Import of iron products from Pakistan: GCC decides not to apply safeguard measures

[LahoreEstate]

By Tanveer Ahmed

KARACHI: The Gulf Cooperation Council (GCC) has decided not to apply safeguard measures against imports of angles, channels and beams – iron products used in construction from Pakistan.

GCC’s Technical Secretariat of Anti-Dumping (TSAD) communicated this decision to government of Pakistan recently, which would pave the way for the uninterrupted export of these items to GCC countries comprising of Saudi Arabia, United Arab Emirates, Kuwait, Bahrain, Oman and Qatar.

“TSAD found that Pakistan is among the developing countries with less than three percent imports’ share in the GCC market, therefore no safeguard measures will be applied against imports of the concerned products originating from Pakistan,” a GCC notice suggested.

TSAD initiated the investigation about the alleged dumping of beams, channels and angles after receiving a complaint from Union Gulf Steely Company and Al-Jazeera Steel Company – GCC producers of these products – for the initiation of safeguard investigation and its imposition of measures against increasing imports of these products.

TSAD examined whether the complaint contains sufficient evidence for the initiation of safeguard investigations and prepared a report that was submitted with the Permanent Committee for Protection against Injurious Practices in International Trade.

Following thorough investigations in the matter, it was found that Pakistan having less than three percent share of the total imports of beams, channels and angles in GCC, is not indulged in dumping of these products in these countries, thus posing no threat to domestic manufacturers of these products.

Officials privy to this development said that National Tariff Commission (NTC) took up the matter in the beginning of the month of December and expressed interest to the party in safeguard investigations against increased exports of angles, channels and beams into GCC market.

However, before taking any anti-dumping measures to block the import of these products, GCC realised and came to know that complaints are devoid of any substance to move forward, thus absolving Pakistan of any protecting measures to safeguard its domestic industry.

A quick glance on the import of these items by GCC indicated that these imports increased manifold since 2005 when 388,000 metric tonnes was imported and jumped to 871,000 metric tonnes.

GCC, being the centre of construction of activities in the recent years witnessed increased imports of construction materials including beams, channels and angles and Pakistan having the close proximity to Gulf region has the advantage of supplying construction materials and products in a short span of time.

http://www.dailytimes.com.pk/default.asp...2010_pg5_2