JACKSON - Mississippi catfish farmers on Monday applauded a federal ruling to impose tariffs up to 64 percent on imported Vietnam catfish.
In its preliminary ruling, the Commerce Department said Vietnam has illegally dumped catfish on the American market and should face penalties.
The Catfish Farmers of America, representing many catfish farms in the South, complained that Vietnam has unfairly captured 20 percent of the $590 million U.S. frozen catfish fillet market by selling at below-market prices.
"We believe this decision will help to bring some much needed relief to catfish farmers, processors and thousands of workers who may have felt the impact of this unfairly traded product," Hugh Warren, executive director of the Catfish Farmers of America, said in a statement.
Vietnamese producers say their fish costs less - often as much as 30 percent to 50 percent - because of lower labor and feed costs. A final government decision is expected this summer.
State catfish farmers, faced with falling prices and oversupply, have been pushing for the tariffs to level the playing field.
Louie Thompson has farmed catfish near Yazoo City since 1959. He said he's seen his business decline in recent years, and believes the Vietnam fish is the reason.
"It's hurt us of course," he said Tuesday.
Last week, Hanoi warned the Commerce Department that an unfair ruling could hurt broader trade links between the two countries. Communist Vietnam has been slowly moving toward a market economy, and pledged in a trade agreement with the United States last year to open its markets to global standards and competition.
The penalty tariffs would range from 38 percent to 64 percent on various producers of frozen fish fillets, including regular, shank and strip fillets, the ruling said.
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