Petition Filed for New AD/CVD on Oleoresin Paprika From India
A domestic producer recently filed a petition with the Commerce Department and the International Trade Commission requesting new antidumping and countervailing duties on oleoresin paprika imported from India. Commerce now will decide whether to begin AD/CVD investigations, which could result in the imposition of permanent AD/CVD orders and the assessment of AD and CVD on importers. Rezolex requested the investigation.
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Oleoresin paprika is a liquid coloring additive with a red or orange tint, made using solvent extraction to remove color from dried, ground Capsicum peppers, i.e., paprika. It's used only to impart color and is not used as a spice to flavor food. It has little if any flavor as the flavoring principles are removed during the extraction process used to manufacture the oleoresin.
Proposed Scope
The petition proposes the following scope for the investigations:
"The merchandise covered by the scope of this investigation is the coloring additive oleoresin paprika (ORP). ORP is a viscous, highly colored liquid in various shades of red or orange made from the extract of Capsicum peppers. Covered merchandise includes all ORP, regardless of pepper variety, with an American Spice Trade Association (ASTA) value of at least 500 or a color unit (CU) value of at least 20,000 as determined by spectrophotometric measurement. The Chemical Abstracts Service (CAS) Registry numbers for ORP are 68917-78- 2 and 84625-29-6; the Center for Food Safety and Applied Nutrition (CFSAN) number is 977006-45-3; the Flavoring Extract Manufacturers’ Association (FEMA) number is 2834; and the E number is E160c. Subject ORP may also be referred to by other product names, including, but not limited to, paprika oleoresin, oleoresin of paprika, paprika extract, extract of paprika, paprika oil, or paprika essential oil.
"Subject ORP may be blended with oil or water prior to importation or may be imported in its crude or unstandardized form. The scope includes all ORP meeting the specifications above regardless of whether or not blended with or soluble in oil or water, and regardless of weight, pungency, quality, or solvent content. Further, the scope includes crude or unstandardized ORP extracted or produced in India that has been blended, finished, packaged, or otherwise processed in a third country, if the blending, finishing, packaging, or processing performed would not otherwise remove the merchandise from the scope if performed in India.
"The merchandise subject to this investigation is classified in the Harmonized Tariff Schedule of the United States (HTSUS) under subheadings 3203.00.8000 and 3301.90.1010. Subject merchandise may also enter under HTSUS subheading 1301.90.9190, 1302.19.9140, and3205.00.0500. Although the HTSUS subheadings are provided for convenience and customs purposes, the written description of the scope of this investigation is dispositive."
ITC and Commerce to Accept Comments Before Initiating Investigation
The Commerce Department and the ITC will accept comments on domestic industry support for the petitions to determine whether the petitions meet the dual requirements of support by domestic producers or workers accounting for (1) at least 25% of the total production of the domestic-like product and (2) more than 50% of the production of the domestic-like product produced by that portion of the industry expressing support for, or opposition to, the petition. If the petitions meet these requirements, among others, the ITC and Commerce will initiate AD/CVD investigations.