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WTO rules on shrimp next month

The World Trade Organisation will rule next month on Thailand's claim that the United States employs unfair trade practices against shrimp imports.

Published on October 29, 2007



Foreign Trade Department director-general Apiradi Tantraporn said last week the WTO had almost reached a decision in the case that has been running for about a year.

"Shrimp exporters will have a result soon and know if they will have to shoulder double duty payments in the US. If they win, it will strengthen Thailand's export competitiveness after facing export trouble," she said.

Total exports of shrimp fell almost one per cent to US$1.55 billion (Bt52.9 billion) in the first nine months of the year.

In September alone, exports fell 9.3 per cent to $234 million, a result mainly of a drop off in sales to the US, Thailand's main market.

The country in April last year accused the US of implementing double trade-protection measures against shrimp through a continuous bond - a 100-per-cent bank guarantee payment - and an anti-dumping duty.

The WTO investigation started in January after several countries complained about the alleged unfair protection measures.

The shrimp-exporting nations involved are Brazil, Chile, China, Ecuador, members of the European Union, India, South Korea, Japan, Mexico and Vietnam.

Meanwhile, the department is monitoring imports from China. It is worried the country is circumventing regulations and that this will result in Thai goods being turned away by its markets.

The main problem is garments, which China used to export via Thailand to third countries, including to the US and the European Union.

Petchanet Pratruangkrai

 The Nation


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