Letters to the Editor
Indian anti-dumping measures on jute, related products
Thursday, 21 September 2023
India is one of the biggest markets for our locally-grown jute. However, our neighbouring country has recently extended the anti-dumping duty (ADD) on jute and jute products from Bangladesh by five years. India also imposed ADD on jute and jute goods from Bangladesh for five years in 2017 which has been renewed in 2022. According to estimates, the ADD affects 5 to 30 per cent jute products exported to India. Jute and jute goods exporters could come under further pressure as New Delhi is reportedly planning to impose countervailing duty (CVD) on their shipment. CVDs are tariffs on imported goods that are imposed to offset subsidies given by the exporting country's government. India has started investigation to levy CVDs as it thinks that its domestic industry is being hurt by the subsidised jute and jute products from Bangladesh.
At present, Bangladesh provides a 12 per cent stimulus in cash form on export of jute products and a 7 per cent cash incentive on jute fibres. We are already facing an ADD on export of jute and jute products in India. If the neighbouring country applies CVDs on jute and jute products, it will have a negative impact on our jute product export. Jute and jute goods from Bangladesh may meet a new challenge in India. Therefore, we urge the government to handle the issue at the diplomatic level to make sure the CVD is not imposed on our jute and jute goods.
Dr. Md. Ruhul Amin,
Vice President and Head of Agriculture Investment Division, Dhaka,
ruhul_happy01@ahoo.com