Hearing a petition filed by Reliance Industries and Mitsubishi Chemical Corporation PTA India, the Ministry of Commerce and Industry last week notified anti-dumping duties ranging from $117 at the highest level to a low of $19, depending on material quality.
Pulkit Agarwal, Manager (Corporate Ratings), Care, a research agency said the duty came at a time when the industry was showing signs of revival after suffering weak margins last fiscal.
Except for small companies, the industry at large would be able to pass on the incremental cost to end consumers, as demand has been strong, he added.
The polyester sector is exposed to fluctuating raw material prices. Polyester fibre makers import fair quantities of PTA, as there is a gap between demand and supply.
Raising its voice against the duty, Indo Rama Synthetics said since there are no large, integrated polyester fibre players in India, except for Reliance Industries, which would be the sole beneficiary of the duty, the duty was uncalled for.
Source : http://www.thehindubusinessline.com/news/polyester-fibre-makers-flay-antidumping-duty-on-pta/article6148447.ece