reluctant’
to go ahead with their earlier proposal to approach the dispute settlement body
on the issue of definitive anti-dumping duty imposed by the 15-nation Union.
Earlier, New Delhi had initiated anti-dumping investigations against polyester
staple fibre imports from South Korea, Malaysia, Taiwan and Thailand, citing
injury to the domestic industry.
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