Chile Clears 'Safeguard' Exam on U.S. Pork Imports

Chile says it will not take action to limit imports of U.S. pork

Published on: Oct 22, 2013

The National Pork Producers Council Monday announced Chile's decision to end its "safeguard" exam on U.S. frozen pork imports.

Chile implemented the exam in May on concerns that imports were harming the domestic pork industry.

According to the NPPC, safeguard measures are temporary emergency actions, such as duty increases, against imported products that have caused or threaten to cause serious injury to the importing country's domestic industry. The Chilean Pork Producers Association alleged that pork imports caused losses to its producers and called for a 14.3% additional duty on imported pork.

The NPPC opposed the additional duty, calling the claims of harm "unfounded." The group said that while U.S. pork exports to Chile have grown over the past eight years, they remain small and stable in relation to pork consumption and production in that country.

Chile says it will not take action to limit imports of U.S. pork
Chile says it will not take action to limit imports of U.S. pork

Although Chilean pork producers continue to account for more than 95% of domestic consumption, they also have significantly increased their sales in export markets, NPPC said.

After a 90-day investigation to determine whether safeguard measures should be imposed and at what rate, a Chilean commission decided such measures weren't warranted.

"America's pork producers are pleased that Chile has found that U.S. pork exports to that country are not harming Chilean pork producers," said NPPC President Randy Spronk, a pork producer from Edgerton, Minn. "NPPC believed that the charges of harm were unsupported and led the defense of the U.S. pork industry against any safeguard action."

According to NPPC, Chile has become an important market for U.S. pork since the implementation of the U.S.-Chile Free Trade Agreement in 2005.