WORLD TRADE
ORGANIZATIONWT/DS140/1
G/L/252
G/ADP/D12/1
7 August 1998
(98-3124)
Original:  English
EUROPEAN COMMUNITIES – ANTI-DUMPING INVESTIGATIONS
REGARDING UNBLEACHED COTTON FABRICS FROM INDIA
Request for Consultations from India
The following communication, dated 3 August 1998, from the Permanent Mission of India to
the Permanent Delegation of the European Commission  and the Dispute Settlement Body, is
circulated in accordance with Article 4.4 of the DSU.
_______________
My authorities have instructed me to request consultations with the European Commission
(EC) pursuant to Article 4 of the Understanding on Rules and Procedures Governing the Settlement ofDisputes, Article XXIII of the General Agreement on Tariffs and Trade 1994 (GATT 1994) and
Article 17, including Article 17.4, of the Agreement on Implementation of Article VI of GATT 1994
regarding Commission Regulation (EC) N°773/98
1 (hereinafter "Regulation 773/98").
2. Additionally, my authorities have instructed me to request consultations on the repeated
recourse by the EC to anti-dumping actions on unbleached cotton fabrics (UCF).
3. The Government of India considers, in the light of the information which has become
available before and after the adoption of Regulation 773/98, that the determination of standing, the
initiation, the selection of the sample, the determination of dumping and the injury are inconsistentwith WTO law.  India is also of the view that EC's establishment of the facts was not proper and that
EC's evaluation of facts was not unbiased and objective.  Moreover, the EC authorities have not taken
into account the special situation of India as a developing country.
4. The Government of India considers that infringements of the following provisions have taken
place:
(i) The following provisions of the Agreement on Implementation of Article VI of
GATT 1994:
(a) Article 2, specially Articles 2.2.1, 2.4.1, 2.4.2 and 2.6,
(b) Article 3, specially Articles 3.1, 3.2, 3.4 and 3.5,
(c) Article 4.1 (i), and Article 5.4, alone and both in conjunction with Article 3.1,
./.
                                                     
1 In Full: Commission Regulation (EC) N°773/98 of 7 Ap ril 1998 imposing a provisional anti-dumping duty
on imports of certain unbleached cotton fabrics originating in  the People's Republic of Ch ina, Egypt, India, Indonesia,
Pakistan and Turkey, Official Journal of the European Communities L111/19 of 9.4.98.WT/DS140/1
G/L/252
G/ADP/D12/1
Page 2
(d) Article 5, specially Articles 5.2, 5.3, 5.4, 5.5 and 5.8,
(e) Article 6.10,(f) Article 7, specially Article 7.1 (i) and 7.4,(g) Article 9, specially Articles 9.1 and 9.2,
(h) Article 15,
(i) (a) through (h), each alone and in conjunction with Article 12,as well as(j) Article 12, specially Articles 12.1 and 12.2;
(ii) Article VI of GATT 1994;
(iii) Article I of GATT 1994.
5. In view of the fact that the definitive determination has not yet been adopted by the EC
Council of Ministers, the Government of India would like to state that the present request for
consultations is without prejudice to its position regarding possible imposition of definitive anti-
dumping measures by the EC authorities.
6. Since 1994, the EC has initiated three
2 anti-dumping investigations against import of cotton
fabrics (which included unbleached cotton fabrics) fr om India, the last two being targeted only at
unbleached cotton fabrics.  These investigations have been carried out back to back, with the
termination of one investigation being immediately or almost immediately followed by the initiation
of the next.
7. The repeated recourse to anti-dumping action on an item which is already under quantitative
restriction without the EC authorities having ever adopted a definitive determination that imports of
UCF from India were dumped and caused injury to  the EC's domestic industry has resulted in a
tangible decline of exports of UCF to the EC and, as  a result, nullifies or impairs the benefits accruing
to India under the WTO Agreement.  India requests consultations on this aspect in the light of Article
XXIII(i)(b) of GATT 1994.
We look forward to receiving your reply to the present request and to fixing a mutually
convenient date for consultations in this regard.
__________
                                                     
2 These anti-dumping proceedings are the proceeding concerning cotton fabrics from inter alia  India [OJ
1994 C17/3 (initiation), OJ 1996 –42/16 (termination)];  the proceeding concerning unbleached cotton fabrics frominter alia  India [OJ 1996 C50/3 (initiation), OJ 1996 L295/3 (provisional anti-dumping duties)];  and the current anti-
dumping proceeding concerning unbleached cotton fabrics from inter alia  India [OJ 1997 C210/12 (initiation), OJ
1997 C235/16 (corrigendum), OJ 1998 L111/19 (provisional), OJ 1998 L154/37 (corrigendum)].