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The Minister of Trade (Mendag) Zulkifli Hasan hopes that the Indian government can reconsider the plan to impose antidumping duties (BMAD) on Indonesian viscose staple fiber (VSF) products. This product is a supporting raw material for the Indian textile industry which can increase India's textile exports to the world. Zulhas said this during a bilateral meeting with India's Minister of Trade and Industry, Piyush Goyal, in New Delhi, India, on Tuesday (14/3). One of the VSF products is produced by PT Asia Pacific Rayon (APR). The company is also interested in investing in India, particularly in the development of a new generation of viscose products (lyocell fibre), with better quality and environmental friendliness.

"It is hoped that through this investment, Indonesia can play a role in the production of high-quality textiles in India," said Zulhas.

In addition, the two ministers also discussed strengthening cooperation in five sectors, namely information technology (IT), health, textiles, furniture, as well as education and human resources.

"I am optimistic that there is still a lot of room to further enhance trade relations and cooperation, as well as investment between the two countries. It is hoped that the two countries can increase cooperation in at least five sectors, namely IT, health, textiles, furniture, as well as education and human resources," he explained.

India is Indonesia's strategic partner, namely as the 4th largest export destination country and the 21st largest source of foreign investment. In addition, currently, the two countries already have the ASEAN-India Free Trade Agreement (FTA) as a regional trade agreement.

"It is hoped that as soon as possible the two countries can start negotiating a bilateral Preferential Trade Agreement (PTA) which has been explored since 2020. The PTA can optimize the economic potential of the two countries. Indonesia is open to negotiating a trade agreement that focuses on issues of interest to the two countries," he added.

Since July 2021, VSF Indonesia products are free from antidumping duties in India. Previously, Indonesia was subject to antidumping duties for VSF products of USD 0.103 per kg to USD 0.512 per kg.

Reporting from The Hindu, India's Directorate General of Trade Remedies (DGTR) recommends levying antidumping duty (ADD) on viscose staple fiber imported from Indonesia.

In a notification on 19 December 2022, DGTR recommended a levy of USD 0.512 per kg as antidumping duty.

"After examining the possibility of continuation or recurrence of dumping and losses for the domestic industry, the authorities consider it appropriate to recommend the continuation of anti-dumping duties on imports of products under consideration from Indonesia," wrote the DGTR statement.