Indian guar gum exporters resent China's bias

Guar gum manufacturers in India are resenting China's discriminatory treatment of imposing differential duties on guar gum split and power imported from this country while importing the same from Pakistan duty-free.

China, Indian exporters say, also imposes high customs duty on export of value-added products from India and encourages imports of raw materials (guar gum splits) by keeping duty at half the rate.

Pakistan, however, is not a big competition since export of guar gum from that country is very low, they add.

Against a 7 per cent import duty on raw material imported from India, China levies 15 per cent duty on finished products imported from this country, traders point out.

On the other hand, India's exports of guar gum to US and Europe are duty-free, reports quoted PK Hassaria, president of Indian Guar Gum Manufactures Association (IGGMA), as saying.

He suggested a cess of 15 per cent on export of the raw material as a deterrent.