STOCK MARKET BSE NSE

Thuglak editor Gurumurthy hails Modi government ​for ending RIL's 20 year PTA monopoly

Gurumurthy alleged that Reliance was enjoying this monopoly for 20 years and now this injustice has been removed.

Published: 03rd February 2020 11:32 AM  |   Last Updated: 03rd February 2020 11:32 AM   |  A+A-

Thuglak editor S Gurumurthy

Thuglak editor S Gurumurthy (Photo | Ashwin Prasath, EPS)

By IANS

NEW DELHI: Thuglak editor S Gurumurthy on Sunday hailed the decision of the Modi government to end the anti-dumping duty on purified terephthalic acid (PTA), which "gave monopoly and super profits to Reliance for 20 years".

"Modi govt budget has ended $160/mt antidumping duty on PTA which gave monopoly & super profits to Reliance for 20 years. Textile industry fought this duty relentlessly for 2 decades at including competition commission & SC but failed. Now 20 year injustice been removed. Hats off," Gurumurthy, who has been an ardent Reliance Industries Limited (RIL) and Ambani critic of longstanding said in a tweet on Sunday, a day after the Union Budget for 2020-21 was presented.

Gurumurthy is also co-convener of the Swadeshi Jagran Manch (SJM), a RSS affiliate organisation and sits on the central board of the Reserve Bank of India (RBI).

He alleged that Reliance was enjoying this monopoly for 20 years and "now this injustice has been removed". He said that the textile had been fighting this monopoly for long.

Economist Rupa Subramanya tweeted: "Modi govt itself has imposed anti-dumping duties on PTA imports many times at the behest of Reliance including as recently as August 2019.What motivated change in thinking now? And why is govt now looking at imposing duties on MEG(another polyester input)at the behest of Reliance?"

PTA producers such as Reliance Industries and Indian Oil Corp will be affected by the move with a margin squeeze as the government has abolished anti-dumping duty on the chemical, which is a raw material for synthetic textiles. Finance Minister Nirmala Sitharaman said chemicals are vital feedstocks for downstream users.

The anti-dumping duty, imposed by two orders in July 2016 and July 2019, has been revoked on PTA imported from China, Iran, Indonesia, Malaysia, Taiwan, South Korea and Thailand. Reliance is the biggest PTA manufacturer in the country with a domestic capacity of 4.4 million tonnes per annum.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp