MINISTRY OF COMMERCE AND INDUSTRY
(Department of Commerce)
Directorate General of Anti-dumping & Allied Duties
INITIATION NOTIFICATION
New Delhi, the 31st January, 2002
Subject: Initiation of Anti-dumping investigation concerning import of certain types of Acyclic Alcohols from Singapore, Brazil, Romania, Malaysia and South Africa into India.
No.63/1/2001-DGAD - M/s. National Organic Chemicals Industries Ltd. (NOCIL), Mumbai and M/s. Andhra Petrochemicals Ltd., Hyderabad have filed a petition in accordance with the Customs Tariff Act, 1975 as amended in 1995 and Customs Tariff (Identification, Assessment and Collection of Anti Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995 before the Designated Authority (hereinafter referred to as the Authority) alleging dumping of certain types of Acyclic Alcohols from Singapore, Brazil, Romania, Malaysia and South Africa into India and have requested for Anti Dumping investigations and levy of anti dumping duties.
PRODUCT INVOLVED
1. The product involved in the present petition is following types of Acyclic alcohols and their halogenated, sulphonated, nitrated or nitrosated derivatives (commonly known as ‘Oxo Alcohols’):
(hereinafter referred to as subject goods). Petitioners have claimed that Alcohols, viz., NBA, IBA, 2-EHA and Sabutol have been exported from the subject countries. The domestic industry is producing NBA, IBA and 2-EHA. The petitioners have sought for inclusion of the other types of Alcohols, though not imported in India during the investigation period on the ground that these types of Alcohols are comparable to the type of Alcohols being produced by the domestic industry and that these types of Alcohols closely resemble in terms of their characteristics. Petitioners have claimed that there is a great amount of substitutability between these various types of Alcohols. All these Acyclic Alcohols are produced from common raw material Olefins and are utilized for similar end use, largely for production of plastisizers. These Acyclic Alcohols are nothing but industrial Alcohols with different carbon numbers. The most important use for these Alcohols is to form esters (such as Phthalates) for plasticizing Vinyl and other resins. They are also used as solvents. Petitioners have claimed that the above Acyclic Alcohols are classified under the sub-headings 2905.13, 2905.14, 2905.16, 2905.17 and 2905.19 of Heading 29.05 of Schedule I of Customs Tariff Classification. These Custom classifications are however, indicative only and are in no way binding on the scope of the present investigation.
DOMESTIC INDUSTRY
3. The petition has been filed by M/s. National Organic Chemicals Industries Ltd. (NOCIL), Mumbai and M/s. Andhra Petrochemicals Ltd., Hyderabad. M/s. Indu Nissan Oxo Chemical Industries Ltd., Mumbai, who has suspended production of the subject goods, have also supported the petition. The following two producers of the subject goods have discontinued production:
Therefore, the two petitioners companies, viz., M/s. NOCIL and M/s. Andhra Petrochemicals Ltd. account for 100% of the total domestic production of subject goods. Therefore, the petitioners satisfy the criteria of standing to file the petition in terms of Rule 5(3) (a) of the Rules supra.
COUNTRIES INVOLVED
4. The countries involved in the present investigation are Singapore, Brazil, Romania, Malaysia and South Africa ( hereinafter referred to as the subject countries).
LIKE ARTICLE
5. The petitioners have claimed that the goods produced by them are either identical to the subject goods being imported or have characteristics closely resembling to the goods produced, originating in or exported from Singapore, Brazil, Romania, Malaysia and South Africa. Therefore, for the purpose of the present investigation, the goods produced by the petitioners are being treated as ‘like articles’ to that imported from the subject countries within the meaning of the Rules supra.
NORMAL VALUE
6. The petitioners have claimed to have made efforts to obtain information about the prices of subject goods prevailing in the domestic market in the subject countries. However, the petitioners could not get reasonable and authentic information about the prices of subject Alcohols in the domestic market of subject countries. The petitioners have claimed to have consulted the published prices of leading journal ICIS – LOR in respect of products IBA, NBA and EHA and have found that the exporters from the subject countries could not have recovered their cost of production on the basis of the published prices for IBA, NBA and EHA. The petitioners have claimed Normal Value in respect of subject countries on the basis of constructed cost of production of subject goods in these countries.
EXPORT PRICE
7. The petitioners have furnished the data published by the DGCI&S regarding imports of Acyclic Alcohols from subject countries to determine the export price of the subject goods. Adjustments have been claimed on account of ocean freight, insurance, commission, inland transportation, port handling charges and credit costs to arrive at the Export Price at ex-factory level.
DUMPING MARGIN
8. There is sufficient evidence that Normal Value of the subject goods in the subject countries is significantly higher than the net export price indicating prima-facie that the subject goods are being dumped by exporters from the subject countries.
INJURY AND CAUSAL LINK
9. Parameters relating to injury, such as, price undercutting, price suppression and suffering of financial losses prima facie indicate that the domestic industry has suffered material injury on account of dumping.
INITIATION OF ANTI-DUMPING INVESTIGATIONS
10. The Designated Authority, in view of the foregoing paragraphs, initiates anti-dumping investigations into the existence, degree and effect of alleged dumping of the subject goods originating in or exported from the subject countries.
PERIOD OF INVESTIGATION (POI)
11. The period of investigation for the purpose of present investigation is 1st April 2000 to 30th June, 2001.
SUBMISSION OF INFORMATION
12. The exporters in the subject countries and the importers in India known to be concerned with this investigation are being addressed separately to submit relevant information in the form and manner prescribed and to make their views known to the Designated Authority, Directorate General of Anti Dumping & Allied Duties, Department of Commerce, Ministry of Commerce and Industry, Government of India, Udyog Bhavan, New Delhi-110011. Any other interested party may also make its submissions relevant to the investigation in the prescribed form and manner within the time limit set out below.
TIME LIMIT
13. Any information relating to the present investigation should be sent in writing so as to reach the Authority at the address mentioned above not later than forty days from the date of publication of this notification. The known exporters and importers, who are being addressed separately, are however, required to submit the information within forty days from the date of the letter addressed to them separately.
INSPECTION OF PUBLIC FILE
14. In terms of Rule 6(7), any interested party may inspect the public file containing non-confidential version of the evidence submitted by other interested parties.
In case where an interested party refuses access to, or otherwise does not provide necessary information within a reasonable period, or significantly impedes the investigation, the Authority may record its findings on the basis of the facts available to it and make such recommendations to the Central Government as deemed fit.
(L.V. SAPTHARISHI)
Designated Authority