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Call for chicken duties as Europe accused of dumping

20 June 2014   (0 Comments)
Posted by: Author: Amanda Visser
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Author: Amanda Visser (BDLive)

A preliminary finding of dumping against bone-in chicken portions from Germany, the Netherlands and the UK has been made by South Africa’s trade watchdog, the International Trade Administration Commission (Itac).

The South African Poultry Association, which represents chicken producers, has since asked for an antidumping duty of 91% on imports from Germany and the Netherlands and a duty of 58% on British chicken products.

South Africa’s 2001 trade and co-operation agreement with the European Union (EU) precludes South Africa from imposing import duties on EU members. But in terms of World Trade Organisation rules, the country may impose antidumping penalties where there is a prima facie case that the local industry is suffering material injury from dumping by EU members.

Cheap chicken imports have been a source of concern for the association, which has previously approached Itac for protective measures against chicken products, especially from Brazil.

Imports of chicken products from Germany, the Netherlands and the UK amounted to 101,581 tonnes in 2012, said Itac senior manager Zoleka Xabendlini, citing statistics from the South African Revenue Service.

Antidumping duties of at least 40% against importers and producers from the three countries could now be expected, XA International Trade Advisors associate director Gustav Brink said. But this depended on whether Itac had considered pricing information supplied by producers and importers for verification.

Should a duty of 40% — let alone the requested 91% and 58% — be imposed all trade from these countries could come to an end.

Itac’s determination could be expected to be made within the next two weeks, said Ms Xabendlini.

"If the commission’s preliminary findings suggest that there is dumping causing injury to the Southern African Customs Union industry, provisional payments are usually imposed," she said.

"Interested parties will be advised of the determination and invited to submit comments on the preliminary determination."

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