[Federal Register Volume 59, Number 49 (Monday, March 14, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-5879]


[[Page Unknown]]

[Federal Register: March 14, 1994]


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DEPARTMENT OF COMMERCE
[A-301-801 and A-331-801]

 

Initiation of Antidumping Duty Investigations: Fresh Cut Roses 
From Colombia and Ecuador

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

EFFECTIVE DATE: March 14, 1994.

FOR FURTHER INFORMATION CONTACT: Kimberly Hardin, Office of Antidumping 
Investigations, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, D.C. 20230; telephone (202) 482-
0371.

Initiation of Investigations

The Petitions

    On February 14, 1994, we received petitions filed in proper form by 
the Floral Trade Council. In accordance with 19 CFR 353.12, the 
petitioner alleges that imports of fresh cut roses from Colombia and 
Ecuador are being, or are likely to be, sold in the United States at 
less than fair value within the meaning of section 731 of the Tariff 
Act of 1930, as amended (the Act), and that these imports are 
materially injuring, or threaten material injury to, a U.S. industry.
    The petitioner has stated that it has standing to file the 
petitions because it is an interested party, as defined under section 
771(9)(C) of the Act, and because the petitions were filed on behalf of 
the U.S. industry producing the product subject to these 
investigations. If any interested party, as described under paragraphs 
(C), (D), (E), or (F) of section 771(9) of the Act, wishes to register 
support for, or opposition to, these petitions, it should file a 
written notification with the Assistant Secretary for Import 
Administration.

Scope of Investigations

    The products covered by these investigations are fresh cut roses, 
including sweethearts or miniatures, intermediates, and hybrid teas, 
whether imported as individual blooms (stems) or in bouquets or 
bunches. Roses are classifiable under subheadings 0603.10.6010 and 
0603.10.6090 of the Harmonized Tariff Schedule of the United States 
(HTSUS). The HTSUS subheadings are provided for convenience and customs 
purposes. Our written description of the scope of these investigations 
is dispositive.

United States Price and Foreign Market Value

Colombia
    Petitioner based United States price (USP) on offers for sale by 
Colombian importers and distributors of the subject merchandise to U.S. 
customers. Petitioner deducted from USP amounts for air freight, 
insurance, customs duties and handling charges. Petitioner also 
deducted an amount for commissions paid to the grower on sales of 
subject merchandise.
    Petitioner calculated foreign market value (FMV) using two 
methodologies. First, petitioner based FMV on import statistics for 
fresh cut roses in various third countries. Second, petitioner based 
FMV on constructed value (CV).
    For FMV based on import statistics, petitioner used third country 
import statistics obtained from Statistics Canada and Eurostat. 
Petitioner deducted amounts for air freight and insurance and, where 
appropriate, duty charges. Since the import statistics were in foreign 
currencies, petitioner made currency conversions using monthly exchange 
rates published in the Federal Reserve Bulletin.
    Petitioner alleged home market sales below the cost of production 
(COP) with respect to the subject merchandise for all Colombian 
producers and exporters named in the petition. However, petitioner did 
not provide any company-specific sales data in its COP allegation. 
Because it is the Department's practice to require COP allegations to 
be company-specific, we have not initiated a COP investigation.
    Regarding FMV based on CV, because the Department is not initiating 
a COP investigation, and because the information submitted concerning 
price-to-price comparisons was deemed to be adequate, we did not review 
the CV data contained in the petition, nor have we accepted it for 
purposes of initiation.
    Comparison of FMV based on import statistics and net USP for sales 
of fresh cut roses from Colombia results in a range of alleged dumping 
margins from .4 percent to 256.7 percent.
Ecuador
    Petitioner based USP on offers for sale by Ecuadorean importers and 
distributors of the subject merchandise to U.S. customers. Petitioner 
deducted from USP amounts for air freight, insurance, customs duties 
and handling charges. Petitioner also deducted an amount for 
commissions paid to the grower on sales of subject merchandise. 
Petitioner calculated FMV using the two methodologies discussed above 
for Colombia.
    Petitioner alleged home market sales below COP with respect to the 
subject merchandise for all Ecuadorean producers and exporters named in 
the petition. However, because petitioner did not provide any company-
specific sales data in its COP allegation, we have not initiated a COP 
investigation.
    Regarding FMV based on CV, because the Department is not initiating 
a COP investigation, and because the information submitted concerning 
price-to-price comparisons was deemed to be adequate, we did not review 
the CV data contained in the petition, nor have we accepted it for 
purposes of initiation.
    Comparison of FMV based on import statistics and net USP for sales 
of fresh cut roses from Ecuador results in a range of alleged dumping 
margins from .2 percent to 316.7 percent.

Initiation of Investigations

    Under 19 CFR 353.13(a), the Department must determine, within 20 
days after a petition is filed, whether the petition properly alleges 
the basis on which an antidumping duty may be imposed under section 731 
of the Act, and whether the petition contains information reasonably 
available to the petitioners supporting the allegations. We have 
examined the petitions on fresh cut roses from Colombia and Ecuador and 
have found that the petitions meet the requirements of 19 CFR 
353.13(a). Therefore, we are initiating antidumping duty investigations 
to determine whether imports of fresh cut roses from Colombia and 
Ecuador are being, or are likely to be, sold in the United States at 
less than fair value. If these investigations proceed normally, we will 
make our preliminary determinations by July 25, 1994.

International Trade Commission (ITC) Notification

    Section 732(d) of the Act requires us to notify the ITC of these 
actions and we have done so.

Preliminary Determination by the ITC

    The ITC will determine by March 31, 1994, whether there is a 
reasonable indication that imports of fresh cut roses from Colombia and 
Ecuador are materially injuring, or threaten material injury to, a U.S. 
industry. A negative ITC determination in any of these investigations 
will result in its termination; otherwise, the investigations will 
proceed according to statutory and regulatory time limits.
    This notice is published pursuant to section 732(c)(2) of the Act 
and 19 CFR 353.13(b).

    Dated: March 7, 1994.
Joseph A. Spetrini,
Acting Assistant Secretary for Import Administration.
[FR Doc. 94-5879 Filed 3-11-94; 8:45 am]
BILLING CODE 3510-DS-P