The South African potato industry is appealing for support amid the threat of massive dumping by the European Union. The industry’s anti-dumping duty protection recently lapsed.
While an application had been made for the reinstatement of the tariff for another five years, the International Trade Administration Commission of SA did not complete it on time.
“There is a significant risk that the increased volume of below-cost frozen French fries that land on our shores from the Netherlands and Belgium will cripple South African farmers and producers” Potatoes South Africa has stated.
When the EU has an excess and capacity to dump it in the South African market, things can get dicey.
Around ten years ago some protection started coming in and there were around 48,000 tons a year being dumped into South Africa, or imported at the time …. That’s come right down to about 18,400 tons in 2020.
If the European market has a 3% bumper crop, it means it can literally dump half of our local requirements into the South African market, which just cannot compete.