India’s textile industry has urged the central government to reconsider the imposition of anti-dumping duty (ADD) on Mono Ethylene Glycol (MEG), a critical raw material for polyester staple fibre.
The industry has warned that imposing ADD amid an ongoing shortage of MEG would worsen supply constraints. The Directorate General of Trade Remedies (DGTR) recently issued its ‘Disclosure Statement’, and the government is expected to take a final decision in the coming days.
R K Vij, industry veteran and secretary general of the Polyester Textile Apparel Industry Association (PTAIA), told Fibre2Fashion, “DGTR has issued a Disclosure Statement on the investigation into injury caused to the domestic industry due to excessive imports of MEG in the second week of this month.
It will submit its final findings within a week, after which the Department of Revenue under the Ministry of Finance must take a final call. The government should rethink the imposition of anti-dumping duty.” Vij has also submitted a detailed letter to Finance Minister Nirmala Sitharaman, highlighting the criticality of the issue.
“MEG is an essential ingredient for the production of polyester fibres, polyester chips, fibre, and yarn, which are further processed to produce value-added products such as filaments, fabrics, and garments. This entire value chain constitutes the man-made fibre (MMF) industry, which is the growth engine of India’s textile sector,” he said.
News Courtesy: Fibre2fashion