India is facing heavy foreign exchange losses because it is not enforcing its own anti-dumping duty (ADD) rules. A recent report by C-DEP Research and the Centre for WTO Studies says India could save ₹28,540 crore annually (around $3 billion) if pending ADD recommendations were implemented. These duties are WTO-compliant measures designed to protect domestic industries when foreign goods are sold below their home-market prices.
The report highlights that between 1991 and 2020, India implemented almost all ADD recommendations. But since 2020, rejection rates have surged, with 81% of cases between November 2025 and April 2026 left unimplemented. This has already caused losses of ₹11,938 crore per year to domestic industries. If unchecked, dumped imports could lead to losses of ₹2.70 lakh crore by 2030, while putting 38,000–42,000 jobs at risk.
The study stresses that ADDs have minimal impact on consumer inflation, with median price effects below 0.1%. Instead, they help MSMEs stabilise operations, attract investment, and expand capacity. Sectors like cable ties and ceramic ware grew after duties were imposed, while industries such as nylon yarn and sublimation paper collapsed without protection.
India’s trade deficit with China, at $99.1 billion in 2024-25, shows the urgency of enforcing ADDs. Without stronger action, India risks deeper import dependence, rupee depreciation, and long-term damage to domestic manufacturing.
