The USA Poultry & Egg Export Council (USAPEEC) and several U.S. chicken companies have jointly filed an appeal with the North American Free Trade Agreement (NAFTA) against Mexico’s anti-dumping action on U.S. chicken leg quarters. USAPEEC’s Mexican legal counsel officially filed the appeal before the NAFTA Secretariat in Mexico City last week.
Mexico’s Secretaria de Economia had ruled that U.S. chicken leg quarters were in violation of dumping laws because the parts were sold below the average cost of producing and processing a whole chicken. Mexico determined last month that anti-dumping duties could be imposed on U.S. chicken leg quarters. Mexico, however, is reserving its rights to impose anti-dumping duties after announcing it would withhold doing so because the avian influenza outbreak is causing significant harm to its table egg producers and thus pressuring consumer food prices.
In a further development in the case, Bachoco has filed an “amparo” with the Mexican government requesting that the dumping duties be immediately imposed on U.S. chicken leg quarters. An “amparo” or “writ of amparo” is a legal action that can be exercised to ensure a party’s rights, implicitly or explicitly are protected by the constitution.
USAPEEC does not want the Mexican government determination to remain in place and serve as a possible invitation for other countries to do likewise. USAPEEC has asked the Office of the U.S. Trade Representatives to consider an appeal to the World Trade Organization.
