Landrieu: Tariffs on seafood aren't being collected

Commission to look at import levies

WASHINGTON -- As the International Trade Commission meets today to decide whether to continue anti-dumping tariffs on imported shrimp, Sen. Mary Landrieu, D-La., said the agency charged with collecting the levies hasn't done a good enough job.

Landrieu is urging the ITC to continue the tariffs and wants Homeland Security Secretary Janet Napolitano to improve enforcement operations by the Customs and Border Protection agency.

In 2010, the customs bureau reported nearly $14 million in uncollected tariffs for shrimp and crawfish. Landrieu's office said the amount of uncollected tariffs was even higher in past years, including as much as $42 million in 2008.

Landrieu, who chairs the Senate subcommittee that helps determine the budget for all agencies within the Department of Homeland Security, asked Napolitano during a recent hearing to respond in writing on how customs enforcement agents can assure that companies pay the required tariffs.

Those that don't, she said, should be barred from selling their products in the United States.

Napolitano promised a detailed response, which is expected soon.

Eddie Hayes, a New Orleans lawyer who represents the American Shrimp Processing Association, said one problem with enforcement is that international seafood companies often change their names or file for bankruptcy and then reorganize, enabling them to re-enter U.S. markets without paying overdue tariffs.

In other instances, importers have changed the nation of origin from a country covered by the tariffs to one unaffected to avoid payment.

In 2007, Customs and Border Protection collected $2.2 million in underpaid anti-dumping duties on shrimp imported from China in the port at Savannah, Ga. The agency said its import specialists determined that an Indonesian supplier was invoicing shrimp from Indonesia, but both Indonesian and China shrimp were included in the shipments.

One possible solution to underpayments floated by Landrieu's office would be to increase pre-delivery security deposits, making the amounts closer to anticipated tariff charges.

By Bruce Alpert

Source: Washington bureau