950815

Anti-dumping case hearing

Taiwan weavers,

importers support

Pak exporters

RECORDER REPORT

KARACHI: The weavers and importers of Taiwan supported the case of Pakistani yarn exporters at the public hearing held at Taipei on Tuesday regarding imposition of anti-dumping levies against import of Pakistani yarn.

According to All Pakistan Textile Mills Association (Aptma) Chairman, Anwar Ahmed Tata, the hearing which was conducted by the Taiwan Ministry of Economic Affairs to establish whether there has been an injury to Taiwanese spinners due to yarn exports from Pakistan, was a success.

Out of the 14 member mills who had expressed willingness to participate in the hearing, only five mills could proceed to Taipei as visas could not be arranged for others due to holidays. The Pakistani mills which were represented at the hearing included Kunjah Textile and Ghazi Fabrics International from Lahore, Arain Textile from Multan, Pioneer Spinning and another mill from Karachi.

Tata said that the Taiwanese spinners were not able to establish injury either in the past or the possibility of it in future, to their industry due to imports of yarn from Pakistan.

The importers and weavers of Taiwan whose trade and industry is heavily dependent on yarn imports from Pakistan, while supporting Pakistan's case, said that imposition of the levy would adversely affect their trade and industry. Taiwan's Towel Manufacturers Association, although it did not participate in the hearing, has also expressed support for Pakistan, he said.

The hearing which was conducted in two sessions on Tuesday, was also attended by a large number of representatives of Taiwanese spinners, engineering sector, weavers and traders. The ministry officials first heard arguments from the complainants (Taiwanese spinners) in the morning and then from Pakistan in the afternoon.

Humayun Nazar, the leader of Pakistan delegation, presenting his arguments said that the sample of 12 exporting mills taken by Aptma during investigation was not contested by Taiwan. However, if ample time was provided, the investigation of all mills exporting yarn to Taiwan could be conducted.

He was replying to a point that no formal approval of the mills under investigations was given by Taiwanese authorities. He also said the calculations done by Taiwanese inspectors were not flawless and argued that levies, if there was any dumping, were calculated too high. He argued that the Taiwanese authorities have not been able to establish a relation between export of yarn by Pakistan and injury to Taiwan spinners.

He said that in case Taiwan decided to go ahead with dumping margins, it should be done on the basis of weighted average and not on the highest level for those mills who were not included in the investigation.

Taiwan's Ministry of Finance, on August 3rd, had announced anti-dumping margins on all types of cotton yarn imports from Pakistan in the count range 8 to 30. Levies between 1.24 percent to 5.6 percent were imposed on 11 yarn exporting mills of Pakistan while one mill was exempted from the levy. A 5.6 percent margin was imposed on all other mills which were not included in the sample of 12 mills which participated in the investigation.

August 15th had been set for final arguments on both sides before its endorsement by the Customs Sub-Committee of Taiwan's Ministry of Economic Affairs. The sub-committee's decision is expected by the end of September. A meeting in the first week of September will first ascertain injury and recommend levies after which the Ministry of Finance is to give final orders within 10 days.

Anwar Ahmed Tata was hopeful that on its forceful representation, Pakistan would win the case. However, he said, as the Taiwanese have imposed margins following Japan's exmple, they may ignore Pakistan's arguments and go ahead with the levies.

Unlike the case with Japan's levies, Pakistan will have no remedy available for reversal of the decision as there exist no diplomatic ties between the two countries, and Taiwan not being the member of WTO, the case could not be taken up before WTO either.