“The adverse impact of dumping is so serious that currently, no good orders are in place to keep the plants running, resulting in severe financial stress, endangering the continuity of the mill operations and retaining employment,” INMA has said in a statement.
“Domestic newsprint production capacity was 2.6 million tonnes in FY 2014-15 but has come down to 2.2 million tonnes in view of the continued challenging environment leading to the closure of mills. However domestic capacities are still adequate to meet the domestic demand. There is an urgent need to curb dumping and other unfair trade practices operating in the industry,” states INMA.
Due to imports being cheaper than the domestically manufactured newsprint product, during FY18 and FY19, domestic sales of newsprint stood at 1.2 million tonnes per annum which reduced drastically to 0.7 million tonnes in FY20 in view of dumping.
According to INMA, against the import price of $800 per tonne of newsprint in FY18, the newsprint is currently being dumped by exporters at $390-400 per tonne which is almost $250-300 per tonne cheaper than their home country sales price. With the COVID pandemic leading to demand reduction worldwide, market intelligence points to the dumping of newsprint paper at $350 per tonne.
INMA says it is not against legal import by actual users but against unfair trade practice being adopted by the exporters. As an urgent measure, INMA has asked for the imposition of a five-year moratorium on newsprint imports, among other tasks. (IANS)