Preventive trade policies restrict export of key agri commodities: study
The Dollar Business Bureau The trade policy of India on agriculture has a pro-customer prejudice which indirectly taxes farmers by putting export curbs on different crops, according to a study. The domestic prices of major agricultural items were below that of export prices in most of the years during the period 2004-2014, a joint study by The World Bank and Indian Council for Research on International Economic Relations (ICRIER) on Tuesday revealed. Policy makers have used preventive trade policies to maintain the domestic prices low in most of the years, the study found after an analysis of domestic prices deviation from global prices. The study on ‘Price Distortions in Indian Agriculture’, analysed global and domestic prices of 15 agri commodities for a 10-year period between ...
Government likely to hike import duty on sugar to 60%
The Dollar Business Bureau The government is likely to increase the duty on the import of sugar to 60% from the present 40% in order to control the cheap imports and to maintain local prices. Any decline in the domestic prices of sugar will impact the millers' capacity to pay sugarcane dues to farmers. In the wake of lower sugar production expected during the current marketing year of 2016-17, the government, in April, had permitted 5 lakh tonnes of raw sugar import at zero duty in order to boost local supply. “We are monitoring global price movement closely. Prices in the international market are falling and some traders are keen to import even at high customs duty. So, we are considering raising the import duty,” ...
India to levy anti-dumping duty on Chinese chemicals
The Dollar Business Bureau The Indian government is likely to levy anti-dumping duty of $1.22 per kg on chemicals imported from China to safeguard the interests of the local manufacturers. The chemical that comes through the inbound shipments from China is mostly used by the refrigerant industry as it is very cheap when compared to the domestic prices. The only producer of that chemical in India SRF Ltd had urged the government to continue and enhance the anti-dumping duty on the Chinese imports. Under the Union Commerce Ministry, the Directorate General of Anti-Dumping and Allied Duties (DGAD) has reviewed this matter. Finally, the authority found that the chemical – 1,1,1,2- Tetrafluoroetha is continuously being dumped from China. The anti-dumping measures should be extended ...
Zero MEP to have less impact on onion prices, exports
Sai Nikesh | The Dollar Business In second week of December, the government had reduced MEP on onion from $700 per tonne to $400 per tonne In view of sharp decline in onion prices and its adequate supply in domestic market, the government has removed Minimum Export Price (MEP) cap of $400 per tonne to encourage overseas shipments. Experts are of the view that the move is unlikely to affect onion prices in domestic markets as its demand in export market might remain low. “Keeping in view of sharp decline in wholesale prices of onion in producing mandies of Maharashtra and major consuming mandies and huge arrivals of onion, the government decided to reduce the MEP to 'zero' from $400 per ...
