ARCHIVED - Notice of Conclusion of Re-investigation (Revised)

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4218-2
CVD/87

Refined Sugar From The European Union

Ottawa, January 29, 2010

On January 29, 2010, the Canada Border Services Agency (CBSA) concluded its re-investigation respecting the amount of subsidy of refined sugar, refined from sugar cane or sugar beets, in granulated, liquid and powdered form, originating in or exported from the European Union (EU).

This re-investigation was initiated on July 27, 2009, as part of the CBSA's enforcement of the Canadian International Trade Tribunal finding issued on November 6, 1995 and continued in 2000 and 2005.

The subject goods are normally imported into Canada under one of the following ten digit Harmonized System classification numbers:

• 1701.91.90.91
• 1701.91.90.99
• 1701.99.90.10
• 1701.99.90.21
• 1701.99.90.28
• 1701.99.90.29
• 1701.99.90.90

• 1702.90.11.00
• 1702.90.12.00
• 1702.90.13.00
• 1702.90.14.00
• 1702.90.15.00
• 1702.90.16.00
• 1702.90.17.00

• 1702.90.18.00
• 1702.90.69.00
• 1702.90.89.10

At the initiation of the re-investigation, the CBSA sent a Request for Information (RFI) to the Delegation of the European Commission (EC) in Canada in order to provide an opportunity to the EC to submit information for the purpose of updating the amount of subsidy for the goods in question. EC authorities were advised that the CBSA was conducting the reinvestigation on an aggregate basis, resulting in a single amount of subsidy for the EU. In the event that sufficient information was provided to the CBSA, amounts of subsidy could potentially be established for individual member states.

Information was also requested from importers of subject goods regarding their imports for 2007, 2008 and 2009. In total, letters were sent to 37 importers of subject goods and 19 responses were received.

Letters were also sent to 22 exporters and/or major EU sugar producers, advising them that the CBSA was conducting the re-investigation on an aggregate basis. However, as an exporter/producer of the subject goods, the companies were invited to contact the CBSA to provide company-specific information. No exporter/producer requested an exporter RFI from the CBSA.

The EC provided substantial general information about the EU sugar program aggregate spending on some programs. Nevertheless, sufficient information has not been provided or is not otherwise available to enable the determination of the amount of subsidy in the prescribed manner pursuant to the Special Import Measures Act (SIMA). For example, no information was provided for specific member states. Accordingly, the revised amount of subsidy was determined pursuant to a Ministerial specification.

Despite the fact that the response provided by the EC submission was incomplete, it contained some very useful information and is the best source of information concerning some of the programs under investigation. As a result, the information contained in the submission was considered by the CBSA in this re-investigation. The Canadian Sugar Institute also provided extensive information with documented argument related to current sugar subsidies, based on public information and the information provided by the EC. The CBSA used information from the EC, the Canadian Sugar Institute and other sources in determining the amount of subsidy in this re-investigation.

As a result of this re-investigation, the CBSA has revised the amount of countervailing duty applicable on subject goods. A countervailing duty equal to 22.13 EUR/100 kg will be applied to all imports of subject goods originating in or exported from the European Union, released from the CBSA on or after January 29, 2010. The previous rate of countervailing duty of 34.632 EUR/100kg is no longer applicable.

Refined sugar imported from Denmark, the Federal Republic of Germany, the Netherlands, and the United Kingdom is subject to both anti-dumping and countervailing duties. Subject goods from the United States are subject to anti-dumping duties only. The anti-dumping duties remain unchanged from the previous investigation.

Importers are reminded that it is their responsibility to calculate and declare their anti-dumping and countervailing duty liability. If importers are using the services of a customs broker to clear importations, the brokerage firm should be advised that the goods are subject to anti-dumping and/or countervailing measures.

The Customs Act applies, with any modifications that the circumstances require, with respect to the accounting and payment of anti-dumping and countervailing duties. As such, failure to pay duties within the prescribed time will result in the application of the interest provisions of the Act.

Should the importer disagree with the determination made on any importation of goods, a request for re-determination may be filed with the Director General, Anti-dumping and Countervailing Program, Ottawa, ON K1A 0L8. Such a request must be received within 90 days from the making of the determination, in the form and manner outlined in Memorandum D14-1-3, Procedures for Making a Request for a Re-determination (an Appeal) of Goods Under the Special Import Measures Act.

Any questions regarding this notice should be directed to:

Canada Border Services Agency
Anti-dumping and Countervailing Program
SIMA Registry and Disclosure Unit
100 Metcalfe Street, 11th Floor
Ottawa, Ontario K1A 0L8

Web site: www.cbsa-asfc.gc.ca/sima-lmsi/menu-eng.html
General e-mail: simaregistry-depotlmsi@cbsa-asfc.gc.ca
Fax: 613-948-4844

Officers' names and contact information:

Karen Humphries  613-954-7176

Ron McTiernan   613-954-7271