5 more years of dumping duty vs Turkish flour sought Local wheat flour millers want another five years of dumping duty imposed on

September 01, 2019

5 more years of dumping duty vs Turkish flour sought Local wheat flour millers want another five years of dumping duty imposed on

Turkish flour, claiming the dumped product remains a threat to the local industry.

The  industry claimed it was still recuperating from losses caused by dumped Turkish flour.

In a letter, the Philippine Association of Flour Millers  requested the Department of Agriculture to endorse to the Tariff Commission the local flour millers’ request for the TC to initiate  an expiry review of the anti-dumping duty on wheat flour from Turkey.

The TC announced the initiation of expiry review August 29. Preliminary conference is scheduled on September 9.

The TC first imposed the dumping duty on Turkish flour on Jan. 8, 2015 after determining that dumped Turkish flour posed a threat to the local industry.

This imposition ends on Jan. 8, 2020, five years after it was imposed.

An expiry review would determine if there is a need to extend the dumping duty imposition.

The Philippine Anti-Dumping Law (Republic Act 8752) requires that a petition for extension be filed at least six months before expiry date

PAFMIL stressed the need to extend the dumping duty on Turkish flour due to the likelihood of recurrence of dumping and again becoming a threat to the local industry which is still recovering from losses caused by dumped Turkish flour in the past.

Justifying their petition, PAFMIL  quoted TurgayUnlu, Chairman of the Turkish Flour, Yeast and Ingredients Promotion Group,  saying in 2017 that Turkey was targeting the Philippines as an export market, especially since Turkey had “important studies, especially in the Philippines ( in terms of increasing flour exports)”.

Unlu also disclosed that that the Turkish government invested in a new global certification scheme for its wheat flour which will be launched in the Philippines first and to be followed by other countries.

PAFMIL also cited reports showing Turkey to be the world’s leading flour exporter, processing 18 million tons of flour for domestic and export market while still having very high idle capacity.

According to PAFMIL, the Philippines is the third biggest export market for Turkish flour, behind Iraq and Syria.

Turkey exported $68.5 million worth of wheat flour to the Philippines in 2012, representing eight percent of Turkish total wheat flour export. Iraq and Indonesia also imposed additional duties on Turkish flour.

PAFMIL is composed of seven flour-milling companies. These are Universal Robina Corp, RFM Corp., Liberty Flour Mills, General

Milling Corp., Wellington Flour Mills, Pilmico Foods Coro., and Philippine Flour Mill .

Other mills joined PAFMIL in seeking the extension of the anti-dumping penalty.

These are San Miguel Mills, Philippine Foremost Milling Corp.  Atlantic Grains Inc, and Asian Grains and Morning Star Milling Corp.