Page 514 - MANUAL OF SOP

Safeguard Investigations
21.41 The evidence presented by one interested party shall be made available to
the other interested parties in order to enable them to file rejoinders.

21.42 The findings are required to be issued within 8 months from the date of
notice of initiation of investigation. The findings deal with determination whether
the increased imports of the article under investigation have caused serious injury or
threat of serious injury to the domestic industry and that a causal link exists between
the increased imports and the said injury. Accordingly, the recommendations are
given regarding amount of duty which, if levied, would be adequate to prevent or
remedy serious injury or threat of serious injury to the domestic industry.

21.43 The preliminary/final findings and recommendations are considered by the
Standing Board on Safeguards under the chairmanship of Commerce Secretary
under Department of Commerce.

21.44 The views of the Standing Board on Safeguards are then placed before the
Finance Minister for approval of levy of Safeguard duty. However, no time period is
prescribed for the Department of Revenue to take decision on the recommendations
of the Board on Safeguards, unlike in case of anti-dumping investigations, where a
period of 90 days has been allowed to Department of Revenue.

21.45 After approval by the Finance Minister, Department of Revenue may issue
a notification imposing a Safeguard duty under Sec 8B of the Act. These duties are
applied on all countries without discrimination. However, developing countries as
detailed in para 21.48 may need to be considered for exemption.

21.46 In the event of conclusion of injury, the Authority generally recommends Ad
valorem duty i.e. percentage of CIF price of imports/Assessable Value.

21.47 The second proviso to sub-section (1) of section 8B of the Act, provides that
the Central Government may, by notification in the Official Gazette, exempt such
quantity of any article as it may specify in the notification, when imported from any
country or territory into India, from payment of the whole or part of the safeguard
duty leviable thereon. In other words, safeguard duty shall be levied only on the
additional quantities over and above such exempt quantities.

21.48 Article 9 regarding Developing Country Members inter-alia provides that
Safeguard measures shall not be applied against a product originating in a developing
country Member as long as its share of imports of the product concerned in the

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