ANKARA: The European Commission has accepted a complaint from Spanish firm Apromar over subsidized Turkish seabass and bream damaging EU businesses, and is now conducting an investigation, reports Mispeces.
As stated in the Official Journal of the European Union, the complaint was filed by Apromar on July 1. The firm is responsible for more than 25% of the total production of seabream and seabass in the EU.
The investigation covers fresh, chilled or frozen bream and seabass, whole fish, eviscerated or not, fillets originating in Turkey, and several other iterations of the product.
Apromar claimed Turkey directly subsidizes producers, with cash going directly to the organic production of bass and bream, while investment and business loans with low interest rates are granted by Ziraat Bankasi.
Other accusations propose Turkish firms are exempt from customs duties and VAT, receive tax reductions, bonus premiums of social security, and bonus income tax.
According to the allegations made, the above schemes are subsidies since they involve a financial contribution from the government of Turkey or other regional governments, and confer a benefit to recipients.
Apromar has provided evidence that the volume of bass and bream imports from Turkey have increased overall, both in absolute terms and in terms of market share.
The prima facie evidence provided by the complainant shows that the volume and prices of the imported product under investigation have, among other consequences, had a negative impact on the quantities sold by the Union industry, in the prices charged by the industry and sharing this market, which has had adverse effects on the overall performance and the financial situation of this industry,” said the EU.
Now the Commission will investigate whether the product originating in Turkey is being subsidized and whether these imports have caused injury to the EU industry. “If the conclusions are affirmative, the investigation will examine whether the imposition of measures would be in the interest of the Union,” adds the document.
The investigation of subsidization and injury cover from July 1 2014 to June 30 2015.
