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Canned Peaches from the European Union: Initiation Summary

[ Last Updated 24 January 2006 ]

8 January 2003

Contents

Type of Investigation

Subsidy Review

Description of Goods

Peaches (halves, slices, and pieces) packed in retail sized cans

Country of Origin

The European Union

Investigation "Milestones"

Date of Initiation:8 January 2003
Earliest date on which Provisional Measures may be imposed:1 
Latest date for release of Interim Report:26 June 2003
Latest date for completion of review by the Chief Executive of the Ministry of Economic Development:6 July 2003

Summary of Factors Leading to Initiation

Background

Countervailing duties were imposed on canned peaches from the European Union by the Minister of Commerce on 9 January 1998. A notice to this effect was published in the New Zealand Gazette of 22 January 1998.

On 16 April 2000 the Acting Minister of Commerce reassessed the rate of countervailing duty to set a separate rate of duty for a new exporter. The other rates of duty imposed in 1998 remained unchanged. A notice of the reassessment was published in the New Zealand Gazette of 20 April 2000.

The current countervailing duties are in the form of ad valorem percentages. There are separate rates for three Greek exporters and two Spanish exporters. There are also separate rates of duty for "other" Greek exporters, "other" Spanish exporters and "other" exporters from European Union (EU) countries other than Greece and Spain.

Reason for the Review

The countervailing duty would have expired on 9 January 2003 if a review had not been initiated before that date, as five years had passed since the duties were imposed. The review was initiated at the request of the only New Zealand producer of canned peaches, Heinz Wattie's, who provided positive evidence sufficient to justify the initiation of a review.

The purpose of the review is to establish whether the expiry of the duty would be likely to lead to a continuation or recurrence of subsidisation and material injury.

Further details of the background relating to countervailing duty on canned peaches from the European Union and the reasons for the review, are contained in the Initiation Memorandum which is available from this site.

Review Process

Submissions are being sought from parties known to have an interest in this review, including known exporters and producers in the European Union, importers and the New Zealand industry. These submissions will be examined and analysed by the review team. The outcome of this examination and analysis will then be reported, with recommendations, to the Chief Executive of the Ministry of Economic Development.

Notes

Importers of canned peaches from the European Union of the type described above should note that the countervailing duty will continue to apply to these goods for the duration of the review.

If the review establishes that there is a continued need for countervailing duties, then a reassessment of the existing duties may be initiated on the completion of the review to establish the appropriate duty rate or amount and the method by which the duties are imposed. Any reassessment will draw on the results of the review.

Further Information

Any queries or requests for further information should be directed to the review team at the Trade Remedies Group on telephone 64-4-470 2273 (Robin Hill) or 64-4-470 2272 (Kelvin Davidson), or facsimile 64-4-499 8508. Enquiries by e-mail should be directed to robin.hill@med.govt.nz or kelvin.davidson@med.govt.nz.


1Provisional measures: The existing countervailing duties will continue to apply for the duration of this review. If the review shows that countervailing duties should continue to be imposed, a reassessment of the rate or amount of countervailing duty to be applied may be carried out. Provisional measures are not therefore an issue in these proceedings.

2Notice to parties to investigation: Section 10A(1) of the Dumping and Countervailing Duties Act provides as follows:

(1) Subject to subsection (2) of this section, within 150 days after the initiation of an investigation under section 10 of this Act, the [Chief Executive] shall give to the parties to the investigation referred to in section 9 (b) of this Act written advice of the essential facts and conclusions that will likely form the basis for any final determination to be made under section 13 of this Act.

Whilst the provision quoted above does not apply in the case of reviews, the Ministry attempts as far as possible in a review to follow normal investigation procedures. To this end, an interim report in the same format as is used for the release of essential facts and conclusions will, if practicable, be provided to known interested parties on or before 150 days following the initiation of the review.

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