./.WORLD TRADE
ORGANIZATIONG/SG/N/7/CZE/2
10 January 2001
(01-0121)
Committee on Safeguards Original:  English
NOTIFICATION UNDER ARTICLE 12.4 OF THE AGREEMENT ON
SAFEGUARDS BEFORE TAKING A PROVISIONAL SAFEGUARDS
MEASURE REFERRED TO IN ARTICLE 6
CZECH REPUBLIC
The following communication, dated 8 January 2001, has been received from the Permanent
Mission of the Czech Republic.
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Pursuant to Article 12.4 of the Agreement on Safeguards and in keeping with the format for
notifications under the Agreement on Safeguards adopted by the Committee on Safeguards (G/SG/1),
the Czech Republic hereby gives notification before taking a provisional safeguard measure underArticle 6 of the Agreement on Safeguards.
1. Product subject to proposed safeguard measure
Isoglucose (HS items 1702 3010, 1702 4010, 1702 6010, 1702 9030), Isoglucose syrups (HS
items 2106 9030, 2106 9059), Glucose syrups (HS items 1702 3059, 1702 3099) and Other sugars
(HS item 1702 9099).
2. Type of proposed provisional safeguard measure
The provisional safeguard measure will be applied in the form of a tariff increase by the
introduction of the additional import duty at the levels as follows:
HS 1702 3010, 1702 4010, 1702 6010, 1702 9030   70 per cent
HS 2106 9030, 2106, 9059 100 per cent
HS 1702 3059, 1702 3099   60 per cent
HS 1702 9099   90 per cent
The additional duties will be applied to all imports irrespective of their source with the
exception of HS items 1702 3010, 1702 4010, 1702 6010, 1702 9030 originating in the Slovak
Republic which are already subject to another measure.
3. Proposed date of introduction of the provisional safeguard measure
The provisional safeguard measure is scheduled to enter into force on 10 January 2001.G/SG/N/7/CZE/2
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4. Expected duration of the provisional safeguard measure
The provisional safeguard measure will apply for a period of up to 200 days (28 July 2001),
during which the investigation will proceed further.
5. Preliminary determination that increased imports have caused or are threatening to cause
serious injury
It was found that a substantial increase in imports of products in question was recorded in the
year of 2000.
Imports of Products in Question Recounted to the
Value of Sugar in Tons
1998 1999 20001
HS 1702 3010, 1702 4010,
1702 6010, 1702 90304,978.1 6,676.6 9,313.4
HS 2106 9030 18.2 52.2 1,498.5
HS 2106 9059 1,215.9 2,424.1 20,802.3
HS 1702 3059, 1702 3099 13,604.6 15,295.1 18,317.0
HS 1702 9099 6.7 183.2 9,591.6
Total 19,823.5 24,631.2 59,522.8
Share of Products in Question in Domestic
Production and Consumption of Sugar
                                 (in %)
1998 1999 20001
Domestic production 4.22 6.23 14.36
Domestic consumption 4.92 6.01 14.52
The imports of products in question, recounted to value of sugar, increased by 242 per cent to
59,522.8 tons, compared to the year 1999 when th e imports amounted to 24,631.2 tons.  Such a
substantial increase of imports has an adverse effect on the domestic sugar industry, in particular dueto a heavy decrease in domestic sugar purchase and subsequent revenue losses.  Continuation of this
import trend would lead to a considerable decline in domestic production and would cause an even
greater impairment in the position of the industry.
6. Determination of critical circumstances where delay would cause damage which it would be
difficult to repair
Based on the evidence submitted, the Ministry of Industry and Trade determined that this
constitutes critical circumstances as provided for in Article 6 of the Agreement on Safeguards.
Further increase in imports of products in question would cause injury that would be difficult toremedy due to the redirection of purchasing decisions and consequent economic difficulties of the
Czech sugar companies to make contracts with the domestic sugar beet growers to buy their
production.  The situation is so critical that it calls for immediate action in the form of the provisional
safeguard measure.
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1 Data for the period of 1 January-3 December 2000.