Canadian Pork Producers Hopeful US Antidumping Duty will be Reduced

Farm-Scape, Episode 1671

Canadian swine producers are hopeful the verification phase of an antidumping investigation will result in a reduction of duties.

Preliminary antidumping duties on live swine imports from three Canadian companies and a 14.06 percent duty on all other live hogs imported from Canada were announced in October.

Manitoba Pork Council General Manager Ted Muir says it's hoped reinstating one company dropped from the investigation and eliminating another which has ceased operation will reduce the numbers when the Commerce Department announces a final duty in February.

"Premium Pork was assigned a duty of 15 percent, Ontario Pork 13.25 and then Hytek got a de minimus, or really a zero rate, so that excludes them from the mix.

Premium Pork, the organization that was assigned 15 percent, is essentially out of business and we have asked the Department of Commerce to remove them from the investigation all together.

The hope is that what ever they are assigned will not be thrown into the mix. The fourth company Excel Swine Services, a Manitoba based company, actually was investigated and, at the last minute, the Department of Commerce thought they would right a wrong and kick them out of the mix where in fact they should have been left in the mix.

We have been successful in having them reinstated as part of the verification process. We're hopeful that Excel will be assigned its own rate as one of the four original respondents.

We're hopeful they'll get something around two or so, just for argument's sake, and so if you average the two of Excel and the 13 of Ontario Pork you get seven or eight percent."

The industry is confident the US International Trade Commission will dismiss the case when it determines final injury in March but Muir says, if the action isn't dismissed, duties will remain for at least a year so lowering the rate is important.

For Farmscape.Ca, I'm Bruce Cochrane.