G/SG/N/6/IND/33  
 
10 June 2013  
(13-2998)  Page: 1/2  
Committee on Safeguards  Original: English  
 
 NOTIFICATION UNDER ARTICLE 12.1 (A) OF THE AGREEMENT 
ON SAFEGUARDS ON INITIATI ON OF AN INVESTIGATION 
AND REASONS FOR IT 
INDIA 
(Methyl Acetoacetate) 
The following communication, dated 7 June 2013, is being circulated at the request of the 
Delegation of India. 
 
_______________ 
 
1. Date of initiation of investigation 
6 June 2013 2. Product subject to investigation and the Precise description of the product 
involved  
 The product involved is " Methyl Acetoacetate ", classified under Customs sub-heading 
No. 29183040 under the Customs Tariff Act, 1975. 
 3. Evidence of Serious Injury and thre at thereof caused by increased import 
 
The increased imports of Methyl Acetoacetate have caused and are threatening to cause serious 
injury to the domestic producers of Methyl Acetoacetate as indicated by the following factors: 
 
a. The domestic production has fallen from 2,604 MT in 2011-12 to 2,045 MT 
in 2012-13.  
 
b. Capacity utilization of the domestic industry has declined significantly in the most 
recent period, from 53% in 2011-12 to 41% in 2012-13. 
 c. Market share of domestic producer has fallen significantly. Domestic producer had a 
market share of 43% in 2011-12 which fell to 28% during 2012-13. The market share 
of import increased from 57% in 2011-12 to 72% in 2012-13. 
 
d. The sales of the domestic industry increased in 2011-12 as compared to the 
year 2010-11, it declined from 2,679 MT in 2011-12 to 2,017 MT in 2012-13. This decline in sales is despite the fact that the demand increased from 6,263 MT in 
2011-12 to 7,101 MT in 2012-13. This clearly shows that the domestic industry 
suffered loss in sales, market share, caused by increased imports. 
 4. Information on whether there is an absol ute increase in import or increase in 
import relative to domestic production 
 Methyl Acetoacetate is imported into India from a number of countries, and primarily from China, 
United States and Switzerland. The imports of Methyl Acetoacetate have shown an increasing 
trend in absolute terms as well as compared to th e total production. The imports and production of 
Methyl Acetoacetate during financial year 2010-11 to 2012-13 are as under: G/SG/N/6/IND/33 
 
- 2 - 
 
   
 
It would be evident from above that imports ha ve increased from 3,985 MT in 2010-11 to 5,084 
MT in 2012-13, which shows an increase of 28%. Further the import as a percentage of domestic 
production have increased to 249% in 2012-13 from 138% in 2011-12.   
5. Further information 
 The notice of initiation of safeguard investigation was published in gazette of India on 
6 June 2013. 
 6. All interested parties may make their views known within a period of 30 days from the date 
of the notice of initiation of investigation to: 
 
The Directorate General (Safeguards) Bhai Vir Singh Sahitya Sadan: 2
nd Floor, 
Bhai Vir Singh Marg, 
Gole Market,New Delhi -110001, INDIA Telefax:011-23741542 
e-mail: dgsafeuards@nic.in 
 
7. All known interested parties are also being addressed separately. 
 
8. Any other party to the investigation who wishes to be considered as an interested party may 
submit its request so as to reach the Director General (Safeguards) on the aforesaid address within 15 days from the date of the notice of initiation of investigation. 
 
__________  Financial 
Year Total Imports 
(MT) All India 
Production (MT)  Total 
Demand(MT) Import as a % of production 
2010-11 3,985 1,980 5,717 201 
2011-12 3,584 2,604 6,263 138 
2012-13 5,084 2,045 7,101 249