US experts inspect Vietnam shrimp exporters

VietNamNet Bridge – Experts from the US Department of Commerce are conducting a fact-finding tour of Vietnam’s major shrimp producers and processors to examine the local shrimp farming and processing industry.

Vietnam shrimp, VASEP, shrimp farmers

Shrimp is one of Vietnam's key seafood products for export.

The June 10-16 inspection tour is part of the DOC’s scheduled plan to provide a basis for its final determination on the anti-subsidy case against shrimp imports from Vietnam.

They are due to work with shrimp companies in Hanoi (in the north), Nha Trang (in the centre) and Ca Mau (in the south).

The final determination will be announced in August this year.

In its preliminary determination in late May, the DOC accused a number of Vietnamese shrimp companies of receiving State subsidy to produce low-priced frozen products for export to the US.

It then temporarily imposed countervailing duties of 5.08% on Minh Phu Seafood products, 7.05% on Nha Trang Seafood products, and 6.07% on products of other seafood companies.

Le Van Quang, head of the Management Board of the Minh Phu Seafood Corporation, describes the US decision as unjustifiable, causing a huge damage to Vietnamese shrimp processors and exporters.

He says the DOC has relied on the government’s report on incentives for the shrimp industry to come up with the preliminary decision.

“Vietnamese shrimp exporters have operated in line with the market economy mechanism and they have so far not received any subsidy from the State,” Quang confirms.

Tran Thien Hai, President of the Vietnam Association of Seafood Exporters and Processors (VASEP), forecasts if the averaged CVD rate of more than 6% is imposed, it will severely injure Vietnam’s shrimp industry.

He says it is unreasonable that the shrimp industry is subject to the CVD while it has not received any State subsidy.

He also says VASEP will work with the plaintiffs’ lawyers to oppose their accusations and propose a recalculation of the tax rate.

VASEP insists that the DOC’s unreasonable decision will directly impact on the lives of hundreds of thousands of shrimp farmers and workers at shrimp companies.

Source: VOV online

Vietnam shrimp, VASEP, shrimp farmers