DGTR proposes 2-year curbs on soda ash imports

The Commerce Ministry's trade remedy investigation arm, the Directorate General of Trade Remedies (DGTR), has proposed two-year curbs on soda ash imports into India, aiming to protect the domestic industry from a significant surge in imports. This recommendation follows an investigation initiated by the Alkali Manufacturers Association of India (AMAI) on behalf of several domestic soda ash producers, including DCW Ltd, GHCL Ltd, Nirma Ltd, RSPL Ltd, and Tata Chemicals.

The alleged impact on the domestic industry prompted the DGTR to conclude that imports of soda ash have increased both in absolute and relative terms, with a 89 per cent rise in 2023-24, and this trend has remained consistent since then. The increase is described as recent, sudden, sharp, and significant enough to potentially cause serious injury to the domestic industry.

To prevent this harm, the DGTR has recommended imposing quantitative restrictions on imports of soda ash for a period of two years. The proposed import quota for Year 1 is 7,54,992 metric tonnes (MT), and for Year 2, it is 7,92,740 MT, resulting in a cumulative quota of 15,47,732 MT. The allocation varies by country, with the USA, Turkey, Iran/UAE, Russia, the European Union, and Kenya receiving specific quotas for both years.

The DGTR's decision to impose these safeguard measures is intended to allow the domestic soda ash industry to adjust to the increased competition and prevent serious injury to its operations. The quotas will be allocated in four quarterly tranches, with no single country's imports from any quarter exceeding its designated quota for that period.