NB 765
Sept. 9, 2003
FREDERICTON (CNB) - Business New Brunswick Minister Peter Mesheau will appear before the Canadian International Trade Tribunal (CITT) today in Ottawa as a witness in favour of the re-instatement of the tariff on 'certain ring-spun yarns'.
These yarns, used in the manufacture of knitted fabrics and knitted garments including knitted children's garments, are being produced in Pokemouche by Atlantic Fine Yarns. Today's public hearing will look into the availability of identical or substitutable ring-spun yarns from domestic producers and consider the impact on operations (i.e. effect on sales, prices, profitability, employment) should the tariff relief order be renewed.
"This is the first time in recent history that the Province of New Brunswick has involved itself in the hearing processes of the Canadian International Trade Tribunal," Mesheau said. "We are doing so at this time because we are convinced that the re-instatement of the tariff on ring-spun yarn is in New Brunswick's best interest and in the best interest of Canada. We believe this tariff will afford Canadian ring-spun yarn manufacturers the opportunity to become economically viable and to provide competitive operations within Canada, precisely as the tariff was intended to do."
The intent of Canada's tariff relief program is to remove duties from imported textiles that are used by Canadian manufacturers, where it has been determined that this would be in the best economic interest of Canada. New Brunswick contends, however, that the re-application of the tariff at this time is in the best interest of New Brunswick and of Canada. "Atlantic Fine Yarns of Pokemouche, as a domestic producer of ring-spun yarn, needs the support afforded by the application of this tariff," said Mesheau.
Atlantic Fine Yarns represents a cornerstone operation in the efforts of successive New Brunswick governments working toward the economic diversification of the northeast region of the province. "Specifically, we believe that the economic spin-offs of the Atlantic Fine Yarns project will include indirect jobs, increased buying power in the region, as well as demographic changes including decreased migration of youth in search of jobs outside the region and a renewed entrepreneurial spirit in the area," Mesheau said.
A decision on the outcome of the public hearings is expected before Dec. 31, 2003 and will be announced by federal Finance Minister John Manley.
The CITT is the main quasi-judicial institution in Canada's trade remedy system. This independent body reports to Parliament through the Minister of Finance. In addition to its authority to conduct inquiries into whether dumped or subsidized imports have caused material injury to a domestic industry, the CITT also hears appeals of decisions of the Canada Customs and Revenue Agency; hears complaints by potential suppliers concerning procurement by the federal government; and conducts investigations into requests from Canadian producers for tariff relief on imported textile inputs that they use in their production operations.
03/09/09
MEDIA CONTACT: Judy Cole, communications officer, Business New Brunswick, 506-444-4983.
03/09/09