The Indian government on Monday issued a notification slamming China with Anti-Dumping Duty (ADD) on the imports of Arylides which are organic compounds used to manufacture pigments. The issued ADD is poised to benefit Indian manufacturer Lakshmi Organics as it is the sole manufacturer of the chemical in India having a market share of around 90%.
Prior to the notification, the Director General of Trade Remedies (DGTR) had recommended imposition of ADD on Arylides imports from China. The DGTR has suggested imposing ADD between 24% and 44%.
The Indian companies had informed the DGTR regarding dumping practises by China in the Arylide market. After that DGTR investigated the accusation made by Indian companies. Post the investigation the DGTR has recommended ADD on Arylide imports from China.
Arylide is an organic compound having yellow colour. It is used as a pigment in the manufacturing of paints, acrylics, and water colours. It is primarily used as industrial colourant in plastics, building paints and inks.
As per ChemAnalyst, “the proposed ADDs on Arylides are surely going to affect the demand in India, with Lakshmi Organics being the sole player in India having a market share of 90%, the company will face huge demand from the Indian manufacturers. During this there could be supply shortages and Lakshmi Organics might not be able to fulfil the total demand which might possibly lead to a price rise in the near term.”
