Anti Dumping Duty on Soda Ash - Notifications Rescinded, but ADD to Continue till High Court Decides the Matter - Government @ speed of Light
THE Government can do things when they really want to as this case would reveal.
By Notification No. dated 03.07.2012, the Government imposed Anti Dumping Duty on the import of Soda Ash falling under sub-heading 283620 of the First Schedule to the Customs Tariff Act, originating in, or exported from, People's Republic of China, European Union, Kenya, Iran, Pakistan, Ukraine and United States of America.
By Notification No. , dated 18.04.2013, the Government imposed Anti Dumping Duty on the import of Soda Ashoriginating in, or exported from, Russia and Turkey.
The Designated Authority in its final findings in Mid-Term Review vide notification dated the 23rd September, 2016, published in the Gazette of India, on 23rd September, 2016, has come to the conclusion that despite the continued dumping after imposing ADD, it has caused no injury to the domestic industry and recommended revocation of the anti-dumping duties imposed on the imports of the soda ash, originating in or exported from these countries.
The Government of India is to decide on the revocation within three months that is by 22nd December 2016 (today).
In the meantime, some domestic producers approached the Gujarat High Court where the case took several twists and turns with the very right to approach the High Court being questioned. The High Court passed several interim orders and on 13.12.2016 held that the parties do have a right to approach the High Court and passed a very important interim order - that in case, pursuant to the impugned final findings recorded by the designated authority, the Central Government publishes a notification in the Official Gazette under rule 18 of the rules, the same shall not be acted upon till the final disposal of these petitions and posted the case for final hearing on 15.02.2017.
Now see the dilemma of the Government. The Designated Authority had on 23.09.2016 recommended revocation of the anti dumping duty and the government should have done so immediately, but not later than 22.12.2016, but there was an interim stay of the High Court. Importers are unhappy if there is anti dumping duty, domestic industry is unhappy if there is no anti dumping duty, Designated Authority says ‘there is no injury to domestic industry and so revoke the duty'. High Court says, “Stay”. And the time is running out for the Government to follow the recommendation of the Designated Authority.
Anyway, the high Court solved the problem. Government is told, "revoke the duty, if you want but keep it in abeyance till the matter is finally disposed of by the high Court". This decision came on 13.12.2016 and the Government had all of nine days to issue the notifications. AND THEY DID IT.
Yesterday the government issued two notifications rescinding notifications dated 03.07.2012 and , dated 18.04.2013 with the condition that the rescission shall remain in abeyance subject to the final order of the Hon'ble High Court of Gujarat.
Within eight days of the High Court Order, the Government could issue the notification which is simply stupendous. The Board richly deserves encomiums of the highest order.
Having said that, I can't resist the temptation of pointing out that they could have been slightly more careful about their spellings.
The Notifications state - except as respects things done or omitted to be done before such rescission, and such recession shall remain in abeyance subject to the final order .
They got the first rescission right but got the second recession wrong.
Please see Rescission or Recession
Notification No. ., Dated: December 21, 2016
Notification No. ., Dated: December 21, 2016