"The U.S. through its Department of Trade has previously ruled that the Turkish Inward Processing Regime (IPR) is not a form of subsidy. It is practiced and known globally as the Duty-Drawback system, and complies with the rules established by the World Trade Organization," Turkish Flour Yeast & Ingredients (TFYI) Promotion Group chairman Turgay Unlu said in a statement.
At the same time, TFYI member Hakan esen said Turkish flour is "reasonably priced" as the product's cost is determined by production expenses and supply of wheat.
"Unjust and misleading claims against Turkish flour, including the proposed 20-percent import duty on the product, will significantly injure SMEs, whose support system is marginal compared with that of big-time businesses," Esen said.
TFYI recounted Turkish flour is used by many SMEs in the Philippines for bread, biscuits, noodles, lumpia wrapper, fishballs, and other flour-based products to cut production and operating costs.
"Filipino small and medium business owners cannot put up a fight against these giant industry players... As our trade partners, these SMEs will have our complete support by ensuring the continuity of fair trade and that Turkish flour continues to be readily available in the Philippine market," Esen said.
Local bakers have already warned prices of bread may increase once the government hikes tariff slapped on Turkish flour. The government is currently reviewing the duty on said product.
source: www.abs-cbnnews.com
