Turkish flour exporters deny dumping charges

The Turkish Flour, Yeast and Ingredients Promotion Group (TFYI), a semigovernment organization organized under the Turkish Exporters’ Union, is preparing to submit “legal defenses” to the Philippine government, as it vehemently denies allegations that Turkish flour is being dumped in the Philippines.

In a briefing last Friday, TFYI chair Turgay Ünlü regarded as “rubbish” the dumping claims made by a local millers group to justify the proposed imposition of safeguard duties on flour imports from Turkey.

“While we are not against these investigations, we truly and sincerely believe that we don’t deserve it,” Ünlü said.

“In the end, we believe the Philippine authorities and the Philippine law will conclude and decide on what is fair. We believe that an investigation is not fair and Turkish flour producers and exporters never deserve it,” Ünlü stressed.

“We are going to fight against these [dumping allegations]. In Indonesia, there was an investigation like this and last week, we have resolved it as the Indonesian government decided that it would be hazardous for the people [to impose additional tariff on Turkish flour imports] and rejected [the petition of Indonesian flour millers]. The Philippines is the second country that put Turkish flour under investigation.  We are sure we are going to resolve it like in Indonesia,” he said.

The Philippine Association of Flour Millers, the organization of flour millers in the country, has sought an increase in the tariff on Turkish flour to 20 percent from 7 percent. It claimed that Turkish flour millers were exporting flour to the Philippines “at dumping prices which is in violation of World Trade Organization rules.”

Dumping is defined as the export of a product to a foreign market at prices that are lower than the prices prevailing in the home market.

Ünlü said that such dumping allegation had no basis because the wheat flour Turkey had been exporting to the Philippines had been “tailor made” specifically for the needs of local bakers.

He said the wheat flour produced for the Philippines were not sold in and used by the market in Turkey.

“The specifications are different, that’s why you cannot compare [the prices of flour in Turkey and the Philippines],” he said.

“The situation is not reasonable. We don’t have that kind of wheat flour in Turkey because we just produce it for Philippines and the price is just for Philippines also. We are exporting to 117 countries–the pricing and specifications are different,” he added.