PVC Paste Resin originating in or exported from the European Union, Korea RP and Saudi Arabia

Subject: Anti-dumping investigation concerning imports of PVC Paste Resin originating in or exported from the European Union, Korea RP and Saudi Arabia – Final Findings

No. 14/14/2003-DGAD - Having regard to the Customs Tariff Act, 1975 as amended in 1995 and the Customs Tariff (Identification, Assessment and Collection of Anti Dumping Duty on Dumped Articles and for Determination of Injury) Rules, 1995, thereof;

(i) The Designated Authority (hereinafter referred to as Authority), under the above Rules, received a written petition from M/s. Chemplast Sanmar Ltd, Chennai, on behalf of the domestic industry, alleging dumping of PVC Paste Resin originating in or exported from European Union, Korea RP and Saudi Arabia (hereinafter referred to as subject countries);

(ii) The Authority notified the Embassies/High Commissions of subject countries in India about the receipt of fully documented application made by the petitioner before proceeding to initiate the investigation in accordance with sub-rule (5) of Rule 5 supra;

(iii) The Authority issued a Public Notice dated 22^nd August 2003 published in the Gazette of India, Extraordinary, initiating anti dumping proceedings concerning imports of PVC Paste Resin from subject countries.

(iv) The Authority forwarded copy of the said public notice to the known exporters, importers, industry associations and to the complainant and gave them an opportunity to make their views known in writing.

(v) According to sub-rule (3) of Rule 6 supra, the Authority provided a copy of the petition to all the known exporters and Embassies/High Commissions of subject country in India. M/s Hanwha Chemical Corporation Seoul, has responded to the application and submitted all the appendices to the exporter’s questionnaire and also offered verification to the data submitted by them.

(vi) The Authority sent questionnaires, to elicit relevant information, to the following known exporters from European Union, Korea RP and Saudi Arabia .

Alscondel, Barcelona(vii) M/s LG Chemicals Ltd, has responded to the application filed by the M/s domestic Industry and initiation notification issued by the designated Authority and has submitted al the appendices pertaining to the exporters questionnaire and also offered for the verification of the data submitted by them. M/s SABIC Ltd, Riyadh submitted only part information to the Authority and has not submitted response in the form and manner required in the exporters questionnaire. However they offered price undertaking should the Authority come to a decision about the dumping and injury to the domestic industry. However, none of the other producers as well as the exporters have submitted any response to the exporters questionnaire as required in the form and manner and they have not responded to the any of the Appendices of the exporters response. In fact none of the producers as well as exporters participated in the public hearing which was held on 25^th May 2004. Though some arguments have been made by them with regards to the dumping and injury , they have not backed it up with any evidence or information. In view of their non cooperation , the Authority has treated all the exporters from EU and SABIC as non cooperative and has and worked out dumping margin as per the best information available. However the arguments presented by these exporters have been analysed to the extent these have been found relevant in this subject investigations.

(viii) The Embassies/High Commissions of subject countries in New Delhi were also informed about the initiation of investigation and requested to advise the exporters/producers from their countries to respond to the questionnaire within the prescribed time;

(ix) The questionnaire was sent to the large number of importers and arguments made by importers and users have been analysed by the Authority to the extent they have been found relevant for the subject investigation.

(x) The Authority kept available non-confidential version of the evidence presented by various interested parties in the form of a public file maintained by the Authority and kept open for inspection by the interested parties;

(xi) **** in this notification represents information furnished by the interested parties on confidential basis and so considered by the Authority under the Rules;

(xii) The investigation of dumping and injury covered the period from 1^st October 2002 to 30^th June 2003 (Also called the period of investigation or POI). The examination of trends in the context of injury analysis covered the period from 1^st April 2000 to the end of period of investigation (also called period under consideration). The import data has been examined from IBIS, Mumbai , DGCIS and data submitted by the exporters and importers. However after examining all the data including the transaction wise data from DGCIS and IBIS, Mumbai, it was considered appropriate to rely on the information submitted by the exporters (cooperating), importers, and transaction wise data from the IBIS (international business information system), Mumbai as DGCIS data does not show the full imports volume from the subject countries and imports other than the subject goods are reflected in the DGCIS data .

(xiii) The Authority provided an opportunity to all interested parties to present their views orally on 25h May 2004. All parties presenting views orally were requested to file written submissions, of the views expressed orally. Domestic verification as well as exporter’s verification of the data submitted by them were undertaken by the Authority. The Authority sought and verified all the information it deemed necessary for the purpose of Final Findings with regards to determination of dumping and resulting injury. The Authority conducted on the spot investigation of the domestic industry to the extent considered necessary. The Authority also carried out on spot verification of the data submitted by cooperating exporters M/s LG Chem and M/s Hanwa Chemical Corporation, Seoul. South Korea and verified the data submitted by them. In accordance with Rule 16 of The Rule supra, the essential facts/ basis considered for these findings were disclosed to known interested parties on 4^th August 2004 and comments received on the same are duly considered in Final Findings.

(xiv) The cost of the production of the domestic industry was also analysed to work out the optimum cost of the production and the cost to make and sell the subject goods in India on the basis of Generally Accepted Accounting Principles based on the information furnished by the petitioner so as to ascertain if anti Dumping duty lower than dumping margin would be sufficient to remove injury to the domestic Industry.

(xv) Copies of initiation notice were also sent to FICCI, CII, ASSOCHAM etc., for wider circulation.

2. The product under consideration in the present case is "Poly Vinyl Chloride Paste Resin’ also called Emulsion PVC Resin and referred to as PVC Paste Resin in the present investigation (also referred to as the subject goods). The PVC Paste Resin is produced from Vinyl Chloride Monomer (VCM). VCM is produced using EDC, which in turn requires chlorine as one of the major products. The subject goods is produced and sold in the form of white/off-white powder. The properties of the product are described in terms of K value, inherent viscosity, particle size retention, heat loss, initial BFB etc. There are arguments from various interested parties with regard to various grades of the subject goods which differ in terms of K values and which may not be produced by the domestic industry or imported from subject countries. Further, it has been argued that the customs classification mentioned in the initiation notification was incorrect. The authority has examined the various arguments put forward by various interested parties in this regard and holds that there is no significant difference between various grades, as these are technically and commercially substitutable. All grades are, therefore, subject matter of present investigation and are within the scope of product under consideration. With regard to customs classification mentioned in the initiation notification as also in the application filed by the domestic industry, it is noted that initiation notification has clearly mention that the only product description was dispositive and customs classification was only indicative and not binding on the scope of the product under consideration. It is further noted that the authority had informed all responding interested parties about the correct customs classification after the initiation and provided sufficient opportunity to these interested parties to provide information as was considered relevant as a result of this change. It is further noted that none of the interested parties has revised the data after this clarification. Common applications of PVC Paste Resin are artificial leather (Rexene, coated fabrics, tarpaulins, conveyer beltings, toys, automotive sealant, adhesives etc. The subject good is processed at consumer end, by mixing liquid plasticizers like DOP to form free flowing mixtures. These mixtures or pastes are formed to suitable shapes or coated on sub straits like textiles. The subject good is classified under chapter 39 of the customs tariff head within the customs sub-heading 39042110.

3. The petitioner has claimed that goods produced by it are like articles to the goods originating in or exported from subject countries. There is no significant difference in the subject goods produced by the petitioner and those exported from subject countries. Petitioner claims that the two are technically and commercially substitutable. Rule 2(d) of the Anti-dumping Rule specifies that like articles mean an article, which is identical and alike in all respects to the product under investigation or in the absence of such an article, another article having characteristics closely resembling those of the articles under examination. In order to establish that subject goods produced by the domestic industry is a Like Article to that exported from subject countries, characteristics such as technical specifications, manufacturing process, functions and uses and tariff classification have been considered by the Authority. It has been argued by various interested parties that suspension PVC Resins and paste PVC resins are like products and hence they should be treated as like articles. It has also been argued that plasticized PVC Resins and non-plasticised PVC resin are similar products. The authority has examined the various arguments by various interested parties in this regard and holds that PVC Paste Resin and PVC suspension resin are two distinct and different products. It is further noted that the two resins differ in terms of production technology, manufacturing process , plant and equipment, physical characteristics, functions, major usages and classification in terms of Indian Trade Classification based on Harmonized System. The differences in terms of parameters cited above are critical to the two products. It is further noted that producers of suspension PVC cannot produce paste PVC in the plant meant for suspension PVC. It is also noted that the prices of the subject goods are much higher than suspension PVC resin. With regard to the grouping of plasticised PVC and non-plasticized PVC, it is noted that the petitioner had not included plasticised PVC within the scope of the product under consideration. Further, few exporters have also argued in their submissions that Paste PVC and suspension PVC are different products altogether. As regards the submissions made by the user organisations about the inability of the domestic industry to manufacture all the grades, the Authority has carefully examined this contention after perusing the submissions made by various interested parties including the exporters and after onsite verification of the sales data of the only cooperating exporters from Korea RP that there is no significant differences within different grades of the PVC paste or emulsion resin manufactures by the various exporters in terms of their production facilities, physical and chemical characteristics and their usage. Further, no information along with any evidences have been presented to the Authority suggesting that domestic industry is not able to manufacture the particular grades and these grades are not substitutable amongst themselves. It is also noted that every manufacture fine tunes its products to cover some narrow niche segments within a broad segment, but that does not render that product un substitutable amongst themselves. On basis of the detailed investigation, the Authority notes that PVC Paste Resin produced by domestic industry has characteristics, which are similar to those imported from subject countries and to those sold in the market of exporting countries. In view of the above the Authority holds that PVC Paste Resin produced by the domestic industry and those being imported from and sold in the subject countries are like articles within the meaning of the rules.

4. The petition has been filed by M/s. Chempalst Sanmar Limited, Chennai. As per PVC Resin Manufactuerers Association (PREMA), there are only two major producers of the subject goods in India i.e. the petitioner and M/s. Finolex Industries Ltd. It is noted that the petitioner is a major producer of subject goods in India accounting for a major proportion of the production of the subject in India. The other producer of the subject goods i.e. M/s. Finolex Industries Ltd has supported the application filed by domestic industry. There are arguments from some of the interested parties that the petitioner does not have the standing to file the application as PVC suspension resin and PVC paste resin are like articles. The authority has examined the issue of like article in the preceding paragraph and after detailed examination, the authority holds that the petitioner constitutes the domestic industry within the meaning of rule 2(b) and the petitioner satisfies the criteria of standing to file the application in terms of rule 5(3)(a) of the anti dumping rules.

5. As regards ascertaining that the imports from the subject countries during the period of investigation (POI) are above de-minimus levels, the Authority has referred to the transaction wise data from the subject countries as made available by DGCIS, and the actual exports data made available by the cooperating exporters. After examining the data, The Authority holds that imports from all the subject countries are above de-minimus levels in terms of volume of imports.

6. Under Section 9A(1) I of the Customs Tariff Act 1975, Normal value in relation to an article means:

1. The comparable price, in the ordinary course of trade, for the like article when meant for consumption in the exporting country or territory as determined in accordance with the rules made under sub-section (6); or

7. The Authority sent questionnaires to all the known exporters for the purpose of determination of normal value in accordance with Section 9A(1)(c). Only two producers, namely, M/s. LG Chem Ltd and M/s. Hanwha Chemical Corporation, Seoul have responded to the questionnaire in the form and manner required as per letter to the exporters and exporter’s questionnaire.

8. M/s. LG Chem and M/s Hanwha Chemical Corporation, Korea RP has responded to the exporters’ questionnaire by giving information with regard to various appendices mentioned in the exporters’ questionnaire. They also offered verification of the data submitted by them and the Authority has verified the data after onsite inspection at the premises of both the producers and the exporters. The domestic industry has submitted after the disclosure statement that various parameters on the basis of which the price adjustments has been made by the Authority is not very clear from the disclosure statement. The Authority has examined the issues raised by the domestic industry and concludes that al the price adjustments claimed by the exporters were actually verified by the Authority in full before determining the dumping margin for the exporters from Korea RP.

9. M/s. LG Chemical Ltd , Korea had one plant solely for the production of the subject goods at Yeusa in the Korea RP and their head office was at Seoul. The verification of the product under consideration and the production process was conducted at the plant in Yeusa and the verification of the data pertaining to the domestic sales transactions of the exporting firm as well as export sales to India were conducted at their corporate headquarters in Seoul. A number of invoices at random were selected by the Authority as listed in Appendix I. All these invoices were verified including all the details as specified in the Appendix I of the questionnaire response from these invoices. It was pointed out to the verification team with the evidence that LG Chem, broadly classifies its paste resin products into LP, MSP and its special grades based on the product characteristics. LP grade is further subdivided into LP 170, LP 090, and LP 010Y. Similarly, MSP grade is further subdivided into PB 1752, 1202, PB 085 and PA 1302. After examining the product characteristics of all the different grades, it was held that the concerned products being sold in the domestic, export and third country markets are similar both in terms of physical and product characteristics..

10. The production processes of the exporter was also verified in order to reach conclusion as whether the technological improvements in the recent years has materially changed the technological nature of the product or has enabled the production of the subject goods at a consistent quality which is very much desired and necessary for the user industry. However after verifying the exporter’s process, it was concluded that though the exporters have better automation systems than the domestic industry, the similarity of the end product of the product under consideration produced by the exporters and the like product produced by the domestic industry in its essential characteristics were never in doubt. Some of the invoices pertaining to exports to India (chosen randomly by the verification team) as listed in the Appendix II of the exporters’ questionnaire were also verified. Further, all the adjustments pertaining to before FOB and after FOB prices were verified by the authority. After that the cost of production was determined from the books of accounts maintained by the exporters. From the accounts of the POI , the consistent methodology followed in the accounting of the cost of production was established. Further, the cost statements of plant, stock statements of the raw materials, bills for the different utilities during the POI were also verified. From the domestic sales data, the test of 80/20 were also verified to adjudge whether the domestic sales transactions made by the exporter were in the ordinary course of trade. After detailed examination, it was concluded that the domestic sales of the exporter were indeed in the ordinary course of trade and in sufficient quantity.

11. Further, the Authority also verified the adjustment factors in the export sales to India and also their sales in the domestic market. As regards adjustment factors in export sales to India, the authority verified from their records whether domestic freight charges as well as international freight charges actually incurred on the subject goods for exports to India are deducted from the export price. Similarly, commission for registered customs specialists are subtracted from export price. The Authority noted that the exporters get the duty drawback on exported goods, which are added to the export price to arrive at the net export price at the ex-factory value. Other adjustments as detailed in the response are also verified. With regard to adjustments to the domestic sales, besides, the deduction of freight charges, packing expenses, commissions and credit expenses, the Authority found that among synthetic resin related products manufactured at home for the goods sold in the domestic market and not exported overseas, the company pays environmental charges for disposing wastes and for other social cause. This expenses is subtracted from the domestic selling prices to arrive at net domestic sale price at the ex-factory level. A list of signed invoices along with their packing lists, copies of their LCs, copies of their combined transport bill of lading, commission agreement, certificate of origin for exports to India, beneficiary certificates, copies of air bills for a list of serial numbers of invoices picked randomly by the Authority were examined and verified with the original records kept by the exporters for its authenticity.

12 The dumping margin calculation was revised after verifying the data from the exporters with regards to their normal value and export price at the ex factory level and after verifying all the adjustments. The calculations pertaining to the determination of normal value and export price are annexed at the Confidential Disclosure.

13. The Authority also verified all the records pertaining to production and sales of the M/s Hanwha Chemical Corporation, Seoul. The only plant of M/s. Hanwha Chemicals Corporation is situated at Ulsan. Their plant was visited to examine the products and production process and all the costing and sales data were examined by the Authority at their corporate Headquarters at Seoul. Though most of the data pertaining to inland transportation contract are written in Korean language, the exporters made available an English translation of the important terms used in the contract. Similarly, the agents’ commission was verified as per the actual records kept by the exporters and so was the packing expenses and inland transportation expenses incurred by the company. It was also examined that M/s. Hanwha Chemical Corporation (HCC) is producing 16 grades of PVC pastes/emulsion resins and each grade is identified with a separation identification code though the authority could not conclude on any scientific coding system behind it other than the normal nomenclature for further identification of different grades. However, among their different PVC paste grades, there is only one grade i.e. KL-31 which is exported to India. It was further noted that the subject goods sold in India and also in the home market are comparable in physical and technical characteristics. While examining the information pertaining to domestic sales to India, it was found that certain information with respect to affiliation were not provided correctly to the Authority in their original response. However, the producer and exporter immediately supplied the required data with the mention of their affiliation with their suppliers or consumers. The authority, therefore, segregated all those transactions pertaining to affiliated parties and thereafter came out with their net domestic sales price at ex-factory value (normal value) after excluding all the adjustments as mentioned in the appendix 3B and 3A. Before working out the dumping margin for M/s. HCC, the 5% sufficiency tests and the ordinary course of trade test in terms of 80-20 was carried out by the Authority. Thus, for the exports to India the duty drawback element has been added upon and in appendix 3B, the environmental charge in terms of waste disposal fee have been debited in order to arrive at net sales price at the ex factory level for determination of Normal value. The dumping margin calculation was revised after verifying the data from the exporters with regards to their normal value and export price at the ex factory level and after verifying all the adjustments. The calculations pertaining to the determination of normal value and export price are annexed at the Confidential Disclosure.

14. For the purpose of a fair comparison between the normal value and export price at an ex factory level, due allowance in the form of adjustments was made for differences that were claimed and demonstrated to affect prices and price comparability. These adjustments were made, wherever appropriate, in respect of transport, insurance, handling, loading, credit costs and others in accordance with para 6 of the annexure I of the anti dumping rules made under the Customs Tariff Act.

15. In accordance with Rule 6(IV) of annexure I to the anti dumping rules, the dumping margin was established on the basis of weighted average normal values with the weighted average export price. The comparison showed the no existence of dumping of the subject goods by the exporters during the POI. The weighted average dumping margin, expressed, as a percentage to the export price has been determined and is negative for both the exporters.

16. As the volume of imports from Hanwha Chemical Corporation and LG Chemical Corporation was very high (In fact all the exports made from Korea RP were from these two exporters only during the POI) as compared to total volume of import from Korea as a whole, no residual dumping margin has been determined for the residual exporters.

17. None of the companies from the European Union exporters and Producers have not submitted response in the form and manner as prescribed in the exporter’s questionnaire. In fact, none of them have submitted any information with regards to the Appendix 1, which would show transactions wise sales information in the country of origin. Further, They have not submitted transaction wise information with regards to the exports of subject goods to India during the POI though some of the exporters have submitted some invoices pertaining to the shipments made to India alleging that their prices are not undercutting the domestic industry’s sales and in fact they are above the sale price of the domestic producer. However, None of them have not submitted this information in the form and manner of the exporters questionnaire. Further, they have not submitted 2A which shows the sale of the subject goods of the company with separate data for exports to India, domestic market and exports to the other countries. Similarly, Appendix 3 has not been submitted which would show operating statistics of the firm. Further, they have not submitted any information with regards to the sales price structure for India and the EU, and they have not submitted any information evidencing the various adjustments claimed in their sales price structure. Further no information pertaining to the Appendix 4 and Appendix 5 has been submitted which would show installed capacity, production, sales and raw material consumption and reconciliation. Further statement of raw material consumption as required in Appendix 6 and allocation and apportionment of expenditure as required in the Appendix 7 has not been submitted. Additionally, no information with respect of statement of the cost of the production as required in the Appendix 8, Factory cost and profit of exports to India and domestic sales as required in the Appendix 8A and 8B has not been provided without which the tests of ordinary course of trade for domestic sales for determination of Normal value is not possible. Further, statement of the allocation of the SGA overheads has not been provided as required in the Appendix 9. In fact the entire submission made by the exporter to the exporter’s questionnaire is grossly deficient. The authority notes that the company was reminded by the authority to submit the complete response in the form and manner as prescribed in the exporter’s questionnaire along with its Non confidential summary and was also reminded of the fact that if the information was not supplied within reasonable time, the Authority would be free to make determinations on the basis of the facts available including those contained in the application for the initiation of the investigation by the domestic industry. The Authority notes that none of the exporters and producers have submitted any reply to the Authority letter asking for appendix wise information in the form and manner required in the exporters questionnaire. In view of non-submission of response to the exporter’s questionnaire, the Authority treats the producers and exporters as Non-cooperative within the meaning of Agreement of Anti Dumping and Anti dumping rules.

18. The authority notes that the exporter has not submitted information in the form and manner required under the exporter’s questionnaire. As no relevant information had been submitted under various appendices (particularly I & VIII), the authority cannot determine whether the domestic sales have been made in the ordinary course of trade. The claim made by the petitioner with regard to determination of normal value has also not been disputed by the exporter or other interested parties. Under the circumstances, normal value under the rules is determined on the basis of facts available as per rule 6(8) of the Anti-dumping Rules. Therefore, the information available on the estimated costs of the production in the country or origin plus selling, administrative and general expenses and a reasonable amount of profit after making reasonable adjustments has been taken as the basis for working out the normal value of the subject goods for the exporter. Export price at ex factory level has been determined with the available data from IBIS (International Business information systems, Mumbai) and with adjustments as per the facts available.

19. For the purpose of a fair comparison between the normal value and export price at an ex factory level, due allowance wherever appropriate, has been allowed in respect of transport, insurance, handling and other costs.

20 In accordance with Rule 6(IV) of annexure I to the anti dumping rules, the dumping margin was established on the basis of constructed normal values with the weighted average export price at an ex factory level. The comparison showed the existence of dumping of the subject goods by the exporter during the POI. The weighted average dumping margin, expressed, as a percentage to the export price has been determined and is 20.32%

21. The only producer and exporter from Saudi Arabia M/s SABIC have not submitted any response in the form and manner required as per the exporters’ questionnaire. However, M/s SABIC has submitted some arguments to the initiation notification and has also submitted some data regarding their sales made to India including the names of the importers though the information submitted by them is clearly deficient and in fact the producer has not submitted any appendix wise information at all indicating inter alia the transaction wise information in the domestic market, factory cost and cost of the production of the subject goods during the POI for India and other countries , sales price structure for India and domestic sales. M/s SABIC has submitted some invoices pertaining to their sales to India during the POI alleging that their prices are not undercutting the domestic industry’s sales and in fact they are above the sale price of the domestic producer. However, since the exporter has not submitted information in the form and manner as per the exporter’s questionnaire, they have been treated as non cooperative in this investigation.

22. The authority notes that the exporter has not submitted any information in the form and manner required under the exporter’s questionnaire. As no relevant information had been submitted under various appendices (particularly I & VIII), the authority cannot determine whether the domestic sales have been made in the ordinary course of trade. The claim made by the petitioner with regard to determination of normal value has also not been disputed by the exporter or other interested parties. Under the circumstances, normal value under the rules is determined on the basis of facts available as per rule 6(8) of the Anti-dumping Rules. Therefore, the information available on the estimated costs of the production in the country or origin plus selling, administrative and general expenses and a reasonable amount of profit after making reasonable adjustments has been taken as the basis for working out the normal values of the subject goods for the exporter from Saudi Arabia. Export price at ex factory level has been determined taking into account the weighted average export price as reported by the exporter in their submission with suitable adjustments.

23. For the purpose of a fair comparison between the normal value and export price at an ex factory level, due allowance wherever appropriate, has been allowed in respect of transport, insurance, handling and other costs.

24. In accordance with Rule 6(iv) of annexure I to the anti dumping rules, the dumping margin for exporters of Saudi Arabia were established on the basis of constructed normal values with the weighted average export price at an ex factory level. The comparison showed the existence of dumping of the subject goods by the exporters from Saudi Arabia. The weighted average dumping margin, expressed, as a percentage to the export price has been determined and is 5.26%, As there was no cooperation from any of the exporters from Saudi Arabia, the dumping margin has been set by the authority for the Saudi Arabia, as a whole.

25. For the calculation of the Domestic consumption/demand of the product under consideration in a domestic market, the authority added the sales volume of the domestic industry to the total imports into the domestic market. On this basis, the domestic demand or consumption of the subject goods in the domestic market increased from 32274 MTs in 2000-01 to 40693 MTs representing an increase of 26%.

28. Over the period under consideration, the share of the domestic market held by dumped imports from the subject countries increased by 36% percentage points. The market share held by the dumped imports increased from 55% in 2000-01 to 76.3% in the total imports during the POI.

29. On the basis of above examination, the Authority concludes that there has been a significant rise in the market share of dumped imports of the subject countries as a share of total demand and it has increased significantly during the POI as compared to previous years. The Authority after examining the evidence concludes that the domestic industry is facing volume effect on account of increased imports of subject goods from the subject countries.

30. Between 2001-02 and the POI, the average CIF prices of the imports originated in subject countries decreased significantly by 8.4% percentage points during the period under consideration. The decrease occurred steadily over the period under consideration.

31. A comparison for comparable types of the product concerned was made between the exporting producers and the domestic industries average selling price in the domestic market, net of all rebates and taxes to unrelated customers, at the same level of trade. The prices of the domestic industry were determined at the ex factory level excluding the basic customs duty. The constructed CIF prices of the subject countries concerned were adjusted for post importation applicable duties (basic customs duty) . This comparison showed that during the period of investigation, the subject goods originating in the subject countries were sold in the domestic market at prices which undercut the domestic industry’s prices when expressed as a percentage of the domestic selling prices of the domestic industry.

32 The Authority has also examined the claim of the petitioner that the domestic industry is suffering on account of the losses from the sale of PVC Paste Resin. The Authority notes that price underselling is an important indicator to make an assessment of the injury. The Authority has worked out the Non-injurious price for the product under consideration and compared the same with the landed value to arrive at the extent of price underselling. The analysis shows a significant level of incidence of price underselling causing injury to the domestic industry from the dumped imports from EU. Additionally, the imports were having significant depressing effect on the prices in the domestic market, as the domestic industry prices have shown significant decline in their selling prices during the period of injury examination as a whole. Due to the depressing effect on the prices of the domestic industry, the margin of price undercutting does not appear significant and imports from some of the subject countries show negative price undercutting as well. However the Authority notes that this could be on account of the price depression of the domestic industry. The authority has determined the extent of price undercutting during the POI and concludes that the domestic industry has suffered price undercutting from dumped imports from the subject countries and significant price underselling from EU during the POI.

33. As noted in the preceding paragraph, selling prices of the domestic industry have declined during the POI as compared to 2000-01. The Authority on the basis of the examination concludes that the domestic industry is facing the price depression on account of the dumped imports from subject countries. The authority also notes that variable costs from an overwhelming part in the total costs of production of the subject goods and during the period under consideration, though the cost of production has declined by 5% from 2000-01 to POI. The selling prices of the domestic industries have declined by more than 11%. The authority notes that even after increasing sales volume in absolute terms, the domestic industry’s selling prices have been depressed and domestic industry is having to sell the subject goods at a price much less than non-injurious price. On the basis of the examination, the authority concludes that the domestic industry has suffered injury by price depression also.

34. For the examination of the impact of the imports on the domestic industry in India, the Authority considered such indices having a bearing on the state of the industry as production, capacity utilisation, sales quantum, stock, profitability, net sales realisation, the magnitude and margin of dumping, etc. in accordance with Annexure II (iv) of the Rules supra

35. Production of the domestic industry increased up to Sept., 02 followed by the decline thereafter. While increase in production up to Sept., 02 was due to increase in the capacities and sales, the decline in the production in Oct., 02 – June, 03 was on account of the adverse performance of the product – both in terms of sales volume and selling prices. It is further noted that the production of the domestic industry should have increased further in the investigation period, given addition to the capacities by the petitioner. However, it is noted that production of the domestic declined rather than increased.

36. Capacity utilization of the domestic industry has continuously declined throughout the injury period, as may be seen from the table below:-

It is found that the domestic industry augmented capacity and invested about Rs. 18.7 Crores in two phases, in anticipation of higher demand. The capacity was first enhanced in 2001-02 (by 7560 MT) and in the very same year, the domestic industry achieved capacity utilization level of about 100%. The domestic industry further enhanced capacity (by 8520 MT) in 2002-03. Even though the production increased marginally in April-Sept., 2002 period, the same had to curtail in the investigation period in view of significant adverse sales performance in terms of volume and price.

37. In order to examine whether excess capacity added by the domestic industry has added to the injury to the domestic industry, the Designated Authority examined the demand of the product, existing and anticipated and compared the same with the capacities created by the domestic industry. it was found that the capacity additions by the company were not disproportionate to existing and anticipated increase in demand, as would be seen from table below.

The anticipated demand of the product, as assessed by the domestic industry was 48000 MT at the time of expansion of the project as per internal project and market study conducted by the company.

38. It is noted that the petitioner was maintaining very low level of inventories till 2001-02. This was in spite of significant increase in production consequent upon increase in capacity. However, decline in sales volumes in the investigation period, in spite of curtailment of production and lowering of selling prices, resulted in increase in inventories. Moreover, Inventory as a percentage to the sales volume increased from 1.40% to 6.02% during the period under consideration.

39. The domestic industry is a multi product company, with subject goods constituting about 21% of their total business. Impact of dumping on the cash flow situation of the petitioner was therefore not directly visible in the cash flow situation of the company contrary to the claims made by the domestic industry.. Nevertheless, the cash flow situation of the company was analyzed by the Designated Authority and it was found that Cash flow from operations of the company as a whole shows significant positive trend, whereas cash profits of the subject goods, which was doing better earlier, deteriorated in the period of investigation. However, as mentioned earlier, based on the evidence made available, the authority could not conclude injury on account of this parameter despite the claims made by the domestic industry that it has incurred adverse cash flow during the POI for the subject goods.

40. The sales by the domestic industry in the domestic market increased by 32% in terms of volume. However, in terms of value, the per unit realization had a significant decline.

41. The market share held by the domestic industry, however, increased a little over 2% over the period under consideration. However, the market share of the other producers declined from 24.8% to 17.2% during the period under consideration. It is further noted that share of dumped imports in the total imports increased from 8.82% to 15.5% during the period under consideration while the non dumped imports declined from 6.95% to 4.83%.

It is seen that the sales volumes increased significantly between 2000-01 and 2001-02. However, thereafter, sales volumes have shown declining trend. Even though sales shows increasing trend on overall basis, it is found that the sales volumes of the domestic industry were sub-optimal, given the additions to the capacity and increase in consumption, as can be seen from the table below. It is evident from the above that the sales of the domestic industry did not increase consequent to addition of capacity and in spite of available demand in the Country.

Demand for subject goods has shown significant increase during the period under consideration. This fact appears to have been anticipated by the domestic industry (as indicated in their feasibility report), resulting in enhancement of capacities. While the domestic industry posted positive and healthy growth in the beginning, the growth of the domestic industry was retarded in the investigation period and the domestic industry in fact recorded negative growth when the market was growing, as may be seen from the table below.

43.The Domestic producer’s average net sales price of the subject goods produced and sold in the domestic market decreased by 12% between 2000-01 and POI.

44. The sales price reduced by 10% during the 2000-01 to 2001-02 and increased by 3.4% from 2001-02 to 2002-03 but again dropped sharply during the POI.

45. The evolution of sales price should be seen in comparison with the evolution of unit cost of production. Between 2000-01 and 2001-02, the unit cost of production of the domestic industry decreased by 13%. However, from 2001-02 to POI it increased by 22% mainly because of increase in the cost of the inputs/raw materials. It is therefore noted that during the period under consideration, while the unit cost of the production of the subject goods increased by 5%, its sale price declined by more than 12%.. The Authority further notes that the firm has taken concrete steps towards cost reduction by slashing the employment. However, dumped imports exerted a pressure on the domestic industry to bring down the prices even after unit cost of production had gone up during the period under consideration.

46. Even though the petitioner claimed that its employment level declined as a result of dumping, the Authority considers that the petitioner is a multi product company and therefore, employment levels of the company per se may not be a conclusive indicator of injury to the domestic industry.

47. Between 2000-01 and POI, productivity measured as output per person employed per year increased by 25% during the period under consideration. The increase in the productivity could be seen in the backdrop of decline in the number of employees of the domestic industry.

48. Salary & wages paid by the domestic industry shows 20% increase in about 3 years period, resulting in annual wage increase of about 6.33%. It does not appear that such a wage increase was abnormal. In any event, wage per kg. of production declined, as may be seen from the table below.

49. The imports from EU are resulting in significant price undercutting in the Indian market. In case of the subject countries, the landed price of imports is below the non injurious price of the domestic industry. Selling prices of the domestic industry have declined as may be seen from the table below.

The above decline in selling prices is in spite of increase in cost of production, as may be seen from the table above. The imports were suppressing the prices in the market.

50. Over the period under consideration, profitability of sales in the domestic market to unrelated customers in terms of profit/loss before tax on net sales declined significantly as tabled below.

It is further noted that the profits of the domestic industry have been severely eroded during the injury period as depicted above. The Domestic Industry which was making profits earlier is now suffering financial losses.

51. Return on investments have very significantly declined after increasing between 2000-01 and 2001-02, as can be seen from the table below: -

It is seen that the domestic industry is finding itself to a situation of losses from a situation of profit, resulting in negative return on investment in the investigation period as compared to a situation of reasonable return on investment earlier years.

52. . The Petitioner is a multi product company. Moreover, the petitioner has enhanced recently its capacity for production and sales of the subject goods. The Authority does not consider that ability to raise capital investment appears to have got impacted as a result of dumping. However, it is generally recognised that consistent adverse performance of the domestic industry would result in ability of the domestic industry to raise funds getting adversely affected.

53. The magnitude of dumping margin from each of the subject countries is significant as worked out in earlier paragraphs except Korea RP.

54.The authority could not find any direct evidence with regard to injury on account of loss of contracts. Hence, the authority could not conclude any findings with regard with injury to the domestic industry on account of this parameter.

55. In addition to the examination of the domestic industry over the entire injury period on year by year basis, it was considered appropriate to examine performance of the domestic industry on quarterly basis between Apr.-June, 2002 to April-June, 2003. This was done in view of steep increase in imports on quarter to quarter basis and consequent adverse impact on the domestic industry. It was found that performance of the domestic industry deteriorated very steeply on quarter by quarter basis. While volume parameters improved till quarter ending Dec., 2002 and declined thereafter, price parameters deteriorated continually throughout these quarters, as may be seen from the table below.

Parameter	April 02-June 02	July 02-Sep 02	Oct 02-Dec 02	Jan 03-Mar 03	April - 03 - June 03
Production MT	****	****	****	****	****
Trend	100.0	108.3	111.0	80.2	90.2
Capacity Utilization %	78.30	90.69	86.90	62.81	70.59
Trend/Index	100	115	111	80	90
Sales MT	****	****	****	****	****
Trend/Index	100.0	120.8	129.8	127.3	84.5
Unit cost of Production Rs./MT	****	****	****	****	****
Trend/Index	100.0	113.0	121.6	125.9	127.3
Unit selling price Rs./MT	****	****	43500	45224	43434
Index/Index	100	99.4	91.5	95.1	91.3
Unit Profit/loss Rs./MT	****	****	****	****	****
Index/Index	100	54.0	-8.9	-7.4	-28.5
Total profit/loss Rs. lacs	****	****	****	****	****
Trend/Index	100	65.2	-11.6	-9.4	-24.1

56. From the foregoing, The Authority concludes that Imports of the subject goods from the subject countries have increased significantly in absolute terms, also in relation to the total imports of PVC Paste Resin in India and also in relation to the demand of PVC Paste Resin in India and in relation to domestic production as well. It is also determined that imports from European Union are undercutting the selling prices of the domestic industry. The petitioner is suffering from price underselling from imports from European Union also as landed price of subject goods are below the Non Injurious price or fair selling price of the domestic industry. The petitioner is further suffering from price depression as landed price of the subject goods from subject country have exercised a downward pressure in the domestic selling price of the of the domestic industry. There is a decline in the selling price of domestic industry over period under consideration. The domestic industry has suffered losses on account of sales on subject goods. In fact, they have incurred losses during the POI. In fact, the performance of the domestic industry materially deteriorated over the injury period. Significant deterioration in profits (from significant profit to financial losses), cash profits (decline of 95%), return on capital employed (from 100 to 5 on the index basis), selling prices (from 100 to 87.3 on index basis), increase in stocks (from 1.4% of sales to 6.02% of sales), decline in capacity utilization show that the domestic industry has suffered material injury during the period of investigation. Even though the sales volume as well as the production increased during the period under consideration along with the increase in the productivity, the domestic industry suffered material injury, as the financial performance of the domestic industry deteriorated whereas these factors should have helped in the increase in profitability of domestic industry. Even though the wages of the domestic industry increased, the same could not have contributed to injury to the domestic industry, as the incidence of wage per unit of production declined. Though the domestic industry has not suffered any decline in the production, their capacity utilisation and their inventory sales turnover ratio has declined during the period under consideration. Though, the market share of the domestic industry has increased a little in relation to the total demand and their sales volume has increased during the period under consideration, their sales prices have declined all along during the period under consideration and the decline in the sales prices has been very significant considering the fact that unit cost of the production of the subject goods has increased during the period under consideration. It is also determined that their employment has declined and so have their wages during the period under consideration. However, the firm continues to make losses on account of the sales of the subject goods even after recording the improvements in their productivity due to aforementioned reasons. On the basis of the foregoing, the Authority observed that the domestic industry has suffered volume as well as price injury. On the whole, the domestic industry has suffered material injury on account of dumped imports from subject countries.

57. In order to reach its conclusions on the cause of the injury suffered by the domestic industry and in accordance with Article 3.5 of Agreement of Anti Dumping and as per para (v) of Annexure II under Rule 11under Customs Tariff Act as amended, the Authority examined the impact of all known factors and their consequences on the situation in that industry. Known factors other than the dumped imports, which could at the same time have injured the domestic industry , were also examined to ensure that the possible injury caused by these other factors was not attributed to the dumped imports.

58. Between 2000-01 and the POI, dumped imports from the subject countries increased significantly in volume by 222% and in market share by 76% (from 8.8% in 2000-01 to 15.6% in the POI). As regards the export prices, they decreased substantially during the whole period under consideration and undercut domestic industry prices during the POI on average by 1-3%. Moreover, undercutting figures did not show the full impact of the dumped imports, since domestic industry prices were depressed. All this coincided with the deterioration of the situation of the domestic industry in terms of price reductions and deteriorating profitability.

59. Prices of dumped imports were below those of the domestic industry throughout the period under consideration and exerted a pressure on them which forced the domestic industry to decrease prices in spite of increasing costs of production. It is, therefore, considered that the dumped imports caused material injury to the domestic industry.

60. There was another domestic producer of the subject goods apart from the petitioner during the period under consideration i.e. M/s Finolex Industries Ltd, Pune. It has been argued that only M/s Chemplast has made complaint about dumped imports and other domestic producer M/s Finolex has not suffered any injury. It has also been argued that M/s Finolex Industries Ltd is a single product company unlike the petitioner and the injury analysis of the other producer should be done by the Authority before drawing any final conclusions about the material injury to the domestic industry. Accordingly, M/s Finolex was directed to provide information relevant to injury determination. Information provided by was verified by the Authority. It was noted that M/s Finolex Industries Ltd is a multi product company with the subject goods comprising a very small proportion of the total turnover. Even though the information provided by Finolex is not complete in respect of all injury parameters, the company nevertheless provided information with regard to a number of injury parameters, analysis of which shows as under:-

It is seen from the above that performance of Finolex has also got materially deteriorated. In fact, Finolex has lost sales volumes, and has been prevented from increasing its production and capacity utilization and has in fact reported decline in production and capacity utilization. In respect of price effect, it is found that Finolex also has suffered financial losses. In fact, financial losses suffered by the company are higher than the financial losses suffered by Chemplast. Therefore, the performance of other domestic producers could not have any bearing on the performance of the domestic industry producing the subject goods.

61. It has been argued it is the cost structure, purchase policy, contract terms and policy of the petitioner to use its production of other items, therefore, restricting their loading of PVC Paste Resin assets which has primarily led to alleged injury, if any. The Authority notes that it has arrived at the cost of production of the subject goods and its Non injurious price by taking into account actual cost of production of subject goods by verifying the domestic industries data without loading any overheads pertaining to the other business of the company.

62. The Authority notes that there is no contraction in the overall demand during the period under consideration. On the contrary, the overall demand has increased by 26% from 2000-01 to POI. The Authority also , therefore, concludes that there is no apparent change in the pattern of consumption.

63. Analysis of non-subject imports reveals such imports have remained at very low level. Moreover, the import prices from some of these sources were very high in the investigation period. Import prices from Malaysia, Japan and Thailand were lower and comparable to subject countries imports. However, these countries individually commanded less than 3% of import volumes and collectively commanded less than 7% of import volumes. The petitioner had provided detailed information with regard to imports from various sources and there has not been any allegation of low priced imports from non-subject sources during the course of the investigations. In fact, the share of the Non dumped imports from all countries other than subject countries declined in the total demand and also in the share of the total imports. In view of the foregoing, it is noted that imports from non subject countries are considered not to have had any impact on the domestic industry.

(f) Trade Restrictive practices of and competition between foreign and domestic producers

64. The Authority notes that there is a single market for the subject goods where dumped imports from the subject countries compete directly with the subject goods produced by the domestic industry. On the basis of the examination of the transaction wise imports from the subject countries and from the data furnished by the cooperating exporter from subject countries, it appears that the price determines the choice of the supplier as dumped subject goods are like product to the indigenous producer. There is no allegation of trade restrictive practices. No allegations such as possible case or complaint under MRTP, etc. has come to the notice of the Designated Authority. There are only two producers in India and as stated earlier, both have suffered as a result of dumped imports. It would appear that the selling price of Chemplast is higher than that of Finolex. However, that does not establish that Chemplast has suffered injury as a result of lower prices of Finolex. In fact, Finolex has lost sales and production volumes in spite of prices lower than Chemplast. It is further noted that the imported product is sold to meet the similar commercial grades and specification as domestically produced subject goods. It is also noted that the imported subject goods and domestically produced goods are like articles and are used for similar applications/end uses.

(g) Developments in Technology, Export performance and productivity of the Domestic Industry

65. There has been no argument from any of the interested parties with regards to the fact that possible developments in technology could have been a possible cause of material injury being caused to the domestic industry. On the basis of the examination of the records of the petitioner, the authority holds that developments in technology have not been a relevant factor for the injury to the domestic industry.

66. Domestic industry is not having exports of the product. Possible deterioration in the export performance is not a possible cause for injury to the domestic industry. Hence, the authority holds that material injury suffered by the domestic industry may not as a result of the export performance of the domestic industry.

67. As regards improvement in productivity, the authority notes that during the period under consideration, the productivity measures as output per person employed per year increased significantly during the period under consideration. Thus, possible deterioration in productivity is not a cause for injury to the domestic industry. It is further noted that the increase in productivity may be seen in the backdrop of decline in the number of employees of the domestic industry and also in view of the various cost cutting measures implemented by the domestic industry. On the basis of the examination, the authority holds that the firm has taken steps for better productivity and the productivity per se is not the cause for the injury to the domestic industry.

68. Given the above analysis which has properly distinguished and separated the effects of all known factors on the situation of the domestic industry from the injurious effects of the dumped imports, it is concluded that these other factors as such did not reverse the fact that the material injury found may be attributed to the dumped imports.

69. It is, therefore, concluded that the dumped imports originating in the subject countries have caused material injury to the domestic industry within the meaning of Rule 11 of Anti Dumping rules and article 3.5 of the Agreement of Anti Dumping.

70. The purpose of anti dumping duties in general is to eliminate dumping which is causing injury to the domestic industry and to re-establish a situation of open and fair competition in the Indian market, which is in the general interest of the country.

71. The Authority recognizes that the imposition of anti dumping duties might affect the price levels of the products manufactured using subject goods and consequently might have some influence on relative competitiveness of these products. However, fair competition on the Indian market will not be reduced by the anti dumping measures. On the contrary, imposition of anti dumping measures would remove the unfair advantages gained by dumping practices, would prevent the decline of the domestic industry and help maintain availability of wider choice to the consumers of subject goods. It is noted that the imposition of anti dumping measures would not restrict imports from subject countries in any way, and therefore, would not affect the availability of the product to the consumers. The consumers could still maintain two or even more sources of supply.

73. The Authority has, after considering the foregoing, come to the conclusion that:

A. The subject goods have been exported to India from the EU and Saudi Arabia below its normal value. As stated earlier, dumping margin in the case of imports from Korea RP is negative.

C. The injury has been caused by the dumped imports from European Union. The injury margin in the case of imports from Saudi Arabia is negative.

74. The Authority proposes to recommend the amount of anti dumping duty equal to the margin of dumping or less, which if levied, would remove the injury to the domestic industry. For the purpose of determining injury, the landed value of imports is proposed to be compared with the non-injurious price of the petitioner company determined for the period of investigation. The Authority further notes that injury margin in the case of Saudi Arabia is negative and therefore, no anti dumping duty is proposed for imports from Saudi Arabia. The Authority considers it necessary, therefore, to impose an anti dumping duty on all imports of PVC Paste Resin from European Union in order to remove the injury to the domestic industry. The margin of dumping determined by the Authority is indicated in the paragraphs above.

75. Accordingly, the Authority recommends that the definitive anti dumping duties be imposed from the date of notification to be issued in this regard by the Central Government on all imports of PVC Paste Resin falling under Custom Heading 39042110 originating in or exported from European Union. In view of the wide fluctuations in the prices of the subject goods in the international markets, the Authority has deemed it fit to propose the Anti dumping duty on a reference price basis. The Anti-Dumping duty shall be the difference between the amount mentioned in column 9 of the following table and the landed value of imports per MT to be imposed from the date of Notification to be issued in this regard by the Central Government on all the imports of subject goods falling under Chapter 39 of the Customs Tariff, originating in or exported from the European Union

76. Landed value of imports for the purpose shall be the assessable value as determined by the Customs under the Customs Act, 1962 and all duties of customs except duties under sections 3, 3A, 8B, 9 and 9A of the Customs Tariff Act, 1975.

77. An appeal against this order shall lie before the Customs Excise and Service Tax Appellate tribunal, in accordance with the Act.

78. The Authority may review the need for continuation, modification or termination of the definitive measures, as recommended herein, from time to time, as per the relevant provisions of the Act, and public notices issued in this respect from time to time. No request for such a review shall be entertained by the Authority unless the same is filed by an interested party within the time limit stipulated for this purpose.

	Share of Dumped Imports in total demand
	2000-01	2001-02	2002-03	POI Ann
Domestic Industry	****	****	****	****
Other Producers	****	****	****	****
Dumped Imports	2846	3272	5465	6329
Other Imports	2243	2950	1460	1966
Total Market	****	****	****	****
Changes in Mkt Share
Total Market	****	****	****	****
Changes in Total Mkt From Base Year		27.42	19.45	26.09
Dumped imports**	2846	3272	5465	6329
Changes in Dump Imp		14.96	92.03	122.39
Other Imports	2243	2950	1460	1966
Changes in Other Imp		31.52	-34.92	-12.33

% Share held by
Dumped goods	8.82	7.96	14.18	15.55
Other Imports	6.95	7.17	3.79	4.83

Share of Imports from subject countries in Total imports
Actual data
	2000-01	2001-02	2002-03	POI Ann
European Union	****	****	****	****
Market Share	29.86	20.44	49.63	54.66
Saudi Arabia	****	****	****	****
Market Share	26.07	32.15	29.30	21.63
Total dumped Imports	****	****	****	****
Total market share of dumped imports	55.93	52.59	78.92	76.30
Other Countries except Korea	****	****	****	****
Other market share	44.07	47.41	21.08	23.70
Total Imports	5089	6222	6925	8296

	2000-01	2001-02	2002-03	POI Ann.
Subject countries/territory(Excluding Korea RP)	14.83	12.63	22.19	24.92


	2000-01	2001-02	2002-03	POI Ann.
Subject countries(dumped)	8.8	8.0	14.2	15.6

	2000-01	2001-02	2002-03	POI Ann.
Capacity	18000	25560	34080	34080
Production	19005	25807	27796	25029
Capacity Utilization%	105.58	100.97	81.56	73.44

ear	Unit	2000-01	2001-02	2002-03	Oct-02-June02	Annualized
Capacity	Mt	18000	25560	34080	25650	34080
Capacity Utilization	%	105.08	100.97	78.22	73.44	73.44

Country	Name of the producer/exporter	Normal	Export	D.M.%
Korea RP	M/s. Hanwha Chemical Corporation, Seoul LG Chemical, Seoul	*** **	** **	-1.69 -.98
EU	All Producers/exporters	****	****	20.32
Saudi Arabia	All Producers/Exporters	****	****	5.26

Price Undercutting from Subject and other countries
Indexed data
	2000-01	2001-02	2002-03	POI Ann
Landed Price EU	****	****	****	****
Selling price	****	****	****	****
PUC from EU %	(1-5)	(4-8)	(4-10)	3-8
Landed Price - Saudi	****	****	****	****
Selling price	****	****	****	****
PUC from Saudi Arabia %	5-10	(1-3)	4-8	(3-6)

Year	Unit	2000-01	2001-02	2002-03	Oct-02-June02	POI Annualized
Capacity – Chemplast and Finolex-Total Capacity	Index	100	127	157	118	157
Demand as a percentage of Capacity	%	115	115	87	92	92

Actual and Potential Negative Effects on Inventories
	2000-01	2001-02	2002-03	POI Ann.
Inventories/Stocks	****	****	****	****
Sales Volume MT	****	****	****	****
Invent % to Sales Vo	1.40	0.50	3.55	6.02
Indexed Stocks	100.00	48.24	324.49	567.35

	Market Share of Domestic Industry in demand
	2000-01	2001-02	2002-03	POI Ann
% Share held by
Domestic Industry	59.44	62.99	63.88	62.41
Indian Industry	84.23	84.87	82.04	79.61
Other Producers	24.8	21.9	18.2	17.2
Dumped goods	8.82	7.96	14.18	15.55
Other Imports	6.95	7.17	3.79	4.83

Average price of dumped imports (combined only if cumulated) CIF and cost of the productiuon of the domestic industry.
	2000-01	2001-02	2002-03	POI Ann

CIF Price of Dumped Rs/MT	****	****	****	****
Cost of Prod (DI)	****	****	****	****
Domestic Prices	****	***	****	****
Average price of dumped imports and cost of the production of the domestic industry
	2000-01	2001-02	2002-03	POI Ann
Indexed (Import Price)	100.0	93.1	93.6	91.6
Indexed (COP-DI)	100.0	86.4	90.3	105.4
Domestic Prices	100.0	89.4	93.8	87.3


Year	2000-01	2001-02 (only for 8 months workings)	2002-03
Capacity	10000	6667	10000
Production	****	****	****
Index	100	68.5	67.0
Capacity utilization	****	****	****
Index	100	102.5	67.5
Domestic Sales	****	****	****
Index	100	53.71	63.81
Profit/loss		****	****
Index		100	-3.42

Year	Unit	2000-01	2001-02	2002-03	Oct-02-June02	POI Annualized
Growth in demand	%	-	5.49	17.18	17.64	17.64
Growth in sales` from base year	%	-	35.01	38.92	32.38	32.38
Growth in Turnover from base year	%	-	20.71	25.79	15.61	15.61
Growth in profit from base year	%	-	44.86	-30.90	-26.61	-26.61