The Commerce Ministry is closely monitoring the European Union's revision of poultry tariffs, as it could present problems for the Thai chicken industry in the future.

Thailand is a major exporter of chicken meat to EU markets but the adjustment could cause difficulties for exports to this market, a senior ministry source said yesterday.

The EU recently informed the World Trade Organisation that it would change import duties on eight poultry items such as duck and goose liver, processed chicken, raw duck, goose and guinea chicken, and processed duck, goose and guinea chicken.

The EU has not yet decided if it will hike tariffs or limit import quotas. The ministry will keep close tabs on the import policy changes in order to quickly seek compensation for losses in case Thailand's export volume drops to the EU market, the source said.

The Foreign Trade Department will this Thursday meet with chicken exporters and other agencies to brainstorm a rapid response.

The ministry will ask for Cabinet and parliamentary approval to negotiate with the EU.

Thailand's exports of eight items to the EU were worth ?96.1 million (Bt4.8 billion) last year.

Chutima Bunyapra-phasara, director-general of the department, also said that India had announced that its anti-dumping duty would be discontinued on 6-hexanelactum, or caprolactam - a base material for making nylon - imported from Japan, the EU, Nigeria and Thailand.

India had extended the duty against products from those countries to November 16, when it will be allowed to expire. The duty has been imposed for five years, with Thai products charged more than US$1,420 (Bt49,000) per tonne.

By Petchanet Pratruangkrai
The Nation
Published on August 4, 2009

Source: www.nationmultimedia.com