[Federal Register Volume 74, Number 177 (Tuesday, September 15, 2009)]
[Notices]
[Pages 47204-47206]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-22189]


-----------------------------------------------------------------------

DEPARTMENT OF COMMERCE

International Trade Administration

[C-475-819]


Certain Pasta from Italy: Final Results of the 12th (2007) 
Countervailing Duty Administrative Review

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (``the Department'') has 
completed its administrative review of the countervailing duty 
(``CVD'') order on certain pasta from Italy for the period January 1, 
2007, through December 31, 2007. On May 28, 2009, we published the 
Preliminary Results of this review. See Certain Pasta from Italy: 
Preliminary Results of the 12th (2007) Countervailing Duty 
Administrative Review, 74 FR 25489 (May 28, 2009) (``Preliminary 
Results''). We did not receive any comments on the Preliminary Results 
and have made no revisions. We find that De Matteis Agroalimentare 
S.p.A. (``De Matteis'') received countervailable subsidies. The final 
net subsidy rate for De Matteis is listed below in the section entitled 
``Final Results of Review.''

EFFECTIVE DATE: September 15, 2009.

FOR FURTHER INFORMATION CONTACT: Shelly Atkinson or Brandon Farlander, 
AD/CVD Operations, Office 1, Import Administration, U.S. Department of 
Commerce, 14th Street and Constitution Avenue, NW, Washington, DC 
20230; telephone (202) 482-0116 and (202) 482-0182, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On July 24, 1996, the Department published a CVD order on certain 
pasta (``pasta'' or ``subject merchandise'') from Italy. See Notice of 
Countervailing Duty Order and Amended Final Affirmative Countervailing 
Duty Determination: Certain Pasta From Italy, 61 FR 38544 (July 24, 
1996). On July 11, 2008, the Department published a notice of 
``Opportunity to Request Administrative Review'' of this CVD order for 
calendar year 2007, the period of review (``POR''). See Antidumping or 
Countervailing Duty Order, Finding, or Suspended Investigation; 
Opportunity To Request Administrative Review, 73 FR 39948 (July 11, 
2008). On July 28, 2008, we received such a request from F.lli De Cecco 
di Filippo Fara San Martino S.p.A. (``De Cecco''). On July 31, 2008, we 
received a review request for review from De Matteis. On July 31, 2008, 
we received a collective request from New World Pasta Company, American 
Italian Pasta Company, and Dakota Growers Pasta Company 
(``petitioners'') for a review of De Matteis. In accordance with 19 CFR 
351.221(c)(1)(i), we published a notice of initiation of this review on 
August 26, 2008. See Initiation of Antidumping and Countervailing Duty 
Administrative Reviews, 73 FR 50308 (August 26, 2008).
    On September 15, 2008, we issued CVD questionnaires to the 
Commission of the European Union (``EU''), the Government of Italy 
(``GOI''), De Matteis, and De Cecco. We received responses to our 
questionnaires in October and November 2008. On December 22, 2008, De 
Cecco withdrew its request for review. On January 27, 2009, we 
rescinded the review with respect to De Cecco. See Certain Pasta From 
Italy: Notice of Partial Rescission of Twelfth (2007) Countervailing 
Duty Administrative Review, 74 FR 4734 (January 27, 2009).
    We issued supplemental questionnaires to De Matteis and the GOI in 
December 2008, January 2009, and March 2009, and we received responses 
to our supplemental questionnaires in December 2008, February 2009, 
March 2009, and April 2009.
    Since the publication of the Preliminary Results, we invited 
interested parties to submit briefs. No briefs were received.

Period of Review

    The period for which we are measuring subsidies, or POR, is January 
1, 2007, through December 31, 2007.

[[Page 47205]]

Scope of the Order

    Imports covered by the order are shipments of certain non-egg dry 
pasta in packages of five pounds four ounces or less, whether or not 
enriched or fortified or containing milk or other optional ingredients 
such as chopped vegetables, vegetable purees, milk, gluten, diastasis, 
vitamins, coloring and flavorings, and up to two percent egg white. The 
pasta covered by the scope of the order is typically sold in the retail 
market, in fiberboard or cardboard cartons, or polyethylene or 
polypropylene bags of varying dimensions.
    Excluded from the scope of the order are refrigerated, frozen, or 
canned pastas, as well as all forms of egg pasta, with the exception of 
non-egg dry pasta containing up to two percent egg white. Also excluded 
are imports of organic pasta from Italy that are accompanied by the 
appropriate certificate issued by the Instituto Mediterraneo Di 
Certificazione, Bioagricoop S.r.l., QC&I International Services, 
Ecocert Italia, Consorzio per il Controllo dei Prodotti Biologici, 
Associazione Italiana per l[quot]Agricoltura Biologica, or Codex S.r.l. 
In addition, based on publicly available information, the Department 
has determined that, as of August 4, 2004, imports of organic pasta 
from Italy that are accompanied by the appropriate certificate issued 
by Bioagricert S.r.l. are also excluded from the order. See Memorandum 
from Eric B. Greynolds to Melissa G. Skinner, dated August 4, 2004, 
which is on file in the Department's Central Records Unit (``CRU'') in 
Room 1117 of the main Department building. In addition, based on 
publicly available information, the Department has determined that, as 
of March 13, 2003, imports of organic pasta from Italy that are 
accompanied by the appropriate certificate issued by Instituto per la 
Certificazione Etica e Ambientale are also excluded from the order. See 
Memorandum from Audrey Twyman to Susan Kuhbach, dated February 28, 
2006, entitled ``Recognition of Instituto per la Certificazione Etica e 
Ambientale (ICEA) as a Public Authority for Certifying Organic Pasta 
from Italy'' which is on file in the Department's CRU.
    The merchandise subject to review is currently classifiable under 
items 1901.90.90.95 and 1902.19.20 of the Harmonized Tariff Schedule of 
the United States (``HTSUS''). Although the HTSUS subheadings are 
provided for convenience and customs purposes, the written description 
of the merchandise subject to the order is dispositive.

Scope Rulings

    The Department has issued the following scope rulings to date:
    (1) On August 25, 1997, the Department issued a scope ruling 
finding that multicolored pasta, imported in kitchen display bottles of 
decorative glass that are sealed with cork or paraffin and bound with 
raffia, is excluded from the scope of the antidumping (``AD'') and CVD 
orders. See Memorandum from Edward Easton to Richard Moreland, dated 
August 25, 1997, which is on file in the CRU.
    (2) On July 30, 1998, the Department issued a scope ruling finding 
that multipacks consisting of six one-pound packages of pasta that are 
shrink-wrapped into a single package are within the scope of the AD and 
CVD orders. See Letter from Susan H. Kuhbach to Barbara P. Sidari, 
dated July 30, 1998, which is on file in the CRU.
    (3) On October 26, 1998, the Department self-initiated a scope 
inquiry to determine whether a package weighing over five pounds as a 
result of allowable industry tolerances is within the scope of the AD 
and CVD orders. On May 24, 1999, we issued a final scope ruling finding 
that, effective October 26, 1998, pasta in packages weighing or labeled 
up to (and including) five pounds four ounces is within the scope of 
the AD and CVD orders. See Memorandum from John Brinkmann to Richard 
Moreland, dated May 24, 1999, which is on file in the CRU.
    (4) On April 27, 2000, the Department self-initiated an anti-
circumvention inquiry to determine whether Pastificio Fratelli Pagani 
S.p.A.'s importation of pasta in bulk and subsequent repackaging in the 
United States into packages of five pounds or less constitutes 
circumvention with respect to the AD and CVD orders on pasta from Italy 
pursuant to section 781(a) of the Tariff Act of 1930, as amended (``the 
Act''), and 19 CFR 351.225(b). See Certain Pasta From Italy: Notice of 
Initiation of Anti-Circumvention Inquiry on the Antidumping and 
Countervailing Duty Orders, 65 FR 26179 (May 5, 2000). On September 19, 
2003, we published an affirmative finding of the anti-circumvention 
inquiry. See Anti-Circumvention Inquiry of the Antidumping and 
Countervailing Duty Orders on Certain Pasta from Italy: Affirmative 
Final Determinations of Circumvention of Antidumping and Countervailing 
Duty Orders, 68 FR 54888 (September 19, 2003).

Final Results of Review

    In accordance with section 777A(e)(1) of the Act and 19 CFR 
351.221(b)(5), we calculated an individual subsidy rate for the 
producer/exporter covered by this administrative review. Neither the 
petitioners nor the respondents commented on the Preliminary Results, 
and we found that no changes were warranted. Therefore, we have made no 
changes to the net subsidy rate calculated for the Preliminary Results.
    For the period January 1, 2007, through December 31, 2007, we find 
the net subsidy rate for the producer/exporter under review to be the 
rate specified in the chart shown below:

------------------------------------------------------------------------
                  Producer/Exporter                    Net Subsidy Rate
------------------------------------------------------------------------
De Matteis Agroalimentare S.p.A.....................        2.48 percent
``All Others'' Rate.................................        3.85 percent
------------------------------------------------------------------------

    Listed below are the programs we examined in the review and our 
findings with respect to each of these programs. For a complete 
analysis of the programs found to be countervailable, not 
countervailable and terminated, see Preliminary Results.

I. Programs Determined to be Countervailable

    A. Industrial Development Grants Under Law 64/86
    B. Industrial Development Grants Under Law 488/92
    C. European Regional Development Fund (``ERDF'') Programma 
Operativo Plurifondo (``P.O.P.'') Grant
    D. Social Security Reductions and Exemptions Sgravi
    1. Law 196/97
    2. Law 407/90
    C. Law 289/02
    1. Article 62 - Investments in Disadvantaged Areas
    2. Article 63 - Increase in Employment
    C. Law 662/96 Patti Territoriali
    D. Law 662/96 Contratto di Programma
    II. Programs Determined to be Not Countervailable
    A. Social Security Reductions and Exemptions Sgravi
    1. Law 223/91
    a. Article 8, Paragraph 2
    2. Legislative Decree (``L.D.'') 276/03 (modification to Law 25/55)

III. Programs Determined to Not be Used

    A. Grant Received Pursuant to the Community Initiative Concerning 
the Preparation of Enterprises for

[[Page 47206]]

the Single Market (``PRISMA'')
    B. European Regional Development Fund (``ERDF'') Programma 
Operativo Multiregionale (``P.O.M.'') Grant
    C. Certain Social Security Reductions and Exemptions Sgravi 
(including Law 223/91, Article 8, Paragraph 4 and Article 25, Paragraph 
9)
    D. Law 236/93 Training Grants
    E. Law 1329/65 Interest Contributions (Sabatini Law) (Formerly 
Lump-Sum Interest Payment Under the Sabatini Law for Companies in 
Southern Italy)
    F. Development Grants Under Law 30 of 1984
    G. Law 908/55 Fondo di Rotazione Iniziative Economiche (Revolving 
Fund for Economic Initiatives) Loans
    H. Law 317/91 Benefits for Innovative Investments
    I. Brescia Chamber of Commerce Training Grants
    J. Ministerial Decree 87/02
    K. Law 10/91 Grants to Fund Energy Conservation
    L. Export Restitution Payments
    M. Export Credits Under Law 227/77
    N. Capital Grants Under Law 675/77
    O. Retraining Grants Under Law 675/77
    P. Interest Contributions on Bank Loans Under Law 675/77
    Q. Preferential Financing for Export Promotion Under Law 394/81
    R. Urban Redevelopment Under Law 181
    S. Industrial Development Grants Under Law 183/76
    T. Interest Subsidies Under Law 598/94
    U. Duty-Free Import Rights
    V. European Social Fund Grants
    W. Law 113/86 Training Grants
    X. European Agricultural Guidance and Guarantee Fund
    Y. Law 341/95 Interest Contributions on Debt Consolidation Loans 
(Formerly Debt Consolidation Law 341/95)
    Z. Interest Grants Financed by IRI Bonds
    AA. Article 44 of Law 448/01

IV. Programs Determined To Have Been Terminated

    A. Social Security Reductions and Exemptions - Sgravi
    1. Law 863/84

V. Previously Terminated Programs

    A. Regional Tax Exemptions Under IRAP
    B. VAT Reductions Under Laws 64/86 and 675/55
    C. Corporate Income Tax (``IRPEG'')
    D. Remission of Taxes on Export Credit Insurance Under Article 33 
of Law 227/77
    E. Export Marketing Grants Under Law 304/90
    F. Tremonti Law 383/01
    G. Social Security Reductions and Exemptions - Sgravi
    1. Article 44 of Law 448/01
    2. Law 337/90
    The calculations will be disclosed to the interested parties in 
accordance with 19 CFR 351.224(b).
    The Department will instruct U.S. Customs and Border Protection 
(``CBP'') to assess countervailing duties for De Matteis at the net 
subsidy rate shown above. The Department intends to issue appropriate 
instructions directly to CBP 15 days after publication of these final 
results of review.
    For all other companies that were not reviewed (except Barilla G. e 
R. F.lli S.p.A. and Gruppo Agricoltura Sana S.r.l., which are excluded 
from the order, and Pasta Lensi S.r.l., for which the order was 
revoked), the Department has directed CBP to assess countervailing 
duties on all entries between January 1, 2007, and December 31, 2007, 
at the rates in effect at the time of entry.
    The Department also intends to instruct CBP to collect cash 
deposits of estimated countervailing duties at the rates shown above on 
all shipments of the subject merchandise that are entered, or withdrawn 
from warehouse, for consumption on or after the date of publication of 
the final results of this administrative review.
     For all non-reviewed firms (except Barilla G. e R. F.lli S.p.A. 
and Gruppo Agricoltura Sana S.r.l., which are excluded from the order, 
and Pasta Lensi S.r.l., for which the order was revoked), we will 
instruct CBP to collect cash deposits of estimated countervailing 
duties at the most recent company-specific or all-others rate 
applicable to the company. These rates shall apply to all non-reviewed 
companies until a review of a company assigned these rates is 
requested.
    This notice serves as a reminder to parties subject to 
administrative protective order (``APO'') of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of return or destruction of APO materials or conversion to 
judicial protective order is hereby requested. Failure to comply with 
the regulations and the terms of an APO is a sanctionable violation.
    We are issuing and publishing these results in accordance with 
sections 751(a)(1) and 777(i)(1) of the Act.

    Dated: September 8, 2009.
Ronald K. Lorentzen,
Acting Assistant Secretary for Import Administration.
[FR Doc. E9-22189 Filed 9-14-09; 8:45 am]
BILLING CODE 3510-DS-S