Case No. 54/2012. Case: Merino Panel Products Limited Vs Gujarat State Fertilizers and Chemicals Limited and Directorate General of Anti-Dumping and Allied Duties. Competition Commision of India
| Case Number | Case No. 54/2012 |
| Judges | H.C. Gupta (Member), R. Prasad (Member), Geeta Gouri (Member), Anurag Goel (Member), M.L. Tayal (Member), Justice (Retd.) S.N. Dhingra (Member) and Ashok Chawla (Chairperson) |
| Issue | Competition Act, 2002 - Sections 19(1)(a), 26(2), 3, 4 |
| Judgement Date | January 09, 2013 |
| Court | Competition Commision of India |
Order:
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The present information has been filed by Merino Panel Products Limited ('the informant') under Section 19(1)(a) of the Competition Act, 2002 ('the Act') against Gujarat State Fertilizers and Chemicals Limited (OP 1) and the Directorate General of Anti-Dumping and Allied Duties, (OP 2) Department of Commerce, Ministry of Commerce and Industry ('the opposite parties') alleging inter-alia contravention of Section 3 and Section 4 of the Act. The informant claimed to be in the business of importing and selling of Melamine, a tasteless, odourless, and non-toxic substance, used for laminates to some electrical appliances possessing high mechanical strength. OP 1 is a Public Sector Undertaking engaged in the business of Melamine production in India. OP 2 is Director General of Anti-Dumping and Allied Duties (DGAD), a government agency under Ministry of Commerce and Industry to regulate antidumping behavior of the firms in the Indian market.
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As per the information, in India, OP 1 is the sole producer of Melamine. A number of companies including informant import Melamine from abroad. The informant submitted that OP 1 initiated two anti-dumping investigations relating to alleged dumping of melamine into India from China. Subsequently antidumping investigation was also initiated against the imports of melamine from EU, Indonesia, Iran and Japan.
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The first anti-dumping investigation relating to alleged dumping from China was initiated by OP 2 on 16.09.2003. OP 2, after investigation, recommended imposition of antidumping duty on the imports from China. It was recommended to impose a reference price of US Dollar 1284.38 for a cooperating exporter and US Dollar 1456.78 per MT for every other export or produce from China. The customs notification imposing anti-dumping duty recommended by the OP 2, was issued on November 16, 2004.
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In terms of India's obligations under WTO, anti-dumping duty is reviewed after every five years of duty imposition. In this case, when a review was undertaken, OP 1 again approached OP 2 for continuance of the antidumping duty. The OP 2 continued with duty imposition and recommended for all exporters US Dollar 1681.49 per MT. The customs notification imposing the anti-dumping duty was issued on February 19, 2010.
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It is submitted by the informant that after making import of melamine from China costlier, OP 1 turned its attention to imports from EU, Indonesia, Japan and Iran. OP 2, on the basis of request of OP...
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