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India moves against Bangladeshi PET film

DGTR advises duties up to $218 a tonne

Bangladesh’s efforts to secure wider and more predictable access to the Indian market face another setback, with India recommending anti-dumping duties of up to $218 per tonne on polyethylene terephthalate (PET) film imported from Bangladesh.

The proposed measure comes as Dhaka seeks to strengthen bilateral trade and diversify exports, while Bangladeshi products are increasingly facing trade-remedy actions in India.

It follows India’s recent imposition of anti-dumping duties of up to $445 per tonne on Bangladeshi jute products, including jute yarn and twine, and a
separate recommendation for countervailing duties of up to $140.04 per tonne on those products.

India’s Directorate General of Trade Remedies (DGTR), under the Ministry of Commerce and Industry, recommended the PET film duties for five years in its final findings dated 29 September, following a year-long investigation.

Most Bangladeshi exporters would face the proposed rate of $218 per tonne. However, AKIJ Biax Films Ltd, a concern of AkijBashir Group and the only Bangladeshi company to cooperate with the investigation, would be subject to a lower duty of $58 per tonne.

The proposed action could add to the pressure on Bangladesh’s exports to its largest neighbouring market at a time when Dhaka is seeking to expand bilateral commerce and improve market access in the region.

According to the DGTR findings, Bangladesh’s PET film exports to India rose sharply from just 12 tonnes in 2021-22 to 2,763 tonnes in 2024-25.

The shipments accounted for about 3.4 per cent of India’s total PET film imports during the period under review. China was the largest supplier, with 26,086 tonnes, followed by Thailand with 12,870 tonnes.

PET film is widely used in flexible packaging for food, pharmaceuticals and consumer goods, as well as in electrical and industrial applications.

The DGTR concluded that imports from Bangladesh, China and Thailand were being dumped in the Indian market and had undercut the prices of domestic producers, causing material injury to India’s PET film industry.

Chinese exporters face proposed duties ranging from $54 to $361 per tonne, depending on their level of cooperation with the investigation, while Thai exporters would face duties ranging from $198 to $366 per tonne.

The proposed duties will not take effect automatically. India’s Finance Ministry must first issue a notification to implement the DGTR recommendation.

The investigation was initiated on 30 September 2025 following a complaint by Indian manufacturers Chiripal Poly Films, Ester Industries and Vacmet India. It initially covered imports from Bangladesh, China, Thailand and the United States. The US was later excluded after the domestic industry withdrew its complaint.

The investigation examined imports between April 2024 and March 2025, while injury assessment covered the period from 2021-22 through the end of the investigation period.

The DGTR said the proposed measure was unlikely to have a significant impact on Indian consumers or downstream industries, as PET film accounts for only a small share of the final cost of packaged products.

It estimated that even the highest proposed duty would raise the price of a packet of chips by around five paise, or about 0.2 per cent.

The authority also cited expanding production capacity overseas and a global oversupply of PET film as structural factors putting pressure on Indian manufacturers.

For Bangladeshi exporters, however, the effect could be more pronounced, particularly for companies that did not participate in the investigation and would therefore be subject to the higher residual duty.

With PET film included, five categories of Bangladeshi exports ar

e now subject to trade-remedy measures in India, according to the information contained in the DGTR findings.

Bangladeshi products have historically faced anti-dumping measures in several markets, including India, Argentina, Brazil, Pakistan and Turkey.

Products targeted by such measures have included knitted textile gloves, jute bags and sacks, hydrogen peroxide, jute yarn and twine, and synthetic yarn.

A study by the Bangladesh Foreign Trade Institute found that Bangladeshi exporters have faced nearly a dozen anti-dumping investigations in different markets since 1992.

The latest Indian move comes at a sensitive juncture for Bangladesh, which is seeking to diversify its export basket, improve industrial competitiveness and secure more predictable market access ahead of its graduation from the least developed country category.

For now, the immediate impact of the PET film case will depend on whether India’s Finance Ministry accepts and implements the DGTR recommendation.

If implemented, the differentiated duty rates could also prompt Indian importers to reassess suppliers from Bangladesh, China and Thailand and explore alternative sources.