G/SG/107  
 
6 February 2013  
(13-0613)  Page: 1/2  
Committee on Safeguards  Original: English  
 
 IMPOSITION BY EGYPT OF A PROVISIONAL SAFEGUARD MEASURE  
ON IMPORTS OF RAW AND WHITE SUGAR 
REQUEST FOR CONSULTATIONS UNDER ARTICLE 12.4 
OF THE AGREEMENT ON SAFEGUARDS 
EUROPEAN  UNION 
 The following communication, dated 5 February 2013, addressed to the delegation of Egypt 
is being circulated at the request of the delegation of European Union. 
 
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1.  On 30 November 2012, Egypt notified the WTO Committee on Safeguards under Article 12.1(a) of the Agreement on Safeguards that a safeguard investigation on imports of raw and white sugar 
had been initiated on 29 November 2012 (WTO document G/SG/N/6/EGY/8-G/SG/N/7/EGY/7-
G/SG/N/11/EGY/6, dated 5 December 2012 and corrigendum G/SG/N/6/EGY/8/Corr.1-G/SG/N/7/EGY/7/Corr.1-G/SG/N/11/EGY/6/Corr.1, dated 7 December 2012). 
 
2.  The document dated 5 December 2012 notified the imposition of a provisional safeguard measure under Article 12.4 of the Agreement on Safeguards, on the grounds that the 
Egyptian Investigating Authority had found that there is sufficient preliminary evidence on the 
existence of the causal link between the increa se in imports of raw and white sugar and the 
serious injury caused to the domestic industry.  
3.  On 22 January Brazil requested consultations concerning the imposition of provisional 
safeguard measures under Article 12.4 of the Agreement on Safeguards (WTO document G/SG/106, dated 25 January 2013). 
 
4.  Having a substantial interest as an exporter in this case the European Union request consultations with Egypt under paragraph 4 of Article 12 of the Agreement on Safeguards.  
5.  In order to provide elements for the consultations, Brazil submitted a list of technical questions. 
For the same purpose, the European Union also submits a list of question ( in the Annex to this request) and, given the overlap with the questi ons submitted by Brazil, suggests to hold joint 
consultation in Geneva, in the week beginning 18 February 2013, preferably with the participation 
of representatives of the investigating authorities.  
6.  The European Union reserves all its rights under the Agreement Establishing the 
World Trade Organization and its Annexes including the Agreement on Safeguards.   
 G/SG/107 
 
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  ANNEX 
Increase of imports – Article 2 and GATT Article XIX paragraph 1  
1.  GATT XIX paragraph 1 requires the demonstration that the increase of imports is the result of 
unforeseen developments. Could Egypt explain how this issue has been addressed and indicate 
where the relevant evidence can be found? 
 2.  Indicate to what extent the Investigating Authorities have examined the conditions of imports 
(e.g. import prices) and where the relevant evidence is available. 
 Investigation – Article 3.1 
3.  Explain why all data necessary for the analysis of injury and causal link were provided on a 
confidential basis. 
 Determination of serious injury – Article 4  
4.  It is clear from the notice of initiation as well as from the WTO notification that the 
investigation covers two different products, namely raw and white sugar, for which separate rates of provisional measures were proposed. However, in the notification only cumulated data is 
provided for all indicators. Why did the Egyptian authorities not differentiate between the two 
products subject to the investigation when carrying out the injury analysis?  5.  According to the WTO notification production  capacity decreased in the last period while 
production increased. Employment also significan tly increased during the same period. This seems 
to suggest that the industry invested in capacity increase, which would likely have an impact on the situation of the domestic industry. There was however no analysis of other factors that could 
have injured the domestic industry. Could Egypt ex plain why the Investigating Authorities failed to 
analyse these other factors?  
Application of safeguard measures – Article 5 and Article 6  
6.  The Egyptian authorities did not disclose how the provisional measures were calculated. Could 
Egypt explain how it has been ensured that the measures are limited to the extent necessary to prevent serious injury (in compliance with Arti cle 5.1 of the WTO Agreement on Safeguards)? 
 
Notification and Consultation – Article 12.2 of the Agreement on Safeguards  
7.  Explain whether the Investigating Authority provided the Committee on Safeguards with all 
pertinent information, including evidence of serious injury or threat thereof caused by increased 
imports and precise description of the product involved.  
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