The Times-Picayune - Editorial: Enforce Shrimp Tariffs

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Renewing anti-dumping tariffs on shrimp imported from five countries was the right decision for the Gulf of Mexico shrimp industry, which is still recovering from storms and the oil spill.

Facing a flood of underpriced shrimp would have been another disaster, and this week's vote by the International Trade Commission will help prevent that from happening.

The panel voted 5-1 to extend tariffs on frozen warm-water shrimp imported from Brazil, China, India, Thailand and Vietnam for another five years. The tariffs were initially imposed five years ago.

The Gulf shrimping industry greeted the decision as a victory, and it is. New Orleans attorney Edward Hayes, who serves as counsel to the American Shrimp Processors Association, said that removing the tariffs would have been devastating for an industry that's still recovering from the BP oil spill.

While Gulf shrimpers didn't increase their market share since the tariffs first went into effect, C. David Veal, executive director of the processors association, pointed out that the industry has done well to survive Hurricane Katrina as well as the oil spill.

Extending the tariffs is important, but enforcing them is also critical. Sen. Mary Landrieu pointed out that the Customs and Border Protection Agency, which is in charge of collecting the tariffs, is leaving large amounts uncollected.

Last year, for example, the customs bureau reported nearly $14 million in uncollected tariffs for shrimp and crawfish. Sen. Landrieu's office said that the amount has been even higher in other years -- as much as $42 million in 2008.

Companies avoid paying the tariffs by changing their names and filing for bankruptcy and reorganizing, Mr. Hayes said.

At a subcommittee meeting that helps determine budgets for agencies under the Department of Homeland Security, Sen. Landrieu asked Secretary Janet Napolitano to respond in writing on how customs agents can ensure that companies pay the tariffs.

Those that don't pay should be barred from doing business here, Sen. Landrieu said. Her office also has suggested increasing pre-delivery security deposits.

She's right to push for better collections. If the tariffs are to be effective, they need to be enforced aggressively, and those who flout them should face consequences.

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