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21 marine producers to cease exports to US

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George Joseph Kochi
Last Updated : Jun 14 2013 | 5:54 PM IST
Anti-dumping duty of 10.54 per cent said to be too exorbitant.
 
About 21 marine exporters may not be able to ship products to the US market as they had not submitted the Quantity and Value (Q&V) questionnare for the second round of administrative review in the anti-dumping case.
 
According to export sources, these companies would cease exporting to the US as the rate of anti-dumping duty (10.54 per cent) would be exorbitant for them.
 
As they had not submitted Q&V, a separate rate structure on the basis of Actual Fact Available (AFA) will be applicable for them and the minimum rate as per AFA is 81 per cent. It will be very difficult to sell the products, especially shrimp, in the US market after paying the high anti-dumping duty.
 
The US Department of Commerce (DoC) had notified 313 Indian companies for filing Q&V according to the lists provided by the Southern Shrimp Alliance (SSA), the original petitioners of the anti-dumping case and the Louisina Shrimpers Association (LSA).
 
But of the goods in the list, most companies had either stopped their exports or do so in meagre quantities. Seafood exporters said of the 81 companies actively doing business with the US, 21 had not submitted the Q&V reasons of which are not known.
 
The anti-dumping duty has led to a drop in the number of exporters to the US in the past three years. Before enforcing anti-dumping duty on shrimps imported from India in August 2004, about 258 companies exported to USA.
 
During the first period of review (POR), this figure dropped to 128 and in the second POR it further plummeted to 81. Experts say that the number would drop to 60 as 21 more companies would be forced to cease exports.
 
Meanwhile, DoC is in the process of selecting the mandatory respondents for the second round of administrative review. Three companies "" Hindustan Lever, Falcon Marine and Liberty Group "" were selected as mandatory respondents for the first review that ended in February 2007.
 
Accordingly the DoC had raised the duty from 10.17 to 10.54 on an average.

 
 

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First Published: May 10 2007 | 12:00 AM IST

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