Two major US shrimp associations are weighing in on the issue of Thai shrimp anti-dumping tariffs. (Photo: Stock File/FIS)

Govt mulls lifting Thai shrimp tariffs

UNITED STATES
Thursday, January 14, 2010, 17:30 (GMT + 9)

The US Department of Commerce is considering whether to lift tariffs on Thai shrimp.

The Southern Shrimp Alliance (SSA) board opines that the US shrimp industry would be better off accepting a payout of up to USD 100 million from Thailand to lift the tariff. The money would be divided among state governments, who will decide how to distribute it within the industry.

The American Shrimp Processors Association (ASPA) clashed with SSA last year over the issue and opposes the change, Daily Comet reports.

SSA filed a petition with the US Department of Commerce in December requesting that the tariff be lifted. Now the alliance faces ASPA’s formal opposition.

“A revocation of the order on shrimp from Thailand would return a substantial sum of money to the importers and foreign producers that were engaged in dumping in the first place, undermining the purpose of the law,” said Edward Hayes, an attorney for ASPA. “We support short-term federal assistance to the US shrimp industry to help them through this tough economic time.”

“We are happy to discuss any ideas in this regard with anyone at any time. However, revoking antidumping orders on foreign producers would be extremely detrimental to the long-term survival of the US industry,” he concluded.

Executive Director of the SSA John Williams, however, insists that abolishing the tariffs is the optimal way to fairly distribute funds to fishers and processors. He noted that the alliance would not have control of the payout.

Tariff money now goes directly to the US Treasury. Processors say they could persuade federal officials to redirect a hefty portion of that money to the states for industry use.

Further, each side claims it represents the majority of the shrimp industry. The Department of Commerce will have the final say.

“The first time around, [the Department of Commerce] rejected this because they asked for more information and decided not to do anything until they received that. We have gone out and gotten a lot of support not only from boat owners but processors and docks,” Williams stressed.

ASPA asserts that its membership accounts for 87 per cent of domestic processing and 53 per cent of the harvesting and processing segments of the industry.

The Department of Commerce must decide whether to drop the tariffs or if extra information is needed within the next 45 days.

Related article:

- Shrimp group condemns proposed settlement

By Natalia Real
[email protected]
www.seafood.media

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