Product description – The product under consideration is phosphoric acid of all grades and all concentrations (excluding agriculture/fertilizer grade). Phosphoric acid is a clear, colourless, odourless, non-volatile, syrupy liquid, commonly used as an aqueous solution of 85% solution.
HS Codes – Phosphoric acid is classified under customs tariff code 2809 20 10
Uses – The product under consideration is used for the production of sodium phosphate, calcium phosphate, magnesium phosphate, ammonium phosphate, etc., and also in pharmaceutical applications, beverages, seed processing, sugar juice clarification and sugar refining, food phosphate manufacturing, etc.
Country involved – Korea RP
Applicants – Gujarat Alkalies & Chemicals Limited and Grasim Industries Limited
Date of imposition of duty – The duties against the imports of phosphoric acid from Korea RP were levied vide Notification No. 140/2009 – Customs dated 15th December 2009 and continued vide Notification No. 45/2015 – Customs (ADD) dated 24th August, 2015. The present duties shall continue to be in force till 23rd August, 2020.
Date of initiation – 27th December, 2019
Period of investigation – April, 2018 to June, 2019
Injury period – 2015-16, 2016-17, 2017-18 and the period of investigation
Margins and proposed duty –
|Producer||Dumping Margin||Injury Margin||Proposed Duty|
Key findings –
1. The period for which anti-dumping duty has remained in force does not have any relevance in determining whether there is a need for continuation of anti-dumping duty.
2. Despite anti-dumping duty in force, there was continued dumping and injury to the domestic industry. The domestic industry suffered on account of increased imports, positive price undercutting, price suppression and depression, decline in market share of the domestic industry, and deterioration of profits, cash profits and return on capital employed.
3. The continued dumping, increase in imports despite duties and current import prices having suppressing and depressing effect on the prices of the domestic industry suggested that there was likelihood of continuation or recurrence of dumping and injury, in the event of cessation of duty. This is especially since India is the largest export market for the exporters in Korea RP and there is likelihood of diversion of further volumes to India, in the absence of the current duties.