Anti-dumping duty on Turkish flour extended
Louella Desiderio (The Philippine Star) - September 21, 2020 - 12:00am

MANILA, Philippines — The Tariff Commission (TC) has extended for three years the anti-dumping duty imposed on Turkish wheat flour imports.

In a notice of conclusion and decision, the TC said it “hereby orders that the imposition of anti-dumping duties on imports of wheat flour originating and exported from Turkey be extended by another three years.”

In its final report on the expiry review of anti-dumping duties on Turkish flour imports, the TC said the corresponding anti-dumping duty for exporters of Turkish flour to the Philippines ranges from 2.87 to 29.57 percent.

“Except for three exporters (i.e. Ektas, Ozdoyuran, and Yorukogullari), whose respective anti-dumping duties were altered to follow their computed dumping margins during the POI (period of investigation), the anti-dumping duties computed in the original investigation remain in place and were not terminated,” TC said.

For exporters or producers in Turkey that have not shipped wheat flour to the Philippines during the POI, their individual margins of dumping shall be determined following a review to be carried out on an accelerated basis.

“No anti-dumping duties shall be levied on imports from such exporters or producers, while the review is being carried out,” the TC said.

Based on the review conducted by the TC, it said the imposition of the anti-dumping duties has prevented material injury to the local industry and its termination may lead to the continuation or recurrence of dumping and hurt domestic players.

Despite the anti-dumping duties, the TC found that Turkey continued to hold the dominant position as a foreign wheat flour supplier to the Philippines due to prevailing lower prices.

From 2015 to 2019, the TC said the Philippines was Turkey’s seventh most important market.

Due to Turkey’s high spare capacities for flour production, the TC said it could easily regain market share in the Philippines given attractive prices, time-proven acceptance in the market, as well as its established supply chains.

TC conducted a review following a request from the Philippine Association of Flour Millers (PAFMIL), composed of Universal Robina Corp., RFM Corp., Liberty Flour Mills Inc., General Milling Corp., Wellington Flour Mills, Pilmico Foods Corp. and Philippine Flour Mills.

Last year, PAFMIL wrote to the Department of Agriculture (DA) to ask the agency to endorse to the TC the review of the five-year anti-dumping duty on Turkish wheat flour imports.

Other local millers such as San Miguel Mills Inc., Philippine Foremost Milling Corp., Morning Star Milling Corp., Atlantic Grains Inc. and Asian Grains also expressed support for the request.

In its request, the flour millers asked for the continued imposition of the anti-dumping duty which was in place from Jan. 8, 2015 to Jan. 8, 2020, for another five years.

The flour millers claimed the dumping and threat of injury may recur as the domestic industry is still recuperating from losses due to the dumping of Turkish wheat flour.

A department order for the extension of the anti-dumping duties on Turkish wheat flour will be issued by the DA.

TC said any interested party may request for an interim review one year after the application of the extended anti-dumping duties.

TARIFF COMMISSION
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