Panama Raises Tariffs on Imported Pork from the United States
The Varela administration has applied a special agricultural safeguard to some porcine products imported from the United States, among which are hams, legs, shoulders and their pieces.
Among the products for which a higher tariff must be paid are pork ribs, whose tariff went from 62% to 70%, and hams, shoulders and pieces, without bones, which will now incur 70%, instead of 62%.
Economist Rolando Gordón, told Laestrella.com.pa that "... this is a reflection of the Panamanian authorities having no control over the products that have to enter the country through the Trade Promotion Treaty."
Gordón adds that "... the measure of increasing the tariff seeks to protect domestic production.Complaints by producers have been constant during the last months, and the commercial treaty has come to light in these."
Arguing that imports may be close to reaching the level of automatic activation of the special safeguard mechanism, the Panamanian government ordered an investigation into pork purchases made from companies in the United States.
The General Directorate of Trade Defence has analyzed the information available through periodic reports requested from the National Customs Authority on imports of the goods described above and has submitted a report warning that such imports may be close to reaching the level of automatic activation of the special agricultural safeguard mechanism, explains the resolution of the Ministry of Trade and Industry (MICI).
Arguing that the import quota allocated for this year was reached, Panama applied a special safeguard measure on certain fractions of pork products originating in the USA.
The measure applies to pork in carcasses or half carcasses, legs, shoulders, and their bone-in pieces, hams, and pork ribs, so now importers will have to pay a regular tariff of between 40% and 70% to import pork from the aforementioned U.S. country.
In order to compete with pork that comes in from the US, Nicaraguan producers are seeking government support to build a food processing plant.
As import quotas for pork from the United States increase, Nicaraguan pork producers are seeking to improve their cost structure in order to better compete with the imported product.
Imports of pork from Chile have grown and local pork producers are asking the government for actions to be taken to protect them from the competition.
Problems of competitiveness are emerging for some sectors of the Costa Rican agro/livestock production, as entrepreneurs from other countries with which it has free trade agreements -in this case Chile - are taking advantage of opportunities provided by those treaties.
×
 close (x)
Receive more news about Agriculture
Suscribe FOR FREE to CentralAmericaDATA EXPRESS.
The most important news of Central America, every day.
Operating Company dedicated to the manufacture of gluten-free and sugar-free products, OHNE brand. The OHNE brand has 8 product lines: square bread, sweet...