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BANGALORE: Booming domestic demand for silk has seen a surge in imports of silk yarn and fabrics, primarily from China, to Rs 318.97 crore in the first four months of this fiscal.

This is an increase of 82.4% from Rs 174.92 crore a year ago. In July alone, yarn and fabric imports have nearly tripled to Rs 91.35 crore from Rs 36.99 crore in the same month last year, according to data from Directorate General of Commercial Intelligence and Statistics (DGCIS).

Trade sources said the imports of Chinese fabrics are expected to double in the current fiscal if the Central government did not impose anti-dumping duty on fabrics immediately.

The alarming rise in imports of Chinese silk comes in the wake of sudden increase in domestic silk consumption and surge in exports. According to DGCIS, the country exported silk products worth Rs 883.50 crore during the period between April-July this year registering nearly 7% year-on-year growth compared to Rs 830.52 crore in the corresponding period last year. In July, the silk exports climbed by 16.4% to Rs 243.28 crore compared to Rs 209.02 crore in the same month last year.

Central Silk Board (CSB) had already initiated steps to impose anti-dumping duty on Chinese silk fabrics. CSB and other silk agencies in the country including Karnataka Silk Weavers Association (KSWA) have filed a case, which is pending for disposal before the Central government arbitrator. This is the second anti-dumping case against Chinese silk. Earlier, an anti-dumping duty was imposed on the Chinese raw silk.

Talking to FE, H Hanumanthappa, chairman, CSB, said, the board has taken all-round efforts to bring down the imports of raw silk and fabrics from China. He said the Chinese raw silk imports declined to 2,710 tonne (Rs 218.64 crore) in the first four months of this financial year from 2,867 tonne (Rs 211.28 crore) a year ago as a result of CSB promoting bivoltine sericulture among the small farmers in the country on a large scale.