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EXTRAORDINARY
PART I —Section 1
PUBLISHED BY AUTHORITY
No. 72] NEW DELHI, TUES DAY , MARCH 2 6, 2024 /CHAITRA 6, 194 6
CG-DL-E-27032024-253389
MINISTRY OF COMMERCE AND INDUSTRY
(Directorate General of Trade Remedies)
INITIATION NOTIFICATION
New Delhi, the 2 6th March , 2024
(Case No. AD(OI) - 02/2024)
Subject: Initiation of anti -dumping investigation concerning imports of “Saccharin” originating in or exported
from China PR
F. No. 6/02/2024 -DGTR. —1. M/s. Swati Petro Products Ltd. and M/s. Blue Jet Healthcare Ltd. (hereina fter
collectively referred to as applicants) have filed an application before the Designated Authority (hereinafter referred to
as the "Authority") under the provisions of the Customs Tariff Act 1975, as amended from time to time (hereinafter
also referred to as the "Act") and the Customs Tariff (Identification, Assessment, and Collection of Anti -Dumping
Duty on dumped Articles and for Determination of Injury) Rules, 1995, as amended from time to time (hereinafter
referred to as the 'Rules'), seeking initia tion of an anti -dumping investigation by alleging dumping of "Saccharin",
originating in or exported from China PR (hereinafter referred to as the “subject country”).
A. PRODUCT UNDER CONSIDERATION
2. The product under consideration is the “Saccharin” hereinafte r also referred to as "subject goods" or "product
under consideration" or "PUC").
3. Saccharin is a non -nutritive sweetener and considered to be low calorie substitute for cane sugar. Primarily there
are two types of saccharin i.e. soluble and insoluble. In m arket parlance soluble saccharin is called sodium
saccharin whereas insoluble saccharin is called saccharin or saccharin acid. Saccharin is produced in two
physical forms, viz. granular and powder. Sodium saccharin in granular form is used in situations wh ere
saccharin will be dissolved, the powder form which has been grounded and spray dried is used in dry mixes and
pharmaceuticals. It is slightly soluble in water. Insoluble form of saccharin is used in many pharmaceutical and
medical applications. Sacchar in is used in a variety of industry such as food and beverage, personal care
products, tabletop sweeteners, electroplating brighteners, pharmaceuticals, etc. All forms of saccharin are within
the scope of the present investigation.
4. The product under consideration is classified in Chapter 29 of the Customs Tariff Act, 1975 under customs
subheading no. 29251100 of the Customs Tariff Act, 1975. However, Customs classifications are indicative
only and in no way binding on the scope of th is investigation.
5. The applicants have not proposed any PCNs in the present application. The Authority has observed fluctuations
in the unit price of the product under consideration. The interested parties may offer their
comments/submissions on the PUC/ PC N, if any, within thirty days from the date of date of initiation of this
investigation.
B. LIKE ARTICLE
6. The applicants have claimed that the goods produced by the domestic industry are like articles to the subject
good originating in or exported from China P R. It has been stated that the article produced by the applicants and
that imported from China PR are comparable in terms of physical and chemical characteristics, manufacturing
process and technology, functions and uses, product specifications of the subj ect goods. The subject goods and
the article manufactured by the applicants are technically and commercially substitutable. The applicants have
claimed that consumers are using the subject goods and the article manufactured by the applicants
interchangeabl y. Thus, for the purpose of the present investigation, the subject goods produced by the domestic
industry is being treated as ‘like article’ of the subject goods imported from China PR.
C. DOMESTIC INDUSTRY AND STANDING
7. The application has been filed by Swat i Petro Products Ltd. and Blue Jet Healthcare Ltd. There are two other
producers producing subject goods, namely, A. S. Chemopharma Pvt. Ltd. and Shree Vardayini Chemical
Industries Pvt Ltd.
8. As per the evidence available on record, production of the appli cants accounts for “major proportion” of total
Indian production. Further, the applicants have not imported the subject goods from the subject country nor are
they related to any the importer or the exporter of the subject goods. In view of the above, the Authority notes
prima facie that the applicants constitute an eligible domestic industry in terms of Rule 2 (b), and the application
satisfies the criteria of standing in terms of Rule 5(3) of the Rules supra .
D. SUBJECT COUNTRIES
9. The subject country for the present investigation is China PR.
E. PERIOD OF INVESTIGATION
10. The period of investigation (POI) in the present investigation is October 2022 - September 2023 (12 months).
The injury investigation period has been considered as the period of investigation and 2020 -21, 2021 -22, and
2022 -23.
F. BASIS OF ALLEGED DUMPING
a. Normal Value
11. The applicants have claimed that China PR should be treated as a non -market economy and the normal value
should be determined in terms of Rule — 7 of Annexure I of the Rules. The applican ts have cited Para 8(2) of
Annexure -I of the Rules and have stated that the Chinese producers should be directed to demonstrate that
market economy conditions prevail in the industry producing the subject goods in terms Para 8(3) of Annexure -I
of the Rules . The applicants have claimed that for China PR, normal value should be determined in accordance
with para 7 and 8 of Annexure I of the Rules.
12. The normal value, for the purpose of initiation of the investigation, has been constructed based on the best
estimates of the cost of the production of the domestic industry of the subject goods as per the best information
available after duly adjusting the selling, general and administrative expenses with reasonable profits.
b. Export Price
13. The export price for the sub ject goods has been computed based on the Directorate General of Systems & Data
Management transaction -wise import data. Appropriate price adjustments have been claimed to make the prices
at ex -factory levels so that they become comparable with the normal value.
c. Dumping Margin
14. The normal value and the export price have been compared at the ex -factory level, which prima facie establishes
that the dumping margin is above the de minimi s level and is significant with respect to the product under
consideration f rom the subject country. Thus, there is sufficient prima facie evidence that the product under
consideration from the subject country is being dumped in the domestic market of India by the exporters from
the subject country.
G. ALLEGATION OF INJURY AND CAUSAL LINK
15. The applicants have provided prima facie evidence with respect to the injury suffered by the domestic industry
because of the dumped imports. The volume of the subject imports from the subject country has increased in
both absolute as well as in rela tive terms. The capacity utilization of the domestic industry has declined. The
price depression caused by the dumped imports have been preventing the domestic industry from increasing its
prices to recover the full cost and achieve reasonable rate of retu rns. The subject imports have an adverse impact
on the profitability parameters of the domestic industry due to which the domestic industry is earning negative
returns in the POI. There has also been an increase in the inventory levels of the domestic indu stry. Thus, the
evidence provided by the applicants, prima facie shows injury to the domestic industry caused by the alleged
dumped imports from China PR.
H. INITIATION OF THE INVESTIGATION
16. On the basis of the duly substantiated application by the domestic in dustry, and having satisfied itself, on the
basis of prima faci e evidence submitted by the applicants substantiating the dumping and consequent injury to
the domestic industry, the Authority hereby initiates an anti -dumping investigation into the alleged d umping and
consequent material injury to the domestic industry in accordance with Section 9A of the Act read with Rule 5
of the Rules, to determine the existence, degree, and effect of alleged dumping and to recommend the amount of
dumping duty, which if l evied would be adequate to remove the injury to the domestic industry.
I. SUBMISSION OF INFORMATION
17. All communication should be sent to the Authority via email at the email adg16 [email protected] , adv13 -
[email protected] , [email protected] and dd17 [email protected] . 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.
18. The known producers/exporters from the subject country, their government through their embassy in India, the
importers and users in India known to be concerned with the subject goods and the domestic producers 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.
19. 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 below on the email addresses mentioned hereinabove.
20. Any party making any confidential submission before the Authority is required to make a non -confidential
version of the same available to the other interested parties .
21. Interested parties are further advised to keep a regular watch on the official website of the Authority
http://www.dgtr.gov.in/ for any updated information with respect to this investigation.
J. TIME LIMIT
22. Any info rmation relating to the present investigation should be sent to the Authority via email at the email
addresses adg16 [email protected] , adv13 [email protected] , [email protected] and dd17 [email protected] within thirty days
(30 days) from the date of receipt of the notice as per Rule 6(4) of the ADD Rules. It may, however, be noted
that in terms of explanation of th e said Rule, the notice calling for information and other documents shall be
deemed to have been received within one week from the date on which it was sent by the Designated Authority
or transmitted to the appropriate diplomatic representative of the expo rting country. If no information is
received within the prescribed time limit or the information received is incomplete, the Authority may record its
finding on the basis of the facts available on records in accordance with the Rules.
23. All the interested pa rties are hereby advised to intimate their interest (including the nature of interest) in the
instant investigation and file their questionnaire response/submissions within the above time limit.
K. SUBMISSION OF INFORMATION ON CONFIDENTIAL BASIS
24. Any party mak ing any confidential submission or providing information on confidential basis before the
Authority, is required to simultaneously submit a non -confidential version of the same in terms of Rule 8(2) of
the Rules and the Trade Notices issued in this regard. Failure to adhere to the above may lead to rejection of the
response/ submissions.
25. The parties making any submission (including Appendices/ Annexures attached thereto), before the Authority
including questionnaire response, are required to file confidenti al and non - confidential versions separately.
26. The "confidential" or "non -confidential" submissions must be clearly marked as "confidential" or "non -
confidential" at the top of each page. Any submission made without such marking shall be treated as non -
confidential by the Authority, and the Authority shall be at liberty to allow the other interested parties to inspect
such submissions.
27. The confidential version shall contain all information which is by nature confidential and/or other information
which the su pplier of such information claims as confidential. For information which is claimed to be
confidential by nature or the information on which confidentiality is claimed because of other reasons, the
supplier of the information is required to provide a good cause statement along with the supplied information as
to why such information cannot be disclosed.
28. The non -confidential version of the information filed by the interested parties should be a replica of the
confidential version with the confidential inform ation preferably indexed or blanked out (where indexation is
not possible) and such information must be appropriately and adequately summarized depending upon the
information on which confidentiality is claimed.
29. The non -confidential summary must be in suff icient detail to permit a reasonable understanding of the substance
of the information furnished on a confidential basis. However, in exceptional circumstances, the party
submitting the confidential information may indicate that such information is not sus ceptible to summary and a
statement of reasons containing a sufficient and adequate explanation in terms of Rule 8 of the Rules, 1995, and
appropriate trade notices issued by the Authority, as to why such summarization is not possible, must be
provided to the satisfaction of the Authority.
30. The interested parties can offer their comments on the aforementioned email addresses on the issues of
confidentiality claimed by the interested parties within 7 days from the date of circulation of the non -
confidential v ersion of the documents.
31. Any submission made without a meaningful non -confidential version thereof or a sufficient and adequate cause
statement in terms of Rule 8 of the Rules, and appropriate trade notices issued by the Authority, on the
confidentiality c laim shall not be taken on record by the Authority.
32. The Authority may accept or reject the request for confidentiality on examination of the nature of the
information submitted. If the Authority is satisfied the request for confidentiality is not warranted or if the
supplier of the information is either unwilling to make the information public or to authorize its disclosure in
generalized or in summary form, it may. disregard such information.
L. INSPECTION OF PUBLIC FILE
33. A list of registered interested partie s will be uploaded on the DGTR's website along with the request therein to
all of them to email the non -confidential version of their submissions/response/information to all other
interested parties. Failure to circulate non - confidential version of submis sions/response/information might lead
to consideration of an interested parry as non -cooperative.
M. NON - COOPERATION
34. In case where an interested party refuses access to, or otherwise does not provide necessary information within a
reasonable period, or sign ificantly impedes the investigation, the Authority may record its findings on the basis
of the facts available to it and make such recommendations to the Central Government as deemed fit.
ANANT SWARUP, Designated Authority
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