WORLD TRADE  
ORGANIZATION  G/SG/N/8/AUS/2 
21 December 2007 
 (07-5746) 
Committee on Safeguards Original:   English 
  
 
NOTIFICATION PURSUANT TO ARTICLE 12.1(B) 
OF THE AGREEMENT ON SAFEGUARDS 
 
AUSTRALIA 
 
(Swine meat
) 
   The following notification, dated 21 December 2007, is being circulation at the request of the 
Delegation of Australia.   
 
_______________ 
 
  Pursuant to Article 12.1(b) of the WTO Agreement on Safeguards,  Australia provides 
notification of a preliminary determination on whether serious injury or threat thereof has been caused 
by increased imports of frozen pigmeat.   
  Further to Australia's notification of 22 October 2007 (G/SG/N/6/AUS/2) on a reference to 
the Productivity Commission to (PC) initiate a safegua rd investigation, and specifically to examine 
whether provisional measures may be justified, the Productivity Commission provided its accelerated 
report to the Government on 17 December 2007.   
  The report was released by the Governme nt on 20 December 2007 and can be accessed 
electronically at the Productivity Commission's website (http://www.pc.gov.au
).   
  The PC's accelerated report (dated 14 December 2007) indicates that provisional safeguard 
measures are not
 warranted for imports of frozen pigmeat.   
  The final report by the Productivity Commission is to be provided to the Government by the end of March 2008.   G/SG/N/8/AUS/2 
Page 2  
 
  1. Provide evidence of serious injury or  threat thereof caused by increased imports 
 
 The Productivity Commission found that the domes tic industry is suffering serious injury or is 
under threat of serious injury and that import quantities have increased.  However, the PC found the principal cause of serious injury to the domestic industry would appear to be higher domestic feed 
prices, not increased imports.   
  Most pig producers are suffering reduced prof itability and many are suffering financial losses, 
resulting in reductions in breeding sows and employm ent levels, with conseque nt negative impacts on 
production emerging in early to mid 2008.  In the PC's assessment, the pig farming part of the 
industry is accordingly suffering serious injury.   
  Overall, the PC found that there is not clear ev idence that the primary processing part of the 
industry is currently suffering serious injury.  Howeve r, clear evidence exists that serious injury is 
"threatened":  pig production levels are set to fa ll, reducing profitability due to lower throughput and 
increased unit costs.   
  Overall, the domestic industry producing pr oducts "like or directly competitive" with 
imported pigmeat is suffering serious injury or  is under threat of serious injury.   
  There is not clear evidence that increased imports have caused or are threatening to cause 
serious injury to the domestic industry.  The princi pal cause of serious injury to the domestic industry 
would appear to be higher domestic feed prices.    
2. Provide information on whether there is an  absolute increase in imports or an increase 
in imports relative to domestic production 
 
 Import quantities have increased both in absolute  and relative terms.  The increase in imports 
appears to have been recent and significa nt enough and sharp a nd sudden enough.   
 
3. Provide precise description of the product involved 
  Meat of swine, frozen, other (i.e. excluding:  carcasses and half-carcasses;  and hams, 
shoulders and cuts thereof, with bone in), falling within tariff subh eading 0203.29.00 of the Australian 
Customs Tariff.    
4. Provide precise description of the proposed measure  
 
 Not applicable.    
5. Provide proposed date of introduction of the measure 
 
 Not applicable.   
 
6. Provide expected duration of the measure 
 
 Not applicable.    7. For a measure with a duration of more than three years, provide the proposed date for 
the review (under Article 7.4) to be held not later than the mid-term of the measure, if 
such a date for the review has already been scheduled 
 
 Not applicable.    G/SG/N/8/AUS/2 
 Page 3 
 
 
  8. If the expected duration is over one year , provide expected timetable for progressive 
liberalization of the measure 
 
 Not applicable.    9. If the measure is being extended, etc 
 
 Not applicable.     
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