American, Turkish word war heats up
The word war between American and Turkish lobby groups has escalated as the rivals exchanged barbs on the alleged dumping into the Philippines of flour from Turkey.
The US Wheat Associates (USW), based in the state of Virginia, on Tuesday affirmed its support for local millers, defending its right to comment on matters affecting the Philippine market.
The USW was reacting to statements attributed to the Turkish Flour Yeast & Ingredients Promotion Group (TFYIP), which dismissed the former as “not authorized to make definitive opinions” on the issue.
Also, the American group bristled as a Turkish diplomat is said to have described the USW’s position as “inappropriate” and dismissing it as an “unfortunate occasion.”
“We stand by the fact that the Turkish government employs a complex, inward processing scheme that creates disruptive incentives to its milling industry to export flour regardless of price,” said Joseph Sowers, USW’s assistant regional director for South Asia.
Sowers, who is based in Manila, also reiterated that “even the cheapest Turkish flour is much more expensive in Turkey than similar flour Turkey exports to the Philippines, that such exports clearly constitute dumping.”
He said these facts offer strong justification for the Philippine government to impose an anti-dumping duty on Turkish flour imports.
The Department of Agriculture (DA) is in the middle of an investigation on the matter, particularly on whether anti-dumping measures should be taken.
This would entail the increase in import duties to 20 percent from the current 7 percent, which the Tariff Commission has the authority to do.
Bakers’ groups have warned of imminent increases in the prices of bread and other flour-based products with the anticipated stoppage of imports from Turkey.
Regarding the comments from Turkey, Sowers said that Turkey has been involved in the Philippine flour market for less than six years.
“(Turkey’s) representatives may not be aware of the fact that USW has proudly served a productive partnership with flour millers and the entire baking industry in the Philippines for more than 50 years,” he said.
The USW has long been a source of “transparent market information that has been freely offered to help increase the value of imported US wheat to Philippine millers, bakers and consumers,” he added.
He clarified that, in becoming involved in the Turkish flour issue, the USW has no desire to restrain trade but supports “trade environments with fair, open competition.”
