Trade Regulations

Ordinance extends anti-dumping duty for garlic imports from China for five years

Oct, 04, 2019 Posted by Sylvia Schandert

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Ordinance No. 4,593 was published in the Official Gazette this Thursday (10/03), extending the definitive anti-dumping duty applied to Brazilian imports of fresh or frozen garlic, originating in China, for a period of up to five years.

The Ordinance of the Special Secretariat of Foreign Trade and International Affairs of the Ministry of Economy sets a specific tax rate of US$0.78 per kilogram. According to the publication, the measure applies to garlic classified in items 0703.20.10 and 0703.20.90 of the Mercosur Common Nomenclature, whatever the types, classes, groups, or subgroups.

The measure was first applied in 1995 and has been extended every five years following successive revisions that have shown that the termination of the anti-dumping duty on imports would most likely lead to the continuation or resumption of dumping and injury to the domestic industry.

The garlic production chain in Brazil is made up of about 5,000 farmers, of which 4,500 are from family farms. The main producing states are Rio Grande do Sul, Santa Catarina, Paraná, Bahia, Piauí, Minas Gerais, Goiás, and Distrito Federal.

Last year, Brazil produced 13.5m 10kg boxes of garlic in an area of 11,500 hectares, and imported 16.5m boxes of 10kg.

In the international market, the main exporters are China (80%), Argentina (7%), and the European Union (5%). Brazil was the 3rd largest importer in the world in 2018, behind Indonesia and Vietnam.

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