April 25, 2005

Tsunami, tariffs shrink Thai shrimp exports

Steep tariffs and damage cause by the tsunami has resulted in a steep drop in Thailand's shrimp exports.

Shrimp farmers are rallying the Commerce Ministry to re-negotiate with the EU over the generalised system of preferences (GSP) for Thailand. Shrimp imports to the EU are currently subjected to a 12 percent import tariff, compared with 4 percent for most countries.

The farmers also want the US to follow through on its promise to consider withdrawing the 5.95 percent anti-dumping duty on Thai shrimp .

Both the EU's GSP and the US' anti dumping tax led to a drop of 50,000 tonnes to 150,000 tonnes in exports last year. Exports to the US were hit the hardest, with a drop of 50 percent in volume, and 52 percent in value.