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January 20, 2005

SSA wants shrimp importers to pay full, fair value

The Southern Shrimp Alliance Wednesday told U.S. importers that to avoid costly shrimp tariffs and to help tsunami-hit communities in Asia recover - they should voluntarily pay "full, fair value" for product.

"U.S. shrimp importers and distributors have profited at the expense of shrimp farmers in developing countries, the U.S. shrimp industry, and U.S. consumers for four years," SSA president Eddie Gordon said in a press statement. "As individuals and as a nation, we should do all we can to aid those who have lost so much in this unprecedented calamity. Now is the time for shrimp middlement to stop profiting from dumped shrimp imports and instead pay shrimp producers the full value of their product."

But the opposition believes the best helping hand for countries like India and Thailand, whose farmed shrimp industries were ravaged by the Dec. 26 tsunami, would be a complete revocation of duties.

The International Trade Commission (ITC) voted unanimously earlier this month to impose tariffs on U.S. warm-water shrimp imports. Commission members also agreed to consider reopening the public record to comments taking into consideration the impact of the tsunami on the shrimp farming infrastructure in Thailand and India.

The SSA, which originally petitioned the federal government for dumping margins, is an alliance of shrimp fishermen, processors and distributors from eight states: North Carolina, South Carolina, Georgia, Florida, Alabama, Mississippi, Louisiana and Texas.

In a press statement Wednesday, Gordon "challenged" U.S. shrimp importers to pay higher prices for shrimp from countries like Thailand and India to help communities there recover quicker from the disaster. By paying higher prices, Gordon said, importers can avoid tariffs the next time the feweral government audits shrimp prices, which it does periodically, to see if the tariffs should be modified.

"If shrimp importers were to pay pre-2000 prices for shrimp, the shrimp farming countries affected by the tsunami would get 39 percent more money to help restore their communities and antidumping duties would not be collected at the end of the administrative review process," he said.

But Warren Connelly, an attorney representing the shrimp importing community, told the Wave earlier that based on reports of the severity of the tsunami's impact on shrimp farming communities in Thailand and India, paying tariffs could soon become a moot point.

"It's really too early to predict the likelihood of revocation of the Indian and Thailand orders, but the published reports by the FAO in particular, indicate extensive damage, so a persuasive case for revocation can certainly be made," he said.

Both Connelly and SSA spokesperson Deborah Long said no one knows exactly when the ITC will decide to vote on whether it should open the public record.

"This is an unprecedented situation," Long said.

The ITC will collect information and invites submissions on whether the tsunami's impact on the affected countries' industries warrants the commission self-initiating a "changed circumstances" review.

The changed circumstances provision allows the ITC to "address situations in which changed circumstances warrant review of an injury determination that has culminated in the issuance of an antidumping order."

"We're trying now to find out what the ITC plans to do," Connelly said. "ITC cannot begin the process of self-initiation until the antidumping order is published, which won't be likely until some time during the last week of January. The actual date is unknown at this time."

Connelly said if the tsunami's impact is considered and results on lowering tariffs, he expects SSA to "strongly resist it", adding that the entire process could "take a while to resolve - months, not weeks."

 

The Wave

 

 


 


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