Page 311 - MANUAL OF SOP

Injury Analysis

increase in the dumped imports, either in absolute terms or relative to the production
or consumption of the subject goods in India.

11.7.14. The volume analysis is also to be done in terms of the market share of
dumped imports in relation to total imports of subject goods into the Country.
Market share indicates the increasing/ decreasing share of imports with regards to
demand/consumption in the domestic market.

11.7.15. The analysis should be undertaken with regard to the impact of the
volume of dumped imports on the DI. This analysis is done on the basis of import
data obtained from DGCI&S. In case of any cooperative producer exporter(s) from
a subject country(ies) and after examination of respective producer exporter’s
response, it is found that the dumping margin is either zero or negative,the volume
of such imports may be considered as “undumped imports” and hence segregated
from dumped imports for the purpose of impact analysis . The transaction wise
4
exports details submitted by cooperative exporters also need to be confirmed with
DGS data.

11.7.16. Cumulative assessment of dumped imports- where the imports of
the subject goods from more than one country are simultaneously subjected to
investigations, the cumulative assessment of the impact of such imports on the DI
should be undertaken as detailed above.

Price Effect

11.7.17. With regard to the effect of the dumped imports on the domestic selling
price, the Rules require examination of adverse effect of import prices on the DI.
Price effect may be analysed by determination of:(a) price undercutting, (b) price
underselling, and (c) price suppression/ depression. However, it is clarified that
these may not be the only basis for determining adverse price effect.

11.7.18. Price Undercutting is calculated by comparing the landed value of subject
imports with the Net Sales Realisation of the DI .
5
4 See Appellate Body Report, European Communities – Anti-Dumping Duties on Imports of Cotton-type Bed linen
from India(WTO/DS141/AB/R) adopted on 1 March 2001 for a discussion on whether it was necessary that only
those transactions which had a positive dumping margin need to be included in calculating the injury caused. The
Appellate Body held that each individual producer or exporter need not be examined to determine the “volume of
the dumped imports.
5 Net Sales Realization is the selling price of the subject goods (minus the taxes) and is ascertained from the sales
records maintained in the company (refer Format E – in the previous chapter dealing with NIP), which needs to be
duly reconciled with the audited records. Landed value is determined as explained in the Chapter dealing with Injury
Margin.

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