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Financial Times (London, England)

May 10, 2005 Tuesday
USA Edition 2

SECTION: LETTERS TO THE EDITOR; Pg. 16

LENGTH: 412 words

HEADLINE: EU anti-dumping measures unfair

BYLINE: By JAN PETERSEN

BODY:


From Mr Jan Petersen.

Sir, I read with interest your article about the problems the Norwegian salmon industry is facing as a result of the anti-dumping measures introduced by the European Commission ("Norway mulls net losses from being outside the EU", May 3).

Leaving aside the long-term political ramifications of these measures highlighted in the article, I would like to stress that in my view there is no basis for the European Union to take anti-dumping measures against imports of Norwegian salmon. The Norwegian fish farming industry is efficient and competitive and does not receive any form of state aid. It is not selling salmon on the EU market in contravention of World Trade Organisation rules. This is why I have stated that I am prepared to pursue the anti-dumping measures in the WTO.

As you correctly point out in the article, the Norwegian salmon industry has had to live with restrictions, or threats of restrictions, on exports to the EU for the past 15 years. While the majority of EU salmon producers are efficient and ready to accept normal market conditions, a small minority of inefficient Scottish and Irish producers apparently prefer to rely on protective trade measures instead of adjusting to market realities. In maintaining such measures, the EU risks loss of jobs and business for the processing industry, which is dependent on imported farmed salmon, and higher prices for European consumers.

After the last set of restrictions, the so-called salmon agreement, was terminated in 2003, we had well-founded hopes that we could put this situation behind us and enjoy normal free trade, based on multilateral rules, in this area too. But nine months later the EU trade commissioner started a process that led to the introduction of provisional safeguard measures on all imports of farmed salmon to the EU from August to December last year. These were followed by permanent safeguard measures from February this year, which were repealed on April 27 as the Commission failed to obtain sufficient support from the EU member states. The Commission promptly switched to anti-dumping measures against Norway instead.

We have been in dialogue with the Commission throughout, and we have suggested various solutions in order to avoid restrictions. Unfortunately, the Commission has rejected all of our suggestions. We are, of course, always prepared to discuss solutions that are compatible with WTO rules.

Jan Petersen, Norwegian Minister of Foreign Affairs

LOAD-DATE: May 9, 2005