January 24, 2005

India, Thailand to appeal against US shrimp duty

India and Thailand are planning to jointly petition the US authorities to review the decision to impose an anti-dumping duty on shrimp.

The move comes in the wake of the recent decision of the US International Trade Commission  (ITC) to propose a changed circumstance review of the duty, following the tsunami disaster that wrecked havoc in the two countries.

Seafood Exporters Association of India president AJ Tharakan said that as the fishing industry in the two countries had been impaired, a joint move was under consideration and talks in this regard had been initiated.

It had been estimated that over 27,000 fishing boats have been damaged, several aquaculture farms inundated and shrimp seed farms totally damaged along the east coast.

The over Rs 6,000-crore marine exports from the country would take a 30% hit. The situation was no better in Thailand, with even assessments made by the Food and Agriculture Organisation (FAO)showing pessimism.

The ITC, while accepting the US department of commerce's (DoC) suggestion for a 10.5% duty on Indian shrimp and a 6.82% for Thailand, had felt that though these imports had caused injury to the local industry, the tsunami disaster called for a review of these figures in the light of adverse circumstances.

The ITC had mooted seeking public opinion on whether such a review needed to be undertaken. Once the decision for a review was accepted, an assessment of the damage would be undertaken and the final decision would be announced in 120 days.