There is talk of dumping of Dutch and Belgian chips on the New Zealand market, but that is not a threat to the domestic potato growers and processors. This is the conclusion reached by the New Zealand Ministry of Affairs, Innovation and Employment (MBIE).
Last year, the trade association Potatoes New Zealand (PNZ) requested the MBIE to investigate alleged dumping practices. In the interim report The MBIE published today (Friday, April 23) indeed shows that there is limited dumping of fries and other frozen potato products.
No threat
There is dumping at Dutch manufacturer Lamb Weston, but not at Aviko and Farm Frites, according to the report. However, the range of Dutch chip prices was large. The weighted average price of Dutch fries was therefore not below the average price in New Zealand. There is no dumping among Belgian manufacturers. The Belgians do offer the fries cheaper than the local producers.
According to the report, Belgian and Dutch fries do not pose a significant threat to the New Zealand industry. Additional import tariffs or other anti-dumping measures are therefore not necessary. PNZ reports on its website that it is studying the report thoroughly. They will submit their response to the report to the MBIE within 10 days.