Biz-Community (Cape Town)

South Africa: Brazil Challenges SA's Anti-Dumping Duties On Poultry

Tax-news.com reports that the Brazilian government requested the World Trade Organisation (WTO) to intervene in its dispute with South Africa who - Brazil says - imposed unfair anti-dumping duties on Brazilian poultry meat.

While Brazil acknowledges that, under international trade rules, nations may impose duties on imported goods that have been 'dumped' on the world market at below cost price, it argues that that South Africa erroneously calculated the margins applicable to Brazilian poultry meat exports, Tax-news.com says. In addition, the Brazilian government says that the duties imposed aren't legitimate, as South Africa did not include sufficient evidence of dumping or show injury to South African businesses.

According to Tax-news.com, the decision to seek WTO-mediated talks has been welcomed by the Brazilian Union of Agriculture (UBABEF), which previously lobbied for government action. The union said that the industry was set to suffer losses of USD70bn a year as a result of the duties.

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