India Keeps 50% MFN Duty On US Apples, Removes Additional 20% Duty
Updated: Sep 13, 2023 01:03:33pm
New Delhi, Sept 13 (KNN) The central government clarified on Tuesday that it has maintained the Most Favoured Nation (MFN) duty on apples, walnuts and almonds, which still applies to all imported products, including US-origin products, at 50%, 100% and Rs 100 per kg, respectively.
However it has withdrawn additional duties on eight US origin products, including apples, walnuts and almonds vide notification number 53/2023 (Custom).
This comes as the outcome of decision to resolve six outstanding World Trade Organisation (WTO) disputes between the US and India through Mutually Agreed Solutions in June 2023, said the Ministry of Commerce.
Additional duties of 20% each on apples and walnuts and Rs 20 per kg on Almonds were imposed on the US's products in 2019 over and above the Most Favoured Nation (MFN) duty as a retaliation to the US's state protectionist measure of increasing tariffs on certain steel and Aluminium products.
These additional duties imposed by India on US-origin products have been withdrawn as the US agreed to provide market access to Steel and Aluminium products under the exclusion process.
“There is no reduction on the Most Favoured Nation (MFN) duty on apples, walnuts and almonds, which still applies to all imported products, including US-origin products, at 50%, 100% and Rs 100 per kg, respectively,” said the official statement.
Further, DGFT, vide its notification number 05/ 2023 dated 8 May 2023, made an amendment in import policy for Apples under ITC (HS) 08081000 by applying MIP (Minimum Import Price) of Rs 50 per Kg for imports from all countries except Bhutan.
Therefore, this MIP will also apply to apples from the US and other countries (excluding Bhutan). This measure would protect against the dumping of low-quality apples and from any predatory pricing in the Indian market.
Defending its decision, centre upholds that this measure will not result in any negative impact on domestic apple, walnut and almond producers.
“Rather, it will result in competition in the premium market segment of apples, walnuts and almonds, thereby ensuring better quality at competitive prices for our Indian consumers,” said the government.
Thus, the US apples, walnuts and almonds would compete on the same level playing field as all other countries. (KNN Bureau)