ANNOUNCEMENT 29 Apr 2009

In April 2009, the government of Brazil announced an altered import quota.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

MDIC Press Release, "Mdic investiga fraude de leite em pó". Published April 30th, 2009. Available at: https://www2.senado.leg.br/bdsf/bitstream/handle/id/491344/noticia.htm?sequence=1&isAllowed=y

Inception date: 30 Apr 2009 | Removal date: 30 Jun 2009

Import licensing requirement

On April 29th 2009, the Chamber for Foreign Trade (Câmara de Comércio Exterior, CAMEX) announced that it would start an investigation into the possible under-invoicing and circumvention of imports (altering the country of origin of a product in order to avoid tariffs) of powdered milk from Argentina. The investigation was initiated on behalf of the National Confederation of Agriculture and Cattle Raising (Confederaçăo Nacional da Agricultura e Pecuária do Brasil, CNA), who asked that automatic import licenses for powdered milk imports be cancelled for 60 days as the investigations progressed. The Secretary of Foreign Trade of Brazil stated that if evidence of triangulation was found, then non-automatic import licensing could be implemented in order to identify the origin of the products.

In the first quarter of 2009, Brazilian imports of powdered milk from Argentina increased by 285% when compared to the same period last year, from 4.8 thousand tons to 21.5 thousand tons. In value terms, this meant an increase in the value imported from US$22.4 million to US$ 45.1 million.

Powdered milk imports from Argentina have already been subjected to an investigation by the Department of Trade Defense (Departamento de Defesa Comercial, DECOM) in 2001. In the course of the investigations, the Argentinean companies agreed to increase their export price in order to avoid the imposition of anti-dumping duties. The price agreement lasted until February 2008.

AFFECTED SECTORS

 

AFFECTED PRODUCTS