Thai Shrimp Production Plummets Amid US Anti-dumping Allegations

Thailand's shrimp production has plummeted 70 percent this year as the industry faces anti-dumping moves from the United States, an industry spokesman said Monday.

The government has said it is ready to fight the allegations and optimistic it will escape any penalty after the US International Trade Commission voted in February for a finding against Thailand and several other countries.

But Thai Marine Shrimp Farmers Association president Prakong Jantarat said the industry expected to lose the battle and export firms anticipating a major tariff hike were buying product as cheaply as they could to compensate for the extra expense.

The allegations have already cost Thailand at least 30 billion baht in exports this year, he said.
" About 70 percent of shrimp producers have decided to stop their production as it's not longer profitable at current prices," he told AFP.

Prakong said about 60 percent of Thai shrimp production is exported to the United States, with Japan the second-biggest customer. Last year Thailand sent about 140,000 tonnes of shrimp to the US and that could fall to about to about 60,000 tonnes this year.

"We estimate that we could lose between 30 billion baht and 50 billion baht in the shrimp business this year," he said of the industry which is valued at between 80 billion and 100 billion
baht annually.

US shrimp farmers asked for the investigation in December and called for anti-dumping tariffs of up to 349 percent. On June 8 the US Department of Commerce will make a preliminary ruling
on the case.

Source: TISC news monitor

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