AGRICULTURAL TRADE
The outlook for Thailand's shrimp exports is more promising now that the United States has eliminated anti-dumping duties for two Thai shrimp companies. Washington has also cut anti-dumping duties for other Thai shrimp exporting firms to 5.34% from 5.95%, effective from Jan 16.
According to Foreign Trade Department director-general Apiradi Tantraporn, the US Department of Commerce has excluded the Rubicon Group and Thai I-Mei Frozen Foods from anti-dumping duties for frozen shrimp from Thailand.
The US acted in response to a ruling by The World Trade Organisation's top court in July last year against a US bond requirement for shrimp imports as a violation of global trading rules, she said.
From 2004, US Customs had required exporters subject to anti-dumping duties to post a bond covering the full amount as security against the risk of default.
The case hinged on whether this was a reasonable demand or an unfair burden imposed on top of anti-dumping duties.
Despite the WTO's ruling, Thai exporters have complained that they have yet to recover their C-bond payments.
According to the director-general, the US is Thailand's biggest market for shrimp, representing about 51.31% of Thai shrimp exports.
Last year, Thailand's shrimp shipments to the US market brought the country 43.17 billion baht, up 1.52% from 42.52 billion baht in 2007.
According to Ms Apiradi, with the cuts in the anti-dumping tariff on Thai shrimp and the exemption of two Thai shrimp firms from US anti-dumping orders, Thai shrimp exports to the US are set to expand despite the US recession.
But she warned Thai manufacturers and exporters to be more cautious in export pricing to prevent Thai products being penalised again not only in the US but also in other markets.
Poj Aramwattananont, president of the Thai Frozen Foods Association, welcomed the US government's move, and forecast that Thai shrimp exports to the US market this year would increase by at least 10% in volume.
But a forecast for value would be tough, he said, as he does not know how far the baht will weaken.
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- Writer: PHUSADEE ARUNMAS
