1 October 1998: India and the US have been arguing about soda ash ever since the Monopolies and Restrictive Trade Practices Commission of India placed an embargo on all imports of Ansac (US) soda ash …
1 October 1998: India and the US have been arguing about soda ash ever since the Monopolies and Restrictive Trade Practices Commission of India placed an embargo on all imports of Ansac (US) soda ash into India in 1996. Ansac is responsible for the export of all soda ash produced in the US, and claims that the embargo was by request of Indian soda ash producers. Tata Chemicals, Gujarat Heavy Chemicals and Birla VXL India reportedly control more than 85% of the Indian market. In 1998, India banned soda ash imports from Sinochem, China, because of evidence from the Alkali Manufacturers Association of India that Sinochem was operating a cartel and practising predatory pricing. There is pressure from the US to resist these measures in India, including the removal of India from the Generalised System of Preferences programme, which permits duty imports into the US from India worth US$ 1 billion. If implemented, this would affect the Indian soda ash and glass making industries as well as others, the report said. Meanwhile, senior officials in the US government have reportedly informed India that the resolution of the embargo on US soda ash takes top priority on their trade agenda. Ansac has asked the US Trade Representative to remove India from a programme which would allow imports of over US$ 1 billion into the US free of duty. A decision is likely in the third quarter of 1998, the report said.