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Dumping dogs local industries

Entrepreneurs seek anti-dumping measures

STAR BUSINESS REPORT
Several hundred small and medium industries may face closure amidst stiff competition after 2004 if the government fails to protect them from dumping by foreign companies, local entrepreneurs said.
Local yarn, pharmaceutical, blade, sandpaper and some other companies are seeking antidumping measures from the government as they are heavily hurt by dumping from other countries, mostly from India.
According to Bangladesh Tariff Commission (BTC), some of these industries applied to the commission for such measures. "But the BTC is not prepared to initiate any
anti-dumping steps," said a source in the commission.
Non-availability of expert lawyers on anti-dumping law is a major problem the BTC is now facing to handle the dumping issue, he added.
Affected entrepreneurs said Tariff Commission is the appropriate authority to handle this issue but there is not a single example that a case has been lodged to protect local industries from dumping.
"Tariff imposition on imported items is an way by which the government can protect the local industries but the tariff rates are being reduced gradually due to a WTO obligation," said a top-ranking official of the BTC.
According to dumping law, goods exported from any country to Bangladesh at less than their normal value are considered as being dumped. Locally produced goods can not compete with these dumped products.
Tariff Commission yesterday exchanged views with local industry people to find ways to handle the dumping problem they are facing now.
International Chamber of Commerce-Bangladesh (ICC-B) Vice-president ASM Quasem told the meeting that Bangladesh remains as a potential market for dumping as no legal measures have so far been taken against dumping by other countries.
"Let's file some anti-dumping cases first," he suggested.
A top official of a leading pharmaceutical company said his company set up a plant for producing raw materials of medicine but could not start production in last three years as an Indian exporter offered the item at lower price.
"Unless we take anti-dumping measures, we would be marginalised. We need to learn from India how they are doing this," said Feroz Rahim, chief executive officer of Rahimafrooz (Bangladesh) Ltd.
Responding to the entrepreneurs, Professor MA Taslim, chairman of BTC, said they lack expertise to take measures against dumping.