South African sugar farmers and mills are in talks with the government over increasing the price level that would trigger the possibility of levying duties on imports from Brazil, according to Remgro Ltd. (REM)’s TSB Sugar Holdings unit.
The current reference level, set by the state International Trade Administration Commission in consultation with the South African Sugar Association lobby, is $340 a metric ton, said TSB Managing Director John du Plessis at the Malelane sugar mill today. He declined to give the current market rate, based on London prices adjusted for transportation and other costs.
“We’ll end up importing 150,000 tons of sugar this year, or 10 percent of South African consumption,” said Du Plessis, who is also chairman of the national sugar association. “That is the equivalent of a sugar mill’s production,” he said.
The government imposed anti-dumping duties of 6 percent to 63 percent in February on some chicken cuts imported from Brazil. The Latin American country subsequently filed a complaint with the World Trade Organization.
To contact the reporter on this story: Jaco Visser in Johannesburg at email@example.com
To contact the editor responsible for this story: John Viljoen at firstname.lastname@example.org