Mexico begins antidumping probe of U.S. chicken

11/02/2011 12:00 - 378 Views

MEXICO CITY - Mexico, the top foreign buyer of U.S. chicken last year, said on Tuesday it would investigate U.S. producers over dumping complaints lodged by Mexican chicken processors.

Mexican chicken processors allege U.S. producers sold chicken legs and thighs on the Mexican market below their cost of production in 2010. Among the U.S. producers named in the complaint published on Tuesday in the government's official gazette were Tyson Foods Inc (TSN.N) and Pilgrim's Pride Corp (PPC.N).
Mexican imports of U.S. chicken surged 18 percent in the first 11 months of 2010 to 876.53 million pounds to displace Russia as the biggest buyer of U.S. chicken, according to the U.S. Department of Agriculture. Tyson said in a statement it was not aware of any improprieties in U.S. chicken exports to Mexico, adding that exports of chicken from its U.S. plants to Mexico amounted to less than 1 percent of its $1.9 billion in international chicken sales in fiscal 2010.

Toby Moore, a spokesman for the U.S. Poultry and Egg Export Council, declined to comment, saying the council was still reviewing the complaint. The chicken dispute comes as the United States and Mexico are still trying to resolve a disagreement over access for Mexican trucks to U.S. roads, as required under the North American Free Trade Agreement.

Tue Feb 8, 2011 3:45pm EST
By Robert Campbell
Additional reporting by Bob Burgdorfer in Chicago;
Editing by Walter Bagley
Source: reuters.com