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DGTR proposes 2-year curbs on soda ash imports

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In short

The Directorate General of Trade Remedies found that foreign shipments expanded significantly in both absolute and relative terms during 2023–24. To shield local manufacturers of the chemical used in detergents and textiles, the authority proposed an overall cap of 7,54,992 metric tonnes in the first year and 7,92,740 metric tonnes in the second year. Country-specific limits will be enforced throughout this period, with the United States receiving the largest two-year allocation at 3,26,745 metric tonnes.

Key points

  • Soda ash imports surged by 89 percent during 2023–24, creating conditions that threatened…: Soda ash imports surged by 89 percent during 2023–24, creating conditions that threatened serious injury to Indian manufacturers.
  • Domestic producers such as Tata Chemicals, Nirma Ltd, and GHCL Ltd stand to gain relief f…: Domestic producers such as Tata Chemicals, Nirma Ltd, and GHCL Ltd stand to gain relief from the quantitative restrictions.
  • Quotas will be strictly enforced through four quarterly tranches that cannot be exceeded…: Quotas will be strictly enforced through four quarterly tranches that cannot be exceeded by supplying nations.

Sources checked by our analysis pipeline: 1

New Delhi: The commerce ministry's trade remedy investigation arm, DGTR, has recommended safeguard measures in the form of quantitative restrictions on imports of soda ash, which is used in different sectors such as detergents and textiles, for two years.

The move aims to prevent impact on the domestic industry from a significant increase in imports.

The Directorate General of Trade Remedies (DGTR) has recommended the imposition of duty after the conclusion of a probe in this regard.

An application was filed by the Alkali Manufacturers Association of India (AMAI) on behalf of DCW Ltd, GHCL Ltd, Nirma Ltd, RSPL Ltd and Tata Chemicals seeking imposition of safeguard measures in the form of quantitative restrictions on imports of Soda Ash into India for four years, according to the DGTR notification.

The applicant has alleged that the product is being imported into India in increased quantities, which is impacting the domestic industry.

In its probe, the DGTR has concluded that the imports have increased in both absolute and relative terms.

It has increased by 89 per cent in 2023-24 and has remained…

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