The Egyptian government has temporarily imposed safeguard duties of 45% on imports of powdered milk, which it claims are increasing in scale so swiftly as to risk “great damage that would be difficult to repair,” within the domestic powdered milk producing industry.

The duty has initially been set for 200 days from 26 September, whilst further inquiries are made by Cairo, where it is claimed that imports increased by 89% from 1996 to 1999.

Meanwhile, Thailand has launched disputes proceedings at the WTO against Egypt, regarding Cairo’s import ban on Thai canned tuna and soybean oil. Bangkok has requested formal consultations with the Egyptian government, which could lead to the establishment of an arbitration panel. Argentina has also requested formal talks at the WTO with its neighbour Chile, complaining about provisional safeguard duties of 16% that it has imposed on imports of powdered milk and liquid UHT milk.

By Keith Nuthall

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