Definitive anti-dumping duty on linen fabric imports from China, Hong Kong

Following the petition filed by Indian manufacturers of Flax fabrics, which included Jayshree Textiles, a unit of Adity Birla Nuvo Ltd and other manufacturers across India, seeking continuation of anti-dumping duty on ‘flax’ fabric imports from China and Hong Kong and based on the recommendations of the Designated Authority in the commerce ministry in its sunset review, the Finance Ministry has imposed definitive anti-dumping duty on ‘flax’ or ‘linen’ fabric imports from China and Hong Kong.

The Ministry of Commerce has also observed that the volumes of imports are more than three percent and the margins are also above two percent in respect to imports from both the regions. As per the recommendations, Flax fabric imported from China and Hong Kong in to India will be subject to anti-dumping duty for the difference between Rs 204.89 and Rs 205.52 per metre respectively and the landed value of the goods.

This duty would be applicable only on those flax fabrics with flax content of over 50 per cent. The more so is used in fabrics for home textiles like bed-sheets, towels, table cloth etc.

The revenue department has now imposed anti-dumping duty of $ 0.75 per metre on ‘flax’ fabric imported from China. In the case of ‘flax’ fabric imported from Hong Kong, the anti-dumping duty has been pegged at $ 0.63 per metre.

‘Flax’ and ‘linen’ are synonymous and these fibres are used to produce yarn and fabric. It is often used as in generic term to describe a class of woven bed, table and kitchen textiles.