Indian Government Continues to Tax CD-Rs

According to the Institute of International Trade, India has imposed anti-dumping duty on six countries, including Malaysia. In order to protect its domestic compact disc recordable (CD-R) industry from suffering huge losses because of cheaper imports.

The Directorate General of Anti-dumping and Allied Duties (DGAD) has also recommended the levy of anti-dumping duty on Iran, South Korea, Thailand, the United Arab Emirates (UAE) and Vietnam.

The announcement was on expected lines after the DGAD found "the domestic industry has suffered material injury", as CD-Rs imported from these countries were below the nominal value.

According to a Finance Ministry notification, a special duty of between US$17.52 (RM61.30) and USS63.84 (RM223.44) per 1,000 CD-Rs would be imposed on Iran, South Korea and Thailand.

The anti-dumping duty for CD-Rs imports from Malaysia is US$45.11 (RM158) for 1,000 pieces and for the UAE, US$63.64 (RM 223).

The DGAD initiated an investigation into the alleged dumping and the damage caused to the domestic industry, after the Optical Disc Manufacturers Welfare Association, New Delhi, filed a complaint with the department in 2007.

The duty is applicable from March 13, 2008, the date of imposition of provisional anti-dumping duty.

India imports about 900 million CD-Rs annually.

In 2006, India had imposed such duty on CD-Rs imported from China, Hong Kong, Singapore and Taiwan. Such duties are indeed the need of the hour especially in developing countries like India.