Dear Members,

 

The  Directorate  General of Trade  Remedies (DGTR)  has issued Notification vide Case No- AD (01) - 30/2020 dated 17^th  Dec 2020  regarding  Initiation  of anti-dumping   investigation  concerning  imports  of Caustic  Soda originating in or exported from Japan,  Iran, Qatar and Oman.

 

We understand that M/s.  Alkali  Manufacturers   Association  of India  (AMAI  has filed an application  before   the  Designated   Authority  on  behalf   of  the  domestic   producers   namely,   DCW   Limited,   Grasim Industries  Limited,  Gujarat  Alkalies  and Chemicals  Limited,  SIEL Chemical  Complex  for imposition  of Anti-Dumping   duty on imports  of Caustic  Soda  originating  in or exported from Japan, Iran, Oman and Qatar. The  domestic   producers   namely,   DCW  Limited,   Grasim  Industries   Limited,   Gujarat Alkalies  and  Chemicals   Limited,  SIEL  Chemical  Complex   have provided  the prescribed  information  in the Application.

 

The  Applicant   has  alleged  that material  injury to the Domestic  industry  is being  caused due  to  dumped   imports   from  Japan,   Iran,  Qatar  and  Oman,   and  has  requested   for imposition  of anti-dumping  duty on the imports  of Caustic  Soda from Japan,  Iran, Qatar and Oman.

 

PRODUCT UNDER CONSIDERATION  (PUC)

 

The product  under consideration   in the petition  is Caustic  Soda or Sodium  Hydroxide,  in all forms. Caustic  Soda is chemically  known as NaOH or Sodium Hydroxide.  It is a soapy, strongly  alkaline  odorless  liquid widely used in diverse  industrial  sectors,  either as a raw material  or as an  auxiliary  chemical.   Caustic  Soda  is produced   in two  forms,  lye and solids. Solids can be in the form of flakes, prills, granules  or any other form.

 

Caustic  Soda  is  classified   under  Chapter  28  of  the  Customs   Tariff  Act,  1975 under Customs  head  2815.11  and  2815.12.  As per  ITC  8-digit  classification,   the  product  is classified  under the Custom  Heading  28151101,  28151102  and 28151200.  The customs classification      is indicative  only  and  is not  binding  on  the  scope  of the  product  under consideration

 

PERIOD  OF INVESTIGATION

 

The Applicant  has proposed  period  of investigation  (POI)  as October  2019 to June 2020 (9  months),   with  the  injury  investigation   period   as  2016-17,   2017-18,   April  2018  - September   2019  and  the  period  of  investigation. 

 

The  Authority   however   considers   it appropriate,  having  regard  to Rule 2(da), and explanation  to rule 22, to fix the period  1^st  October 2019 to 30^th  September  2020, as period of investigation  (POI) and the period  1^st  April 2017 -  31^st  March  2018,  1^st  April 2018 -  31^st  March  2019,  1^st  April  2019 -  31^st  March 2020, and the period of investigation  (POI) i.e. 1^st  October 2019 to 30^th  September, 2020 as the injury investigation  period.

 

SUBMISSION   OF INFORMATION

 

In   view   of   the   special   circumstances    arising    out   of   COVID-19    pandemic,    all communication      should  be sent  to the  Designated   Authority  via  email  at email  address:-  adg13-dgtr@gov.in ,   adv12-dgtr@gov.in ,     dir16-dgtr@gov.in     and  dd13-dgtr@gov.in .    It should  be ensured  that  the  narrative  part  of the  submission   is in searchable   PDF/  MS Word format and data files are in MS Excel format.

 

The  known  producers/exporters    in  the  subject  countries,   Government   of  the  subject countries  through  their Embassies  in India, the importers  and users in India known  to be concerned with the subject goods and the domestic  industry are being informed  separately to enable  them  to  file all the  relevant  information   in the  form  and  manner  prescribed within the time-limit  set out below.

 

Any other interested  party may also make its submissions  relevant  to the investigation  in the form and manner  prescribed  within the time-limit  set out as  below. Any party making  any confidential  submission  before the Authority  is required  to make a non-confidential   version  of the same available  to the other parties.

 

Interested  parties  are further advised to keep a regular watch on the official website  of the Designated  Authority  http://www.dgtr.gov.in/    for any updated  information  with respect to this investigation

 

TIME LIMIT

 

Any  information   relating  to the present  investigation   should  be sent  to the  Designated Authority      via  email  at  the  email  addresses:  adg13-dgtr@gov.in ,        adv12-dgtr@gov.in,     dir16-dgtr@gov.in     and  dd13-dgtr@gov.in  within 30 days from the date of the receipt of the  notice  as per  the  Rule  6(4)  of the  Rules.  If no  information   is received  within  the prescribed  time-limit  or the information  received  is incomplete,  the Authority  may record its findings  on the basis of the facts available  on record in accordance  with the Rules.

 

All  the  interested   parties  are  hereby  advised  to  intimate  their  interest  (including   the nature  of interest)  in the  instant  matter  and file their  questionnaire   responses  within the above time limit.

  

Members are requested to take note  of this Trade Remedy measure and  do the needful accordingly.  For full details, members may refer to the initiation  notification available on below link-

 

http://www.dgtr.gov.in/sites/default/files/Caustic%20Soda_English%20Initiation%20Notification.pdf

 

Feed-backs if any, may also be sent to us on e-mail ids:-  deepak.gupta@chemexcil.gov.in, pwdd@chemexcil.gov.in  and    info@chemexcil.gov.in      for   records/ examination.

 

 

Thanking You,

 

 

Yours faithfully,

 

 

Deepak Gupta

Acting Executive Director

CHEMEXCIL

 

As you might be aware, Government has recently announced “Emergency Credit Line Guarantee Scheme"  to provide liquidity to the MSMEs in the wake of COVID-19 related economic stress.

 

 

 

Under the Scheme, 100% guarantee coverage to be provided by National Credit Guarantee Trustee Company Limited (NCGTC) for additional funding of up to Rs. three lakh crore to eligible MSMEs and interested MUDRA. borrowers, in the form of a Guaranteed Emergency Credit Line (GECL) facility.

 

 

 

 

 

Details/ Salient Features of the Scheme

 

 

 

The Emergency Credit Line Guarantee Scheme (ECLGS) has been formulated as a specific response to the unprecedented situation caused by COVID-19 and the consequent lockdown, which has severely impacted manufacturing and other activities in the MSME sector.

 

 

 

The Scheme aims at mitigating the economic distress being faced by MSMEs by providing them additional funding of up to Rs. 3 lakh crore in the form of a fully guaranteed emergency credit line.

 

 

 

The main objective of the Scheme is to provide an incentive to Member Lending Institutions (MLIs), i.e., Banks, Financial Institutions (FIs) and Non-Banking Financial Companies (NBFCs) to increase access to, and enable availability of additional funding facility to MSME borrowers, in view of the economic distress caused by the COVID-19 crisis, by providing them 100 per cent guarantee for any losses suffered by them due to non-repayment of the GECL funding by borrowers.

 

 

 

The salient features of the Scheme include –

 

 

 

i. All MSME borrower accounts with outstanding credit of up to Rs. 25 crore as on 29.2.2020 which were less than or equal to 60 days past due as on that date, i.e., regular, SMA0 and SMA 1 accounts, and with an annual turnover of up to Rs. 100 crore would be eligible for GECL funding under the Scheme.

 

 

 

ii. The amount of GECL funding to eligible MSME borrowers either in the form of additional working capital term loans (in case of banks and FIs), or additional term loans (in case of NBFCs) would be up to 20% of their entire outstanding credit up to Rs. 25 crore as on 29th February, 2020.

 

 

 

iii. The entire funding provided under GECL shall be provided with a 100% credit guarantee by NCGTC to MLIs under ECLGS.

 

 

 

iv. Tenor of loan under Scheme shall be four years with moratorium period of one year on the principal amount.

 

 

 

v. No Guarantee Fee shall be charged by NCGTC from the Member Lending Institutions (MLIs) under the Scheme.

 

 

 

vi. Interest rates under the Scheme shall be capped at 9.25% for banks and FIs, and at 14% for NBFCs.

 

 

 

 

 

Implementation schedule:

 

The Scheme would be applicable to all loans sanctioned under GECL during the period from the date of announcement of the Scheme to 31.10.2020, or till an amount of Rs three lakh crore is sanctioned under the GECL, whichever is earlier.

 

 

 

Members are requested to take note of above features of the ECLGS Scheme and  may avail, if applicable.

 

 

 

For operational guidelines and FAQs, please use below links on NCGTC site-

 

 

 

 

 

https://www.eclgs.com/documents/ECLGS%20-%20Operational%20Guidelines-Updated%20-%2002.06.2020.pdf

 

 

 

 

 

https://www.eclgs.com/documents/FAQs_on_ECLGS-Updated_as_on_06.06.2020.pdf

 

 

 

 

 

Please note that above information is being provided only as a service to the members in good faith.  For further details/ queries, Please contact your bank and financial institutions.

 

 

 

You may also send your feedback to the council on info@chemexcil.gov.in .

 

 

 

 

 

Thanks and Regards,

 

 

 

 

 

S G Bharadi

 

Executive Director

This is with reference in view of the disruption in supply chains due to the Corona virus. As you aware that Coronavirus epidemic is a matter of grave concern for the entire world, it is incumbent on larger economies like India to fill up the gaps in the global market. Countries which had been depending on China have learnt a lesson they should have an alternative market for sourcing and India was expected to be their preferred destination. So in the coming few months can provide our exporters greater market access in the absence of usually aggressive and competitive Chinese suppliers.

 

 

 

As a part of special measures under the national emergency to combat the spread of COVID-19 in Peru, has announced a zero per cent import duty on 65 products which include organic and inorganic chemicals, medicament, medical appliances, articles of vulcanised rubber, super absorbent polymers, etc. this is to overcome the likely supply chain disruption. Though a temporary measure intended for 90 days with effect from 13 March, it is likely to be extended for a longer period. Peru currently imports these items from China, USA, and EU countries, with which it has Free Trade Agreements, while imports from India attract 6% duty. According to Lima Chamber of Commerce (LCC) and the Association of National Pharmaceutical Industries, the measure (to remove duty) would incentivize Peruvian importers to source these products from other markets such as India.

 

 

 

In this context on our request we have received tremendous support from the High Commission of India in Peru and we have received information from them that President of Anders Peru S.A.C., Mr. Peter Anders – which has major presence in Peru as distributor of chemicals and intermediate products in different industrial sectors, has expressed interest in establishing contacts with potential suppliers in India. Mr. Anders approached the Embassy for support and guidance for sourcing chemicals and ingredients in the following sectors:

 

 

 

•        Coatings and adhesives

 

•        Plastics

 

•        Flexo painting

 

•        Home and personal care (cosmetics and perfumes)

 

•        Industrial and institutional hygiene

 

•        Electroplating

 

•        Textiles

 

•        Paper industry

 

•        Food additives

 

 

 

Mr. Anders has stated that they are currently importing dyes from India for the paper industry, and that they are keen to build and expand company’s trade relations with Indian suppliers.

 

 

 

Anders Group is a well reputed Peruvian company in the chemicals sector and it is a regional South American distributor of specialty chemicals, ingredients and industrial equipment. It was founded in 1964 and has 56 years of market experience. Its headquarters is located in Lima, Peru. The group with more than 150 employees and a turnover of over US$ 60 million, has commercial offices and warehouses in Peru, Bolivia, Ecuador, Chile and Colombia. The group company presentation is attached herewith for your ready reference. Mr. Anders also informed that he would like to use company’s distribution centre in Lima as a hub for supplies to countries in the region.

 

 

 

Mr. Anders’ proposal offers a good opportunity to tap into the Peruvian market, especially when exports of organic chemicals from a major supplier to Peru has dropped by 17%  and those of inorganic chemicals by 13% during the period January – April 2020.

 

 

 

We may request to our members to contact directly with Anders Peru S.A.C to expand business in Peruvian market. The details are mentioned below

 

 

 

            Mr. Peter Anders

 

            President of the Board

 

            Anders Peru S.A.C.

 

            E.mail: peter.anders@qanders.com 

 

 

 

Further, as desired, please find attached Lists of potential importers in Peru under Chapters 28, 29, 32, 33, 34, and 38.

 

 

 

We may request to our member exporters to take advantage of this opportunity and export to Peru.

 

 

 

Members  may also  send their comments / feed-back  on  our e-mail id’s:  ed@chemexcil.gov.in;  adreach@chemexcil.gov.in; deepak.gupta@chemexcil.gov.in; rokolkata@chemexcil.gov.in & robengaluru@chemexcil.gov.in  

 

 

 

Thanks and best regards,

 

 

 

S G BHARADI

 

EXECUTIVE DIRECTOR

 

CHEMEXCIL

 

BASIC CHEMICALS, COSMETICS & DYES EXPORT PROMOTION COUNCIL