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Shardul Nautiyal, Mumbai December 01 , 2024
The Directorate General of Trade Remedies (DGTR), under the ministry of commerce and industry, has officially terminated the anti-dumping investigation concerning imports of mono ethylene glycol (MEG) originating from Kuwait, Saudi Arabia, and the USA.

MEG is a primary raw material for polyethylene terephthalate (PET) resins. Plastic bottles utilized for pharma packaging are made of a particular plastic, called as polyethylene terephthalate or PET - a strong, clear and lightweight plastic that belongs to the polyester family. Therefore, PET quality testing has a great relevance in the pharma industry.

The investigation, which was initiated on June 28, 2021, was based on an application by India Glycols Limited (IGL) and Reliance Industries Limited (RIL), alleging that dumping of MEG by exporters from these countries was causing material injury to the Indian domestic industry.

The investigation began following claims of dumping and injury under the provisions of the Customs Tariff Act, 1975, and associated Anti-Dumping Rules, 1995. An oral hearing on December 9, 2021, allowed interested parties to present their submissions.

On October 27, 2022, the DGTR concluded that the domestic industry was not suffering material injury and recommended no imposition of anti-dumping duties.

This conclusion was later challenged by RIL before the Customs, Excise & Service Tax Appellate Tribunal (CESTAT), which directed the DGTR to re-examine the matter in October 2023.

On September 25, 2024, RIL, a co-applicant in the case, withdrew its application, citing that the data used for the investigation was outdated and no longer reflective of current market realities. Under Rule 14(a) of the Anti-Dumping Rules, the DGTR is mandated to terminate an investigation upon such a request by the domestic industry.

The DGTR has issued a public notice terminating the investigation, stating "In view of the request made by the domestic industry and under the provisions of Rule 14(a) of the Rules, the Authority hereby terminates the investigation initiated on June 28, 2021."

This decision effectively ends the anti-dumping proceedings against imports of mono ethylene glycol from the specified countries.

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