Lok Sabha Question No. 2399 (UNSTARRED), answered on 2016-08-01
Subject: Import of Chinese Bicycles
Ministry: COMMERCE AND INDUSTRY
Asked by: KRUPAL BALAJI TUMANE, BHAVANA GAWALI (PATIL), ARVIND GANPAT SAWANT

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 2399 (H) TO BE ANSWERED ON 1 st  AUGUST, 2016

## IMPORT OF CHINESE BICYCLES

## 2399 (H). SHRI KRUPAL BALAJI TUMANE: SHRIMATI BHAVANA PUNDALIKRAO GAWALI PATIL: SHRI ARVIND SAWANT:

Will the Minister of COMMERCE & INDUSTRY ( वािणÏय एवं उɮयोग मंत्री ) be pleased to state:

- (a) whether it has come to the notice of the Government that the importers in the country are getting Chinese bicycles and their spare parts via Sri Lanka and Bangladesh;
- (b) if so, the reaction of the Government thereto;
- (c) whether the Government has imposed any duty on import of Chinese bicycles to protect the Indigenous cycle industry; and
- (d) if so, the details thereof along with the other steps taken by the Government to save the bicycle industry and stop the evasion of duty?

## ANSWER

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## THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE) (SMT. NIRMALA SITHARAMAN)

- (a) and  (b):  Total  import  of  bicycles  and  bicycle  parts  in  the  country  and  its  import  from  China, Bangladesh and Sri-Lanka during the last three years and the current year, is at Annex-I & AnnexII A & Annex-IIB.
- (c): Import of bicycles under ITC(HS) Code 87120010 attracts a Basic Customs Duty (BCD) of 30% and Countervailing Duty of 12.5%.
- (d): The Customs Department implements measures for checking duty evasion. Its Risk Management System  targets  and  interdicts  illegal  import  consignments;  while  border  control  agencies  and field formations of CBEC keep constant vigil on illicit imports/smuggling through Ports, Airports, Land Customs Stations, Inland Container Depots, Foreign Post Offices and Courier Terminals. The Directorate  of  Revenue  Intelligence  (DRI),  having  presence  across  the  country  is  a  specialized agency  under  CBEC,  involved  in  anti-smuggling  and  anti-evasion  activities.  It  issues  alerts  and modus operandi circulars from time to time to prevent smuggling and evasion of customs duty.

.

On  detection of smuggling/anti-evasion cases, action is taken against the offenders in accordance with the provisons of law.

Further, the industry can take recourse to trade defense measures like anti-dumping, safeguards in case of injury due to imports.

## ANNEX-I

## Import of Bicycle from China, Bangladesh and Sri Lanka

| Value in million US $                 | Value in million US $   | Value in million US $   | Value in million US $   | Value in million US $   | Value in million US $   | Value in million US $   | Value in million US $   | Value in million US $   |
|---------------------------------------|-------------------------|-------------------------|-------------------------|-------------------------|-------------------------|-------------------------|-------------------------|-------------------------|
|                                       | 2013-14                 | 2013-14                 | 2014-15                 | 2014-15                 | 2015-16                 | 2015-16                 | 2016-17 (APR TO MAY)    | 2016-17 (APR TO MAY)    |
|                                       | QTY                     | Value                   | QTY (NOS)               | Value                   | QTY                     | Value (US $)            | QTY (NOS)               | Value (US $)            |
| COUNTRY                               | (NOS)                   | (US $)                  |                         | (US $)                  | (NOS)                   |                         |                         |                         |
| Bangladesh PR                         | 60399                   | 4.89                    | 74802                   | 6.12                    | 60226                   | 5.57                    | 13244                   | 1.11                    |
| China P RP                            | 243317                  | 11.28                   | 227469                  | 10.63                   | 241958                  | 10.22                   | 41876                   | 1.66                    |
| Sri Lanka DSR                         | 57339                   | 3.23                    | 117537                  | 7.97                    | 123433                  | 9.40                    | 12605                   | 0.80                    |
| Total Global Import in to the country | 415352                  | 24.27                   | 458013                  | 30.70                   | 472145                  | 30.95                   | 76323                   | 4.42                    |

Note: Figures for 2015-16 and 2016-17 (Apr to May) is provisional.

Annex-II A

## Total Import of Bicycle Parts

(HS CODES

: 871492,871493,871494,871495,871496,871499 )

## (Values in Million USD)

|                                                                  |             |      | 2013-14   | 2013-14   | 2014-15   | 2014-15   | 2015-16   | 2015-16   | 2016-17 (APR TO MAY)   | 2016-17 (APR TO MAY)   |
|------------------------------------------------------------------|-------------|------|-----------|-----------|-----------|-----------|-----------|-----------|------------------------|------------------------|
| ITEM DESCRIPTION                                                 | ITCHS       | UNIT | QTY       | VAL       | QTY       | VAL       | QTY       | VAL       | QTY                    | VAL                    |
| BICYCLE RIMS                                                     | 87149210    | NOS  | 176246    | 0.51      | 324989    | 1.16      | 511380    | 1.38      | 86835                  | 0.26                   |
| BICYCLE SPOKES                                                   | 87149220    | NOS  | 38112120  | 7.75      | 120208444 | 10.15     | 15761737  | 7.35      | 627295                 | 0.67                   |
| OTHERS                                                           | 87149290    | NOS  | 7760722   | 110.94    | 8169017   | 95.33     | 11178142  | 49.44     | 657629                 | 7.69                   |
| BICYCLE HUBS                                                     | 87149310    | KGS  | 451428    | 0.49      | 586685    | 0.77      | 591540    | 0.87      | 205832                 | 0.15                   |
| BICYCLE FREE- WHEELS                                             | 87149320    | KGS  | 211026    | 0.60      | 112297    | 0.54      | 72365     | 0.38      | 15809                  | 0.09                   |
| OTHERS                                                           | 87149390    | KGS  | 316426    | 1.63      | 729045    | 0.73      | 362545    | 0.42      | 45192                  | 0.05                   |
| BRAKES,INCL COASTER BRAKING HUBS AND HUB BRAKES AND PRTS THEREOF | 87149400    | KGS  | 1226455   | 5.31      | 2699783   | 5.61      | 2306576   | 4.98      | 553916                 | 0.80                   |
| BICYCLE SADDLES                                                  | 87149510    | KGS  | 106987    | 0.39      | 192329    | 0.50      | 230201    | 0.62      | 8760                   | 0.03                   |
| OTHERS                                                           | 87149590    | KGS  | 57007     | 0.20      | 70814     | 0.13      | 78315     | 0.13      | 10265                  | 0.02                   |
| PEDALS AND CRANK-GEAR AND PRTS THEREOF                           | 87149600    | KGS  | 216648    | 0.49      | 586793    | 0.88      | 551383    | 0.76      | 76995                  | 0.14                   |
| BICYCLE CHAIN                                                    | 87149910    | KGS  | 198989    | 0.59      | 219613    | 0.51      | 329013    | 0.62      | 21936                  | 0.07                   |
| BICYCLE WHEELS                                                   | 87149920    | KGS  | 42006     | 0.06      | 43764     | 0.08      | 41743     | 0.15      | 2622                   | 0.01                   |
| OTHERS                                                           | 87149990    | KGS  | 13124461  | 69.96     | 10351768  | 29.27     | 15283326  | 39.25     | 2855151                | 9.09                   |
|                                                                  | Grand Total |      |           | 198.93    |           | 145.67    |           | 106.34    |                        | 19.06                  |

NOTE: Figures for 2015-16 and 2016-17 (Apr to May) is provisional.

## Import of Bicycle parts from Bangladesh, China and Sri Lanka

( Values in Million USD )

|                  |                                                                  |                  |                  | 2013-14   | 2013-14   | 2014-15   | 2014-15   | 2015-16   | 2015-16    | 2016-17 (APR TO MAY)   | 2016-17 (APR TO MAY)   |
|------------------|------------------------------------------------------------------|------------------|------------------|-----------|-----------|-----------|-----------|-----------|------------|------------------------|------------------------|
| COUNTRY          | Item description                                                 | ITCHS            | UNIT             | QTY       | VAL(US $) | QTY       | VAL(US $) | QTY       | VAL (US $) | QTY                    | VAL (US $)             |
| BANGLADESH       | BICYCLE RIMS                                                     | 87149210         | NOS              | 30020     | 21854     | 19000     | 45916     | 15000     | 10710      | NIL                    | NIL                    |
| PR               | BICYCLE SPOKES                                                   | 87149220         | NOS              | NIL       | NIL       | 288       | 9         | NIL       | NIL        | NIL                    | NIL                    |
|                  | OTHERS                                                           | 87149290         | NOS              | 15        | 106       | 25        | 19        | NIL       | NIL        | NIL                    | NIL                    |
|                  | BICYCLE HUBS                                                     | 87149310         | KGS              | 633       | 2611      | 1098      | 3116      | 165       | 976        | 20                     | 32                     |
|                  | OTHERS                                                           | 87149390         | KGS              | 12        | 124       | 2         | 19        | NIL       | NIL        | NIL                    | NIL                    |
|                  | BRAKES,INCL COASTER BRAKING HUBS AND HUB BRAKES AND PRTS THEREOF | 87149400         | KGS              | 431       | 1878      | NIL       | NIL       | NIL       | NIL        | NIL                    | NIL                    |
|                  | BICYCLE SADDLES                                                  | 87149510         | KGS              | 10        | 18        | 10        | 36        | NIL       | NIL        | NIL                    | NIL                    |
|                  | OTHERS                                                           | 87149590         | KGS              | 154       | 361       | 76        | 349       | NIL       | NIL        | NIL                    | NIL                    |
|                  | PEDALS AND CRANK-GEAR AND PRTS THEREOF                           | 87149600         | KGS              | 39        | 216       | 12        | 49        | NIL       | NIL        | NIL                    | NIL                    |
|                  | BICYCLE CHAIN                                                    | 87149910         | KGS              | 25        | 69        | NIL       | NIL       | NIL       | NIL        | NIL                    | NIL                    |
|                  | OTHERS                                                           | 87149990         | KGS              | 1195      | 8613      | 2727      | 10807     | 3611      | 12782      | 60                     | 129                    |
| BANGLADESH TOTAL | BANGLADESH TOTAL                                                 | BANGLADESH TOTAL | BANGLADESH TOTAL |           | 35850     |           | 60320     |           | 24468      |                        | 161                    |
| CHINA P RP       | BICYCLE RIMS                                                     | 87149210         | NOS              | 65243     | 135265    | 167680    | 693921    | 312462    | 865000     | 37308                  | 114038                 |
| CHINA P RP       | BICYCLE SPOKES                                                   | 87149220         | NOS              | 19367601  | 3147736   | 29038928  | 3705032   | 4783458   | 1314549    | 195618                 | 197488                 |
| CHINA P RP       | OTHERS                                                           | 87149290         | NOS              | 7613652   | 109744709 | 8103832   | 93772570  | 4439857   | 48980331   | 655935                 | 7652938                |
| CHINA P RP       | BICYCLE HUBS                                                     | 87149310         | KGS              | 448233    | 460277    | 584315    | 752994    | 590303    | 860288     | 205802                 | 148982                 |
| CHINA P RP       | BICYCLE FREE-WHEELS                                              | 87149320         | KGS              | 183036    | 513495    | 110385    | 522805    | 70779     | 353986     | 15809                  | 92787                  |
| CHINA P RP       | OTHERS                                                           | 87149390         | KGS              | 146003    | 753706    | 703617    | 684749    | 360096    | 385002     | 45192                  | 45331                  |
| CHINA P RP       | BRAKES,INCL COASTER BRAKING HUBS AND HUB BRAKES AND PRTS THEREOF | 87149400         | KGS              | 857605    | 3697160   | 2346444   | 4308390   | 1988344   | 3518009    | 397662                 | 478487                 |
| CHINA P RP       | BICYCLE SADDLES                                                  | 87149510         | KGS              | 91919     | 307730    | 174605    | 402345    | 104204    | 182173     | 2030                   | 4291                   |
| CHINA P RP       | OTHERS                                                           | 87149590         | KGS              | 40686     | 130118    | 66049     | 113363    | 74664     | 94132      | 8471                   | 15589                  |
| CHINA P RP       | PEDALS AND CRANK-GEAR                                            | 87149600         | KGS              | 196490    | 405902    | 571643    | 812801    | 529479    | 662284     | 61463                  | 94178                  |

|                | AND PRTS THEREOF                                                 |                |     |          |           |         |           |          |          |         |          |
|----------------|------------------------------------------------------------------|----------------|-----|----------|-----------|---------|-----------|----------|----------|---------|----------|
|                | BICYCLE CHAIN                                                    | 87149910       | KGS | 153485   | 447395    | 138774  | 314376    | 324181   |   593789 | 15095   | 50579    |
|                | BICYCLE WHEELS                                                   | 87149920       | KGS | 34453    | 41699     | 41167   | 64099     | 40994    |   138375 | 2540    | 6874     |
|                | OTHERS                                                           | 87149990       | KGS | 12172608 | 60974246  | 9199351 | 20963133  | 14238086 | 33752273 | 2665251 | 7931602  |
| CHINA TOTAL    | CHINA TOTAL                                                      | CHINA TOTAL    |     |          | 180759438 |         | 127110578 |          | 91700191 |         | 16833164 |
| SRI LANKA DSR  | BICYCLE RIMS                                                     | 87149210       | NOS | NIL      | NIL       | 4300    | 9155      | 89264    |   354056 | 32000   | 126975   |
|                | BICYCLE SPOKES                                                   | 87149220       | NOS | NIL      | NIL       | NIL     | NIL       | 10       |       17 | NIL     | NIL      |
|                | OTHERS                                                           | 87149290       | NOS | NIL      | NIL       | 1000    | 29262     | 1575     |     6616 | NIL     | NIL      |
|                | BICYCLE HUBS                                                     | 87149310       | KGS | NIL      | NIL       | NIL     | NIL       | 45       |       85 | NIL     | NIL      |
|                | BICYCLE FREE-WHEELS                                              | 87149320       | KGS | NIL      | NIL       | NIL     | NIL       | 150      |      599 | NIL     | NIL      |
|                | BRAKES,INCL COASTER BRAKING HUBS AND HUB BRAKES AND PRTS THEREOF | 87149400       | KGS | NIL      | NIL       | 11      | 67        | 510      |      562 | NIL     | NIL      |
|                | BICYCLE SADDLES                                                  | 87149510       | KGS | NIL      | NIL       | 66      | 114       | 647      |      890 | NIL     | NIL      |
|                | PEDALS AND CRANK-GEAR AND PRTS THEREOF                           | 87149600       | KGS | NIL      | NIL       | 37      | 79        | 65       |       70 | NIL     | NIL      |
|                | BICYCLE CHAIN                                                    | 87149910       | KGS | NIL      | NIL       | 1       | 15        | 132      |      160 | NIL     | NIL      |
|                | BICYCLE WHEELS                                                   | 87149920       | KGS | NIL      | NIL       | NIL     | NIL       | 25       |      103 | NIL     | NIL      |
|                | OTHERS                                                           | 87149990       | KGS | 50       | 297       | 897     | 11396     | 843      |     2581 | 171     | 705      |
| SRILANKA TOTAL | SRILANKA TOTAL                                                   | SRILANKA TOTAL |     |          | 297       |         | 50088     |          |   365739 |         | 127680   |

Note:     Figures for  2015-16 and 2016-17 (Apr to May) is provisional.