The duties apply to frozen bone-in poultry
14 Could 2024
3 minute learn
South Africa has prolonged Anti-Dumping Duties imposed on US frozen bone-in poultry on the present charges, which have been utilized since 2000, in keeping with a latest US Division of Agriculture (USDA) International Agricultural Info Community (GAIN) report. Nonetheless, as US poultry enters South Africa underneath a tariff fee quota (TRQ) which rebates the anti-dumping duties (ADDs), these duties are usually not successfully utilized to US exports.
Though the TRQ solely applies to a restricted quantity set yearly by the South African authorities, US exports have been unable to completely utilise the quantity since 2021 as a consequence of elevated tariffs, elevated home manufacturing, and structural challenges with quota utilisation.
Though continued reliance on the TRQ basically maintains the established order, US poultry getting into South Africa underneath the TRQ is at the moment de-facto ineligible for a common poultry tariff rebate (see: South Africa publicizes rooster rebates).
The Worldwide Commerce Fee (ITAC) has confirmed that the ADD rebate and the final poultry tariff rebate are usually not supposed to be mutually unique. Nonetheless, the South African Income Service (SARS) is at the moment permitting just one rebate to be utilized to a cargo. In impact, this makes U.S. origin poultry uncompetitive with poultry from different buying and selling companions which stays eligible for the tariff rebate. Submit has raised this concern with ITAC, SARS, and can proceed to encourage the federal government to create a levelled enjoying discipline.
On April 17, 2024, the ITAC introduced within the Authorities Gazette that it might lengthen the anti-dumping duties on frozen bone-in parts of poultry from the US following the Minister’s concurrence with the Fee’s suggestion to anti-dumping duties at present ranges.
On June 25, 2021, the ITAC notified events by means of a authorities gazette that ‘until a substantiated request is made indicating that the expiry of the anti-dumping duties towards imports of bone-in rooster originating from the US would probably result in the continuation or recurrence of dumping and damage, the anti-dumping duties on the bone-in rooster meat imported from the US would expire on November 2022.’
In keeping with ITAC, ‘a full response to the Fee’s sundown assessment questionnaire was acquired from the South African Poultry Affiliation (SAPA), on behalf of the Southern African Customs Union (SACU) business on July 4, 2022, and all after all of the deficiencies have been recognized and addressed, an up to date remaining software was acquired on September 21, 2022. SAPA’s submission alleged that the expiry of the anti-dumping duties on bone-in rooster meat imports from the US would probably result in the continuation or recurrence of dumping and materials damage to the SACU business.’ ITAC reported that the applicant (SAPA), submitted ample proof to reach at a “cheap conclusion” {that a} sundown assessment investigation ought to be initiated.
Consequently, an investigation was initiated on December 11, 2022, by means of a discover which was printed within the Authorities Gazette. Following the initiation of the investigation, all identified events have been knowledgeable and requested to answer the related questionnaires. Though US producers and exporters of bone-in rooster meat from the US have been invited to reply, as prior makes an attempt to reply had not proved fruitful, they reportedly felt that it was not well worth the funding. Nonetheless, ITAC did obtain responses from Merlog Meals, a serious importer of bone-in rooster meat in South Africa, USA Poultry & Egg Export Council (USAPEEC), and The Affiliation of Meat Importers and Exporters.
Following ITAC’s consideration of the feedback submitted by the events, the fee made a remaining willpower that the expiry of the anti-dumping duties on frozen bone-in rooster meat imported from the US would probably result in the continuation and/or recurrence of dumping and the recurrence of fabric damage.
The US exports bone-in rooster meat to South Africa underneath a Tariff Fee Quota (TRQ) that was established in 2016. The quota is relevant between from April to March of the next 12 months. Throughout the 2022/2023 quota 12 months, the entire quota allotted was 71,632 tons and solely 58 % of the quota was utilised by the importers. That is due to excessive tariffs, structural challenges with quota utilization and unfavorable market situations.
