Complaint targets herbicide imports

07/04/2010 12:00 - 514 Views

Albaugh Inc. filed an anti-dumping trade petition with the federal government Wednesday against Chinese imports of glyphosate, the world’s largest selling herbicide.

Albaugh is a privately held manufacturer of crop protection products and is headquartered in Ankeny, Iowa. The company has a manufacturing and formulation facility on the Stockyards Expressway.

Albaugh’s petition says the dumping occurred when Chinese firms sold the product in the United States at less than “normal value.” Company officials say they filed the petition in response to trade practices of Chinese glyphosate manufacturers, who increased production of the herbicide over the last three years. The company said the Chinese manufacturing has destabilized global markets.

In June, Albaugh laid off 37 workers at the St. Joseph plant — which was completed in 2006 and cost $40 million. Vice President Stuart Feldstein said the facility currently has 126 employees, but the portion that synthesizes glyphosate remains dormant.

“We haven’t run the plant since that time,” Mr. Feldstein said.

Glyphosate prices collapsed in 2008 and 2009 and forced the layoffs and production cuts, according to Albaugh.

“The Chinese industry, not the U.S. industry, created the conditions of oversupply that have led to the volatility in glyphosate pricing,” the company said.

The petition process is expected to take about a year, but is not expected to impact the market during the current crop year, Albaugh said.

The petition was filed with the U.S. Department of Commerce and U.S. International Trade Commission.

By Ray Scherer
Ray Scherer can be reached at rscherer@npgco.com.

Thursday, April 1, 2010

Source: www.stjoenews.net
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