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India to appeal at WTO against high duties imposed on textiles
Mar '09
India has vehemently protested the levying of anti-dumping duty on cotton textile imports originating from India, by Turkey and Egypt and has sought to approach the World Trade Organization (WTO), if the issue is not amicably resolved and seek appropriate compensation for the loss to business from this additional duty.

Since the unveiling of the global economic crisis, more and more countries are creating tariff barriers under the guise of protecting their local industry and this threat from India could prove to be a warning for other countries like Brazil, Peru and Bangladesh which are also contemplating doing the same, to curb imports from India.

Both Turkey and Egypt, hailing from amongst the top five cotton textile importing countries from India, had increased duties on imports of cotton textiles from India, in contravention of WTO rules. But both countries have the option of arguing by saying that the high volumes of cotton textile imports were detrimental to the interests of local producers.

But, if the issue is not settled amicably, with the two countries, and India does approach the WTO to claim compensation, which is estimated to be in the region of US $2 billion, it will set a precedent for other countries to approach the WTO to appeal against high tariff barriers erected by many other countries.

Fibre2fashion News Desk - India

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