Foreign trade measures for the protection of domestic production from excessive, dumped and subsidized imports

The Law on Foreign Trade Policy of Bosnia and Herzegovina ("Official Gazette of BiH" No. 7/98 and 35/04) and the implementing acts adopted on the basis of this Law provide for mechanisms, i..e foreign trade measures for the protection of domestic production from excessive, dumped and subsidized imports.

The BiH Council of Ministers adopted two Decisions that were in line with the international trade principles established within the World Trade Organization - WTO and in accordance with Free Trade Agreements either bilaterally, or regional-CEFTA, SAA, as follows:

a)                  Decision on measures to protect domestic production from excessive imports ("Official Gazette of BiH", No. 30/02 and 16/10), which established the conditions and procedures for the introduction of foreign trade measures for the protection of domestic production from excessive import of goods, if it is established that goods are imported in such high quantities, whether in absolute or relative amount in relation to domestic production and under such conditions under which there is a danger of causing serious damage to domestic production.
Pursuant to this Decision, domestic producers (those whose total production volume of the same or similar products within BiH is a major part of the domestic production) may submit to this Ministry a motion to initiate a preliminary proceeding in accordance with the procedure where it is necessary, according to criteria determined by this Decision, to proveby facts and indicators that there was excessive import and that it was carried out under such conditions that it caused serious damage or threatened to cause serious damage to domestic production.

b)                  Decision on the procedure and method of determining the anti-dumping and compensatory duties ("Official Gazette of BiH", No. 77/05, 16/10 and 103/13), which prescribes the procedure and manner of determining the existence of dumped and subsidized import, a significant damage caused by such import to the domestic production of the same or similar goods and introducing protective measures in the form of anti-dumping and compensatory duties.

Pursuant to this Decision, a request for the provision of an anti-dumping or compensatory duty should be submitted by the manufacturer whose production volume of the same or similar products amounts to more than 50% of the total production of the same or similar product in BiH

Bearing in mind the aforementioned regulations, the introduction of foreign trade measures for the protection of domestic production from excessive, dumped and subsidized imports is possible only after this Ministry has implemented the decisively prescribed procedure and, on the basis of the collected data and evidence, unambiguously establishes the existence of a direct causal link between the excessive imports, the dumped and subsidized import and damage caused by such imports to domestic production. Only then, this Ministry can prepare a report with a finding on the state of domestic production and submit it, after obtaining opinions of the competent Entity ministries and the Foreign Trade Chamber of BiH, to the Council of Ministers of BiH for a decision and possible introduction of protective measures.