WORLD TRADE  
ORGANIZATION  G/SG/N/6/PER/1 
30 August 2004 
 (04-3593) 
Committee on Safeguards Original:   Spanish 
   
NOTIFICATION UNDER ARTICLE 12.1(a) OF THE AGREEMENT 
ON SAFEGUARDS ON INITIATION OF AN INVESTIGATION 
AND THE REASONS FOR IT 
 
PERU 
 
(Other Made-Up Textile Articles;  Sets;
 
Worn Clothing and Worn Textile Articles;  Rags ) 
   The following communication, dated 24 August 2004,  is being circulated at the request of the 
delegation of Peru. 
 
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  The Permanent Mission of Peru to the Intern ational Organizations at Geneva presents its 
compliments to the Secretariat of the World Trade Organization (Committee on Safeguards) and 
hereby notifies, pursuant to Article 12.1(a) of the WTO Agreement on Safeguards, that, by means of 
Resolution No. 054-2004/CDS-INDECOPI of 21 A ugust 2004, attached herewith, the competent 
Peruvian authorities have approved the initiation of an ex officio safeguards investigation into imports 
of made-up textile articles. 
 
 This notification is made in accordance with th e suggested formats for notifications under the 
Agreement on Safeguards, as set forth in document G/SG/W/1 of 23 February 1995. 
 
1. Date when the investigation was initiated 
 The ex officio  investigation was initiated on 22 August 2004. 
 
2. Product subject to the investigation 
 Products classified under Chapters 61 (Article s of apparel and clothing accessories, knitted or 
crocheted), 62 (Articles of apparel and clothing accesso ries, not knitted or crocheted) and 63 (Other 
made-up textile articles; sets; worn clothing and worn  textile articles; rags) of Peru's Customs Tariff. G/SG/N/6/PER/1 
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3. Reasons for the initiation of investigation 
 (i) Was the investigation initiated pursuant to a petition from the domestic industry? 
  The investigation is being initiated ex officio  given that it was ascertained that the 
domestic industry is, to a large extent, made up of small- and medium-sized 
enterprises and therefore constitutes a fragmented domestic industry.  
 (ii) Evidence on the basis of which the investigation was initiated   An analysis of the made-up textile articl e market and of the impact of the imports 
thereon has been underway since October 2003.  On the basis of information furnished 
by the National Superintendency of Tax Administration, it was concluded that 
imports of made-up textile articles had in creased in absolute terms from 4,630,780 
kilos to 9,445,282 kilos, i.e., 104 per cent, from 2000 to 2003. Moreover, there is sufficient evidence that the high volumes of the imported products at issue have 
adversely affected production, sales, market share and employment, thereby causing serious injury to the domestic industry.  G/SG/N/6/PER/1 
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As published in the Official Journal El Peruano  of Sunday 22 August 2004  
Initiation of a general safeguards investigation into imports of made-up textile articles 
NATIONAL INSTITUTE FOR THE DEFENCE OF COMPETITION AND THE 
PROTECTION OF INTELLECTUAL PROPERTY (INDECOPI) 
DUMPING AND SUBSIDIES COMMISSION 
RESOLUTION NO. 054-2004/CDS-INDECOPI 
 
 Lima, 21 August 2004 
 THE DUMPING AND SUBSIDIES COMMISSION OF INDECOPI,  Having regard to Official Note No. 582-2004/PRODUCE/DM of 23 June 2004 from the 
Minister of Production and the communication received on 15 July 2004 from the Multisectoral 
Commission - comprising the Minister of Foreign Trade and Tourism, the Minister of Production and the Minister of the Economy and Finance - recommending that the Dumping and Subsidies Commission take the necessary action to determine the appropriateness of initiating an investigation 
under the Agreement on Safeguards of the World Trade Organization; 
 WHEREAS , 
 The Dumping and Subsidies Commission (h ereinafter, "the Commission") has been 
analyzing the made-up textile article market and the impact of the imports thereon since October 
2003;   
 On the basis of information furnished by the National Superintendency of Tax 
Administration, it was concluded that imports of ma de-up textile articles had increased in absolute 
terms from 4,630,780 kilos to 9,445,282 kilos, i.e., 104 per cent, from 2000 to 2003;   
 There is sufficient evidence that the high vol umes and low prices of the imported products at 
issue have adversely affected production, sales,  market share and employment, thereby causing 
serious injury to the domestic industry;   
 The made-up textile article sector is labour-i ntensive, has strong linkages with other sectors, 
such as textiles, yarns, trimmings, fasteners, wadding,  etc., and is an important generator of direct 
and indirect employment; 
 It has furthermore been ascerta ined that the domestic industry  is, to a large extent, made up 
of small- and medium-sized enterprises and ther efore constitutes a fragmented domestic industry; 
 It is consequently a sector of importance to  the Peruvian economy and with considerable 
social impact, the defence of which is  therefore in the national interest;  
 The imported products under i nvestigation are made-up textile articles classified under 
Chapters 61, 62 and 63 of Peru's Customs Ta riff, as established in Supreme Decree No. 239-2001-
EF; 
 All of the products under investigation have  been confirmed to be domestically produced; 
 The period of investigation is consid ered to be January 2000 to July 2004; G/SG/N/6/PER/1 
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 Pursuant to the WTO Agreement on Safegua rds and Supreme Decree No. 020-98-ITINCI, as 
amended by Supreme Decrees No. 023-2003- MINCETUR and No. 017-2004-MINCETUR; 
As unanimously agreed at its meeting of 21 August 2004; 
 HEREBY DECIDES: 
 Article 1 .- To initiate ex officio  a safeguards investigation into imports of made-up textile 
articles. 
 Article 2 .- That the products under investigation are those classified under Chapters 61, 62 
and 63 of Peru's Customs Tariff, as established in Supreme Decree No. 239-2001-EF. 
 Article 3 .- To invite all parties interested in expressing their position with regard to the 
product subject to the investigation, making th eir views known or providing information or 
supporting evidence to submit the corresponding doc umentation and evidence to the Dumping and 
Subsidies Commission within thirty (30) working da ys from the day following publication of this 
Resolution. 
 Article 4 .- That all persons interested in expressi ng their position with regard to the product 
subject to the investigation at a public hearing sh all submit a substantiated request to the Dumping 
and Subsidies Commission. This application shall be filed within thirty (30) working days from the 
day following publication of this Resolution.  
 Article 5 .- To establish that any communication made in accordance with the preceding 
Articles shall indicate the name, address, electr onic mail address and telephone and fax numbers of 
the sender and be forwarded to the following address: 
 Dumping and Subsidies Commission 
 INDECOPI 
 Calle De La Prosa 138, San Borja  Lima 41, Peru.  Tel.:  (51-1) 224-7800 (ext. 1221)  Fax :  (51-1) 224-7800 (ext. 1296) 
 E-mail:  dumping@indecopi.gob.pe 
  Article 6 .- To publish this Resolution once only in the Official Journal El Peruano , pursuant 
to Article 17 of Supreme Decree No. 020-98-ITINCI.  
 Through the intermediary and by the favourab le vote of Commission members Peter Barclay 
Piazza, Percy Correa Espinoza, Víctor L azo Magallanes and Jorge Aguayo Luy. 
 For registration, communication and publication. 
  PETER BARCLAY PIAZZA  Chairman  
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