KARACHI, Jan 31: The European Commission (EC) has, with immediate effect, terminated anti-dumping duty imposed on bedlinen imports from Pakistan about five years ago.

The revised calculation carried out by the commission to evaluate the injury, if any, inflicted upon the textile industry of the European Union’s (EU) member states did not find any dumping of Pakistani bedlinen.

Consequently, the EC through its council regulation (EC) No 160/2002 of Jan 28, 2002 has with immediate effect terminated the proceeding with regard to imports of bedlinen from Pakistan.

According to the findings of the commission, there is no dumping of bedlinen by Pakistan, whereas the level of dumping by India and Egypt has decreased.

The anti-dumping duty on imports from India were suspended on August 14, 2001, but the suspension period is due to expire on February 14, 2002, unless a review is initiated.

It is not clear whether a review will ultimately be initiated, making the future status of measures on dumped imports of bedlinen from India uncertain, says the official journal of the EC.

As a result of this decision Pakistani bedlinen exports would have an edge over its competitors, particularly India because if review is not initiated, the original anti-dumping duty ranging up to 12 per cent would come into effect.

The EC on June 12, 1997, imposed a provisional anti-dumping duty on imports of cotton-type bedlinen from Egypt, India and Pakistan.

However, the Indian government approached the appellate body, that, on the basis of its findings, asked the EC to revise its policy. The EC, thus took up the matter with the Dispute Settlement Body of the WTO, but, in its March 12, 2001 ruling, it upheld the appellate body’s decision.

On the other hand, Pakistan, which initially could not take up the matter finally entered into negotiations with the commission. As a result of last two years interaction by the Secretary Commerce with the EC the anti-dumping duties has been terminated.

The country’s annual export of bedlinen to EU member states comes at around $300 million and with a 15 per cent increase in quota ceiling by the EU and removal of 6.5 per cent of anti- dumping duty the volume is expected to rise manifold, the chairman, Pakistan Bedwear Exporters Association (PBEA), Shabir Ahmed said.

He said this will also give a lead in term of quantity as well as price to Pakistani exporters over other countries by 2004, when textile quotas restrictions would be lifted.