WORLD TRADE
ORGANIZATIONG/SG/N/6/ECU/1
28 January 1999
(99-0323)
Committee on Safeguards Original:  Spanish
NOTIFICATION UNDER ARTICLE 12.1(A) OF THE AGREEMENT
ON SAFEGUARDS ON INITIATION OF AN INVESTIGATION
AND THE REASONS FOR IT
ECUADOR
The following communication, dated 18 January 1999, has been received from the Permanent
Mission of Ecuador.
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In accordance with Article 12.1(a) of the Agreement on Safeguards, on instruction from my
Government, I am hereby notifying that Ecuador has initiated an investigatory process relating to
serious injury to domestic production of sandals.
The investigation was initiated on 12 January 1999, after Resolution No. 980006-A of the
Ministry of Foreign Trade, Industrialization and Fisheries on the initiation of the investigation had
been published in Official Journal No. 106 of the same date.
The products subject to investigation are all sandals covered by the following tariff headings
in the Harmonized System:
6401.99.00 6402.20.00 6402.19.00 6402.99.00 6403.19.00 6403.20.00
6403.51.00 6403.59.00 6403.99.00 6404.11.00 6404.19.00 6405.10.00
6405.20.00 6405.90.10
The investigation is being carried out at the request of the Ecuadorian company
ARCASOL S.A. and the Footwear Manufacturers' Association (ASOFACAL), representing morethan 50 per cent of domestic production of sandals, which submitted documents to the Ministry of
Foreign Trade, Industrialization and Fisheries showing that imports of sandals into Ecuador were
causing serious injury to production as a result of the marked decrease in domestic production, the rise
in unemployment in the industry, under-utilization of installed production capacity, the closing of
industries and workshops making sandals and the subsequent fall in the sector's profits.
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