A Change of Guard

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Friday, 13 June 2014

Italy Wants European Union to Stop Duty Free Rice Imports from Cambodia; Stresses for $237 per Ton Import Tariff or Safeguard Clause

In an attempt to support national rice growing sector, Italy seems to be against duty free import of rice by the European Union (EU) from Cambodia, according to an Italian website www.risoitaliano.eu.   
Italy is particularly concerned of preferential rice imports by the EU, under the EU Generalized Scheme of Preferences (GSP) Regulation, which says "Import Everything but Arms", from Cambodia. 
Italy is planning to submit a report to the European Union about the consequences of duty free imports on local production and the EU rice sector. Tentative contents of the report have been published on the Italian website.   
In the report, Italy will say that the duty free import clause with Cambodia is making Italian rice, which costs around €646 (around $874) per ton, uncompetitive versus the Cambodian rice, which costs €438 (around $593) per ton. 
According to a study by the Association of Graduates in Agriculture of the Province of Vercelli, Italian producers cannot reduce this competitive gap because of high production costs. Italian producers incur a cost of €322 (around $436) per ton and cannot afford to sell at low prices in order to compete with the cheap Cambodian rice.    
Italy says in the report that EU should apply a n import tariff of €175 (around $237) per ton on Cambodian rice so that its cost would increase to €623.28 (around $844), and the competitive gap reduces significantly. 
Alternately, Italy is stressing the EU on adopting a safeguard clause on Cambodian rice imports that would protect competitiveness of the locally produced rice.   Italy also stated in the report that rice farmers in the EU are facing difficulty in choosing the appropriate rice varieties and ideal rice acreage for each variety. 
Also owing to increased milled rice imports from Cambodia, local milling industry is shedding off jobs, which could be dangerous to the region's economy in coming years. 

1 comment:

Anonymous said...

italy is broke --- bankrupt so is spain , france and greece... the german and ECB is supporting them by allowing them to cook their accounting book [ lie to the world that the gov still money to operate/ run their country ] their gov is so desperate that now they are counting hookers' work, money from drug dealing in their GDP ...and if you have dormant bank account [ no transaction -- deposit or withdrawn ] from 1 year [ some state in US ] to 3 years the gov can move in and take that money [ add that up with million of people = billions of dollars seized for their expenses ] even australia is doing it...