With low priced raw silk imports from China to India on the constant rise and negatively impacting the prices of cocoons and raw silk, Indian government has decided to extend anti-dumping duty on raw silk imports from China. The move comes after farmers requested the government to levy anti-dumping duty against China and also to support and boost domestic silk production.

China is the biggest exporter of raw silk to India accounting for almost 99 per cent of exported raw silk worth $224.5 million (Rs 1,351.9 crores) as of 2012-13. Raw silk imports from China grew at a compounded annual growth rate of 7 over per cent during the last 12 years from 2000-01. India had imposed anti-dumping duty on imports of Mulberry raw silk of 2A grade and below from China in January 2003, which remained in force until January 2008 and was then extended till January 2014.

Experts say, government needs to take steps to protect domestic silk manufacturing industry against cheap imports. According to them a periodic review of the anti-dumping policy is necessary to safeguard interests of both sericulturists and export manufacturers. There is a need to bridge a gap between the weaver cluster and raw silk production units. Investments in upgrading the segment and establishing R&D centers to empower the weavers with latest ways to increase silk productivity, quality and new designs.

The segment is estimated to provide employment to over 7.6 million people across 51,000 villages operating over 3.28 lakh handlooms and over 45,800 powerlooms with over 8.14 lakh weavers in the country.