May 9, 2007

Asian shrimp tariff creating rift between US shrimp organisations
 

A quarrel over tariffs on foreign shrimps has led to acrimony among two US shrimp organizations.

The Louisiana Shrimp Association (LSA) and the Southern Shrimp Alliance (SSA) have failed to agree on tariffs imposed on shrimp imports from southeast Asia and South America.

Although the SSA settled with foreign seafood importers to keep tariffs unchanged temporarily, the LSA still wants higher tariffs to prevent dumping.

The SSA, an advocacy group with members in eight states including Louisiana, criticized the LSA for lengthening the review process by the Department of Commerce. LSA entered the picture after the SSA nearly reached a settlement with Asian shrimp exporters.

Since 2001, more than US$100 million in tariffs collected from seafood importers have been disbursed to US shrimpers through SSA.

The SSA said the LSA lacks the financial resources to fight the review.

To fight off foreign shrimp exporters, the LSA would have to face up to 20 foreign law firms, said John Williams, SSA executive director. If the case is not handled well the Deparment of Commerce may decide to lower the tariffs or take the tariffs off, thus endangering the whole tariff, he added. 

The LSA complanined that  Louisiana shrimpers were not included in the negotiations on dumping tariffs, and SSA's dealings have not been made sufficiently transparent.

The US shrimping industry is facing difficult challenges this year, with foreign shrimp flooding the American market and fuel prices remaining at high levels.