Following an appeal filed by the importing company La Maquila Lama with the Costa Rican authorities, the government decided to reduce the additional tax on sugar purchased abroad from 34.27% to 27.68%.
With the reduction decreed by the Ministry of Economy, Industry and Commerce (MEIC), a decision that was published on August 18 in The Gazette, the total tax applied to imported sugar will be 72.68% (45% original plus 27.68% of the safeguard), which is slightly less than the 79.27% (45% original plus 34.27%), which was in force until before the enacted amendment.
Arguing that the unusual growth in sugar imports is harming local production, the Alvarado administration decided to raise the tariff on products entering Costa Rica from 45% to 73% for a three-year period.
The Ministry of Economy, Industry and Commerce (MEIC) concluded the investigation requested by the Agricultural Industrial League of Sugar Cane (LAICA) and 4 mills, on the safeguard measure against imports of solid state, granulated sugar, known as white sugar, used for domestic and industrial consumption, justifying a deterioration in the main economic indicators of the National Production Branch (RPN), details an official statement dated June 15.
Arguing that local production must be protected, Costa Rican sugar manufacturers demand that, in addition to the 45% common levy already charged on imported sugar, an additional tariff must be imposed.
The request was made by Liga Agricola Industrial de la Caña de Azucar (Laica) to the Ministry of Economy, Industry and Commerce (MEIC), as businessmen claim that there is an exponential growth in sugar imports in recent years, which has put in check the Costa Rican sugar cane sector.
In Costa Rica, importing companies are against the ArcelorMittal proposal, which consists of raising the steel rod income tax from 1% to 15%.
On November 5th, a public audience was held in which importing companies and ArcelorMittal presented their arguments before the Ministry of Economy, Industry and Commerce (MEIC) regarding the proposal to raise the import tariff on steel rod by 14%.
The Producers Guild has revived efforts to create a technical regulation which requires roasters to indicate the origin of coffee on packaging.
Increased imports of coffee from countries such as Nicaragua, Guatemala and Peru have led the production sector to revive a proposal made in 2011 that would require companies to indicate whether packaged coffee is national or purchased from abroad.
The increase in the price of local milled rice in 2011, has boosted imports.
According to the Ministry of Agriculture and Livestock (MAG) as of September 2011 a total of 17,000 metric tons had been imported. "In the next three months of this year, imports could have tripled the 62,000 metric tons of 2010", reported Elfinancierocr.com
In the country it is the Ministry of Economy that establishes the price of rice, by decree, a measure that has been questioned by the World Trade Organization, who argues that more subsidies are being granted than allowed.
The new digital system will allow online registration for exporters and packers of products of vegetable origin.
As of June 13, the State Phytosanitary Service (SFE) will make the Digital Registry of Exporters System (SIDEX by its Spanish initials) available to users.
The SIDEX may be used by exporters wishing to register as a trader, packer, or both. It also allows renewals, annotations, annuities control and registration payment.
Producers reported pork imports from Chile with prices up to 50% lower than national prices.
The National Chamber of Pork Producers stated this situation has been going on for a couple of years and was reported to the Ministry of Economy, Trade and Industry and the Ministry of Foreign Trade.
The president of National Pork Producers, Renato Alvarado said "documentation is being put together from Chile so that a connection between local prices in this country and those offered in Costa Rica are compared. If they are offered at prices lower than production costs, it can constitute unfair competition," Nacion.com reports.
The Costa Rican government is preparing an urgent proposal to solve its incompliance with trade regulations.
The proposal must be submitted by the end of September when the World Trade Organization's (WTO) Agriculture Group meets. However, first it needs to be negotiated with domestic rice growers and exporters.
Fernando Ocampo, Foreign Trade vice-minister, told Nacion.com that, "the proposal will take into account four considerations: compliance with WTO rules, consumer protection, support for growers and industry interests".
Authorities are carrying out the corresponding studies in order to apply a price setting policy that is similar to the one for bananas.
To achieve this, a cost model similar to the one for banana producers, but with adjustments for pineapples, will be used.
Currently the price for pineapples is set by the market (demand and supply) and small farmers paid for their product with prices that are unilaterally set.