AUSTRALIA'S anti-dumping laws are again under fire following a finding which critics say will cost rural jobs.

The Australian Government, via its customs service department, says the dumping below the cost of production of cheap toilet tissue from Indonesia and China has not caused "material injury" to Kleenex tissue manufacturer, Kimberly-Clark, in Australia.

The company, which has spent more than $100,000 on the case, has dismissed the verdict as "wrong" and provided "unfair" competition.

The finding comes as SPC has finally abandoned its anti-dumping action against tinned Italian tomatoes - which sell for as little as 25 cents a can - after spending two years and more than $300,000 on the case.

Kimberly-Clark employs 640 people - many at its Millicent plant and at its Tantanoola mill in South Australia.

Kimberly-Clark corporate services general manager Ross Hearne said the system "certainly hasn't worked".

He said the Australian system - which sees Australian companies forced to pay lawyers and consultants to mount an anti-dumping case - was too slow and should be overhauled.

Mr Hearne said fees paid by Australian companies should be refunded by government if dumping is shown to have occurred.

In the US, the onus is on companies importing goods cheaply to show those goods are not being dumped.

"Dumping has occurred, the (Australian) industry has suffered, and the gates are open for imported competition which is effectively unfair competition," Mr Hearne said.

"The high cost in having to fund an investigation means it's only open to the larger companies - smaller companies can't afford it and have to put up with the unfair competition."

SPC confirmed: "We're not actively pursuing this (case against Italian tinned tomatoes). After 2 1/2 years, it's too late."

Former Dried Fruit Association chairman Peter Jones said the small Australian dried fruit industry was lucky it had the resources to pursue an action against Turkish currants dumped on the Australian market.

The action, which was successful, cost more than $100,000.

A spokesman for Attorney General Robert McClelland had not returned calls at the time of going to print.