South Africa to probe dumping allegations

The International Trade Administration Commission (Itac) is investigating claims that cement from Pakistan is allegedly being dumped in the Southern African Customs Union (Sacu).

South Africa-based producers AfriSam, Lafarge, NPC Cimpor and PPC allege that bagged cement from Pakistan was being dumped at a price 48 per cent lower than the normal value in Pakistan.

According to statistics by the XA International Trade Advisors, annual imports from Pakistan rose from 362,350t in 2011 to 1.1Mt. The value of imports rose from ZAR167m in 2011 to ZAR632m last year.

PPC managing director, Richard Tomes, claim that the dumping has led to a decline in sales volumes, profit and output for producers in the region. He added that the impact of imports was more severe in coastal areas, particularly KwaZulu Natal.

Itac said in a notice published in the Government Gazette on Friday that the export price for Pakistan was determined based on the official South African Revenue Service import statistics.

Following its investigation and a report by Genesis Analytics, the commission found there was prima facie proof of dumping. The period of investigation to determine dumping is from January to December last year, and from January 2010 to December last year to determine "material injury".