./.WORLD TRADE
ORGANIZATIONG/SG/N/7/SVK/1
8 June 1999
(99-2289)
Committee on Safeguards Original:  English
NOTIFICATION UNDER ARTICLE 12.4 OF THE AGREEMENT ON
SAFEGUARDS BEFORE TAKING A PROVISIONAL SAFEGUARD
MEASURE REFERRED TO IN ARTICLE 6
SLOVAK REPUBLIC
The following communication, dated 28 May 1999, has been received from the Permanent
Mission of the Slovak Republic.
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1. Product subject to proposed safeguard measure
The provisional safeguard measure shall apply to tariff heading 0203 – Meat of swine, fresh,
chilled or frozen, according to provisions of the Decree of the Government of the Slovak Republic
published in Collection of Laws No. 109 issue No. 51.
2. Type of proposed provisional safeguard measure
The provisional safeguard measure shall be applied in the form of tariff increase by the
introduction of the additional import duty at the level of 43.7 per cent to all imports of meat of swine
with the exception of imports originating in the Czech Republic.
3. Proposed date of introduction of the provisional safeguard measure
21 May 1999.
4. Expected duration of the provisional safeguard measure
Duration of the provisional safeguard measure shall not exceed 200 days and shall be
eliminated as soon as the circumstances allow its elimination.
5. Preliminary determination that increased imports have caused or are threatening to
cause serious injury
A substantial increase in imports of meat of swine has been recorded in 1998 and also in the
first quarter of 1999.  The data provided by the customs statistics produced the following figures.
Imports of meat  of swine during the last 3 years
Year 1996 1997 1998 1999 - Q.1
Tonnes 20   70 5,789 4,902
Indices (in %) - 350 8,270 -G/SG/N/7/SVK/1
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The trend of import increase can also be observed at the beginning of the year 1999.  These
substantial increases in imports of meat of swine have caused and threaten to cause serious injury to
the domestic industry due to a heavy decrease of the purchase of domestic swine meat and thus
putting pressure on domestic purchase prices.  Domestic producers are suffering damage because of
revenue loss.
In accordance with the data submitted by the domestic producers, the Ministry of Economy of
the Slovak Republic has a clear evidence that due to increased imports of meat of swine the total loss
of domestic industry in 1998 has been Sk 297 million.  In the relevant industry the number of
employees has decreased by 6,466, the decrease of production capacities in 1998 has been 16 per cent
in comparison to 1996 and the production of live swine has decreased by 18,400 tonnes.  The total
loss of domestic industry in 1999 under unchanged circumstances is estimated at Sk 232 million.
The share of imports on the domestic consumption has increased in 1998 in comparison to
1997 by 2.8 per cent.  This trend continues in 1999 and the market share of imports is assumed to rise
by 9.2 per cent.  Continuation of these import trends would cause even greater damage for swine
breeders.
6. Determination of critical circumstances where delay would cause damage which would
be difficult to repair
In the light of the above-mentioned, the Ministry of Economy of the Slovak Republic
determined that current developments constitutes cri tical circumstances as provided for in Article 6 of
the Agreement on Safeguards.  Additional imports would cause injury that would be difficult to
remedy due to the redirection of purchasing decisions of domestic buyers of swine meat and
consequently lead to destruction of an important branch of swine breeding.
The situation is so critical that immediate introduction of the provisional safeguard measure is
necessary in order to prevent even greater damage that would be difficult to repair.
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