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He said one specific recommendation of the industry was restoration of
the 2% additional benefit of MEIS, which was withdrawn from January 1, 2020.
However, the reward rates under the scheme won’t be revised nor
would they be expanded to cover more products such as gems and jewellery, a
Government Official said. This is because the scheme is transitioning to the Re-
mission of Duties and Taxes on Exported Products. The Government has also
rejected a demand to provide an additional 5% benefit to all exports, saying it is
“not feasible at this stage.”
The Government has also vetoed a suggestion that MEIS be granted
based on Shipping Bills, stating that the benefit is provided only after payment is
realised and also said free trade and warehousing zone exports are not eligible
for MEIS.
The scheme is being disputed at the World Trade Organization, with the
US claiming India’s Export Subsidy Programmes had hurt American workers.
[Source : The Economic Times, New Delhi, dated 6-5-2020]

25 Chinese items may face extension of dumping duty
India may extend Anti-dumping Duties and safeguards on more than
two dozens Chinese goods ranging from calculators and USB drives to steel,
solar cells and Vitamin E amid concern that a flood of imports would kill domes-
tic manufacturers who will lose duty protection soon against such products, two
officials aware of the matter said.
India’s total imports from China was $ 70.32 billion in 2018-19 with sub-
stantial contributions of these 25 items. Anti-dumping duties on these products
were imposed 5 years ago and are expiring this year. Safeguard duty on solar
cells and modules was imposed on July 30, 2018, and it is expiring on July 29,
2020.
The Government is closely monitoring the imports of about 25 items
from China, the officials at two different Economic Ministries said, requesting
anonymity.
Dumping, an unfair trade practice that entails the export of a product at
a price lower than its normal value, is countered by a punitive Anti-dumping
Duty. A safeguard duty is also imposed to check an unexpected import surge
that poses a threat the domestic industry.
Chinese imports under review include Sodium Citrate, USB flash drives,
calculators, hot-rolled flat products of stainless steel, Vitamin C and E, nylon tyre
cord, measuring tapes, Compact Fluorescent Lamps (CFLs), flax fabrics, caustic
soda, float glass, tableware, kitchenware, plastic processing machinery and solar
cells, officials said.
“In the case of Sodium Citrate, the duty protection against Chinese was
expiring on May 19. After a thorough investigation the Directorate General of
Trade Remedies (DGTR) recommended to extend Anti-dumping Duty on Chi-
nese imports last 7-5-2020,” one of the officials said. Sodium Citrate is a key
chemical compound used by the pharmaceutical industry. DGTR, previously
known as the Directorate General of Anti-dumping and Allied Duties, is an arm

EXCISE LAW TIMES  15th May 2020  53