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This is an archive article published on December 16, 2000

LS debates on cheap Chinese imports

DEc 15: The issue was raised during question hour when members expressed grave concern over the matter and said the government seemed to b...

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DEc 15: The issue was raised during question hour when members expressed grave concern over the matter and said the government seemed to be doing precious little to check the clandestine import of Chinese goods. Items like toys, shoes, batteries, among others, were available at dirt cheap prices, the members said, and complained that the domestic industry would face extinction if no timely action was taken.

Minister of State for Commerce, Dr Raman Singh, admitted in reply to the spate of questions that cheap Chinese goods were available in the Indian markets in plenty. "The government is closely monitoring the situation and has taken various steps to curb unfair trade practices leading to import of cheap consumer goods from China," he said.

Elaborating, the minister said the directorate general of anti-dumping and allied duties has recommended final duty in 25 cases against China. Provisional duty has been recommended in three cases against China. He also said that six cases have been initiated against China. Out of these six cases, investigations have been started in three cases by the designated authority. These three cases relate to dry battery, toys and sports shoes, the minister said.

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The minister said import of all packaged commodities have been made subject to compliance of all the conditions of the standards of weights and measures (packaged commodity) order, 1977, as applicable on domestic producers.

He further said that import of 131 products has been allowed subject to compliance of the mandatory Indian quality standards as applicable to domestic goods. For compliance of this requirement, all manufacturers and exporters of these products to India shall be required to register themselves with the Bureau of Indian Standards, he added.

In reply to supplementaries, the minister said the government has not constituted any assessment committee to evaluate the impact of price differentials between Indian and Chinese goods as official data is not available. He, however, said that reports from all the apex chambers, including FICCI and CII on marked increase in Chinese imports were available. The government has taken note of their suggestions, the minister added.

In reply to a question, the minister said the customs department had come across cases of heavy underbilling. In one month, for example, 165 such cases have been registered by the customs department, he said and added that the government was investigating these cases.

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Two members, A.C.Jos and Vijay Goel, came out with startling facts. Jos said China was indulging in economic terrorism against India. One dozen Chinese shirts, he claimed, were available for just Rs 70. Goel said two dozen dry cells were available for just Rs 35. Similarly, he said, Chinese tyres were being sold in Chandni Chowk market at dirt cheap rates. He feared Indian markets would be finished at this rate and asked the government to take immediate action.

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