ITC Believes In Making Indian Décor Paper Industry Completely Local

Wednesday, 16 December 2020

Ministry of Commerce & Industry, Govt of India has initiated anti-dumping investigation on imports of Decor Paper from China. The initiative has been taken after the application filed by ITC Limited. The company had filed an application alleging the material injury to the domestic industry is being caused due to dumped imports of the Decor paper, originating in or exported from China. They have requested for imposition of the anti-dumping duty on its import from China. The product under consideration is decorative base paper for HPL and LPL of various thicknesses, also known as decorative base paper, decorative paper for highpressure or low-pressure laminates, coating base paper and print base paper, but excluding printed ready-to-use decor paper.

The Ply Reporter has approached to ITC Ltd to know the company’s view and has talked to Mr. Pijush Kumar Chatterjee, GM (Specialty Paper), ITC Limited in details. An excerpt from conversation…

Why do you want to impose Anti-Dumping Duty on imports of 'Decor Paper' from China?

We are the major domestic manufacturer servicing the decorative laminates industry in India. Our presence in this industry is close to 40 years now. We have invested and revamped our Décor Papers manufacturing line in 2017 and it can now compete with global producers. We have observed a trend of low-priced Chinese papers in the last 18 months due to excess capacities. Our intent is to seek a level playing field against low priced and volatile imports from China, which are damaging to the domestic industry. In line with the Governments impetus on ‘aatmanirbharta’ through ‘Make in India’ ITC believes that we must make Indian décor paper industry completely local. We do not see such policies followed by other established global players who also export Décor papers to India.

We have invested and revamped our Décor Papers manufacturing line in 2017 and it can now compete with global producers. We have observed a trend of low-priced Chinese papers in the last 18 months due to excess capacities. Our intent is to seek a level playing field against low priced and volatile imports from China, which are damaging to the domestic industry. In line with the Governments impetus on ‘aatmanirbharta’ through ‘Make in India’ ITC believes that we must make Indian décor paper industry completely local.

As a responsible domestic player committed to serving the decorative laminate industry in India, we are prepared to invest and grow in this market as long we remain competitive and are not exposed to unfair trade practices.

How much Decor Paper is being exported by China every year?

Exports from China’s Décor Paper mills to India are around 35-40K TPA and have risen sharply in the past 3 years aided by very low prices amounting to dumping.

How much the base price for Anti-Dumping Duty, do you want?

It is up to the adjudicating authority, the DGTR (The Directorate General of Trade Remedies) to decide based on the facts tabled and on the basis of their assessment of the local costs of manufacture, as well as the need for adequate return on investment for local companies. We have highlighted the extent of injury to the local industry.

Does ITC plan further expansion in its capacity after Anti-Dumping move?

ITC PSPD has a total capacity in excess of 800,000 MT per annum of paper and paper boards, out of which close to 180,000 MT is Communication & Industrial papers. Decor paper is a subset of this total capacity and we can exercise options in short term and long term to increase our share in the market subject to business being viable and attractive. As a responsible domestic player committed to serving the decorative laminate industry in India, we are prepared to invest and grow in this market as long we remain competitive and are not exposed to unfair trade practices. Once such unfair practices are resolved, we expect current and new players in the Indian industry to set up world class décor paper facilities.

 

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