DA acts on dumping of chicken legs

After filing a trade complaint against Belgium with the World Trade Organization and threatening a similar action against Australia, the Department of Agriculture is now eyeing a new adversary after it banned imports of leg quarters and other chicken parts from United States, claiming that the parts are being 'dumped' here.

Agriculture Secretary Edgardo Angara said that the move was in response to a growing clamor from the local poultry industry to put an end to the dumping of leg quarters from the US. Many small and medium scale poultry growers have stopping raising chciken due to oversupply caused by cheap imports from the US, while the poultry integrators are planning to reduce the size of their operations to curb losses.

The ban will cover only imports outside the minimum access import volume (MAV) or so-called out-quota imports. Importations of leg quarters and other chicken parts within the MAV will still be allowed. In 1999, the MAV for poultry products was 17.746 million kilos while out-quota imports reached 14.15 million kilos.

Under the GATT Uruguay Round agreement, the Philippine government as well as other countries committed to bring in a certain volume (MAV) of sensitive agricultural products at preferential tariff rates. For the year 2000, poultry products MAV are levied a 45 percent tariff while out-quota imports are slapped a 50 percent tariff.

Angara said what is being decided upon now is whether a special order will be issued on the matter or whether the DA will simply refuse to issue veterinary quarantine clearances (VQCs) to those who wish to import chicken parts outside the MAV.

The DA will continue to allow imports of whole chicken from the US whether inside or outside the MAV.