Certain Pasta From Italy: Preliminary Results of Countervailing Duty Changed Circumstances Review and Intent To Revoke, In Part, 78223-78224 [2010-31494]

Agencies

• DEPARTMENT OF COMMERCE
• International Trade Administration

[Federal Register Volume 75, Number 240 (Wednesday, December 15, 2010)]
[Notices]
[Pages 78223-78224]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-31494]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-475-819]


Certain Pasta From Italy: Preliminary Results of Countervailing 
Duty Changed Circumstances Review and Intent To Revoke, In Part

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

SUMMARY: On September 17, 2010, the Department of Commerce (``the 
Department'') published a notice of initiation of a changed 
circumstances review and consideration of revocation, in part, of the 
countervailing duty order on certain pasta from Italy. See Certain 
Pasta From Italy: Notice of Initiation of Changed Circumstances Review 
and Consideration of Revocation of Order, in Part, 75 FR 56992 
(September 17, 2010) (``Initiation Notice''). The Department confirmed 
that New World Pasta Company, Dakota Growers Pasta Company, and 
American Italian Pasta Company (collectively ``Petitioners'') have no 
interest in countervailing duty relief from imports of gluten-free 
pasta. Therefore, we are notifying the public of our intent to revoke, 
in part, the countervailing duty order as it relates to imports of 
gluten-free pasta, as described below. The Department invites 
interested parties to comment on these preliminary results.\1\
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    \1\ On July 2, 2009, the Department published a notice of 
initiation and preliminary results of a changed circumstances review 
and intent to revoke, in part, the AD order of certain pasta from 
Italy, in part, with respect to gluten-free pasta. The Department 
gave interested parties an opportunity to comment on the preliminary 
results and notice of intent to revoke, but received no comments. 
The Department issued their final results on August 14, 2009 and 
revoked the AD order, in part, with respect to gluten-free pasta. 
See Certain Pasta From Italy: Notice of Final Results of Antidumping 
Duty Changed Circumstances Review and Revocation, in Part, 74 FR 
41120 (August 14, 2009).

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DATES: Effective Date: December 15, 2010.

FOR FURTHER INFORMATION CONTACT: Patricia Tran or Austin Redington, AD/
CVD Operations, Office 1, Import Administration, International Trade 
Administration, U.S. Department of Commerce, 14th Street and 
Constitution Avenue, NW., Washington, DC 20230; telephone (202) 482-
1503 and (202) 482-1664, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On July 24, 1996, the Department published in the Federal Register 
the countervailing duty (``CVD'') order on certain pasta from Italy. 
See Notice of Countervailing Duty Order and Amended Final Affirmative 
Countervailing Duty Determination: Certain Pasta From Italy, 61 FR 
38544 (July 24, 1996). On July 29, 2010, the Department received a 
request on behalf of H.J. Heinz Company (``Heinz'') to initiate a no-
interest changed circumstance review and revocation, in part, of the 
CVD order on certain pasta from Italy with respect to gluten-free 
pasta. On September 17, 2010, the Department published a notice of 
initiation of changed circumstances review and consideration of 
revocation of order, in part, with respect to the CVD order on certain 
pasta from Italy and invited interested parties to comment. See 
Initiation Notice.
    On September 27, 2010, Petitioners expressed a lack of interest in 
maintaining the order with respect to gluten-free pasta. See Memorandum 
to the File from Austin Redington, International Trade Compliance 
Analyst, AD/CVD Operations Office 1, entitled ``Changed Circumstance 
Review of Certain Pasta from Italy: Statement of No Opposition from 
Domestic Industry,'' dated October 13, 2010 (``No Opposition Memo''). 
On October 12, 2010, Heinz submitted comments, restating its request 
that the Department revoke the CVD order, in part, with respect to 
gluten-free pasta. On November 30, 2010, Petitioners confirmed that 
they represent ``substantially all'' of the production of the domestic 
like product. See Memorandum to the File from Patricia Tran, Acting 
Program Manager, entitled ``Ex Parte Memorandum: Phone Conversation 
with Counsel for Petitioners,'' dated November 30, 2010 
(``Substantially All Memo'').
    We received no comments to counter Heinz's request. Although we 
stated in the Initiation Notice that we would issue final results 
within 45 days if all parties agreed to the outcome, we have instead 
determined to publish these preliminary results of changed 
circumstances review and intent to revoke the order, in part, so that 
our intention to revoke is clear to parties and our determination may 
be commented upon, as set forth below. See 19 CFR 351.222(g)(3)(v).

Scope of Order

    Imports covered by the order are shipments of certain non-egg dry 
pasta in packages of five pounds four ounces or less, whether or not 
enriched or fortified or containing milk or other optional ingredients 
such as chopped vegetables, vegetable purees, milk, gluten, diastasis, 
vitamins, coloring and flavorings, and up to two percent egg white. The 
pasta covered by the scope of the order is typically sold in the retail 
market, in fiberboard or cardboard cartons, or polyethylene or 
polypropylene bags of varying dimensions.
    Excluded from the scope of the order are refrigerated, frozen, or 
canned pastas, as well as all forms of egg pasta, with the exception of 
non-egg dry pasta containing up to two percent egg white. Also excluded 
are imports of organic pasta from Italy that are accompanied by the 
appropriate certificate issued by the Instituto Mediterraneo Di 
Certificazione, Bioagricoop S.r.l., QC&I International Services, 
Ecocert Italia, Consorzio per il Controllo dei Prodotti Biologici, 
Associazione Italiana per l'Agricoltura Biologica, or Codex S.r.l. In 
addition, based on publicly available information, the Department has 
determined that, as of August 4, 2004, imports of organic pasta from 
Italy that are accompanied by the appropriate certificate issued by 
Bioagricert S.r.l. are also excluded from the order. See Memorandum 
from Eric B. Greynolds to Melissa G. Skinner,

[[Page 78224]]

dated August 4, 2004, which is on file in the Department's Central 
Records Unit (``CRU'') in Room 7046 of the main Department building. In 
addition, based on publicly available information, the Department has 
determined that, as of March 13, 2003, imports of organic pasta from 
Italy that are accompanied by the appropriate certificate issued by 
Instituto per la Certificazione Etica e Ambientale are also excluded 
from the order. See Memorandum from Audrey Twyman to Susan Kuhbach, 
dated February 28, 2006, entitled ``Recognition of Instituto per la 
Certificazione Etica e Ambientale (ICEA) as a Public Authority for 
Certifying Organic Pasta from Italy'' which is on file in the 
Department's CRU.
    The merchandise subject to review is currently classifiable under 
items 1901.90.90.95 and 1902.19.20 of the Harmonized Tariff Schedule of 
the United States (``HTSUS''). Although the HTSUS subheadings are 
provided for convenience and customs purposes, the written description 
of the merchandise subject to the order is dispositive.

Scope Rulings

    The Department has issued the following scope rulings to date:
    (1) On August 25, 1997, the Department issued a scope ruling 
finding that multicolored pasta, imported in kitchen display bottles of 
decorative glass that are sealed with cork or paraffin and bound with 
raffia, is excluded from the scope of the antidumping (``AD'') and CVD 
orders. See Memorandum from Edward Easton to Richard Moreland, dated 
August 25, 1997, which is on file in the CRU.
    (2) On July 30, 1998, the Department issued a scope ruling finding 
that multipacks consisting of six one-pound packages of pasta that are 
shrink-wrapped into a single package are within the scope of the AD and 
CVD orders. See Letter from Susan H. Kuhbach to Barbara P. Sidari, 
dated July 30, 1998, which is on file in the CRU.
    (3) On October 26, 1998, the Department self-initiated a scope 
inquiry to determine whether a package weighing over five pounds as a 
result of allowable industry tolerances is within the scope of the AD 
and CVD orders. On May 24, 1999, we issued a final scope ruling finding 
that, effective October 26, 1998, pasta in packages weighing or labeled 
up to (and including) five pounds four ounces is within the scope of 
the AD and CVD orders. See Memorandum from John Brinkmann to Richard 
Moreland, dated May 24, 1999, which is on file in the CRU.
    (4) On April 27, 2000, the Department self-initiated an anti-
circumvention inquiry to determine whether Pastificio Fratelli Pagani 
S.p.A.'s importation of pasta in bulk and subsequent repackaging in the 
United States into packages of five pounds or less constitutes 
circumvention with respect to the AD and CVD orders on pasta from Italy 
pursuant to section 781(a) of the Tariff Act of 1930, as amended (``the 
Act''), and 19 CFR 351.225(b). See Certain Pasta From Italy: Notice of 
Initiation of Anti-Circumvention Inquiry on the Antidumping and 
Countervailing Duty Orders, 65 FR 26179 (May 5, 2000). On September 19, 
2003, we published an affirmative finding in the anti-circumvention 
inquiry. See Anti-Circumvention Inquiry of the Antidumping and 
Countervailing Duty Orders on Certain Pasta from Italy: Affirmative 
Final Determinations of Circumvention of Antidumping and Countervailing 
Duty Orders, 68 FR 54888 (September 19, 2003).

Preliminary Results of Changed Circumstance Review and Intent To 
Revoke, In Part

    Pursuant to section 751(b)(1) of the Act, and 19 CFR 351.216, the 
Department will conduct a changed circumstances review upon receipt of 
information concerning, or a request from an interested party for 
review of, an AD or CVD order which shows changed circumstances 
sufficient to warrant a review of the order. Additionally, pursuant to 
19 CFR 351.222(g)(1)(i), the Department will revoke an order in whole 
or in part, if the Secretary concludes that ``{p{time} roducers 
accounting for substantially all of the production of the domestic like 
product to which the order (or part of the order to be revoked) * * * 
have expressed a lack of interest in the order, in whole or in part.'' 
In its administrative practice, the Department has interpreted 
``substantially all'' to mean at least 85 percent. See, e.g., Natural 
Bristle Paint Brushes and Brush Heads From the People's Republic of 
China: Notice of Initiation and Preliminary Results of Changed 
Circumstance Review, and Intent To Revoke the Order, 75 FR 34097, 34098 
(June 16, 2010).
    In accordance with section 751(b)(1) of the Act and 19 CFR 
351.222(g)(1)(i), Petitioners have expressed a lack of interest in the 
order, in part, with respect to gluten-free pasta and further confirmed 
with the Department that they comprise substantially all of the 
production of the domestic like product. See No Opposition Memo; see 
also Substantially All Memo. Based on the expression of no interest by 
Petitioners, and absent any objection by any other interested parties, 
we have preliminarily determined that the domestic producers of the 
like product have no interest in the continued application of the CVD 
order on certain pasta from Italy to the merchandise that is subject to 
this request. Accordingly, we are notifying the public of our intent to 
revoke, in part, the CVD order with respect to gluten-free pasta. 
Therefore, we intend to change the scope of the CVD order on certain 
pasta from Italy to include the following exclusion: Excluded from the 
scope is gluten-free pasta.

Public Comment

    Interested parties are invited to comment on these preliminary 
results. Written comments may be submitted no later than 10 days after 
the date of publication of these preliminary results. Rebuttals to 
written comments, limited to issues raised in such comments, may be 
filed no later than 17 days after the date of publication of these 
preliminary results. The Department will issue the final results of 
this changed circumstances review, which will include its analysis of 
any written comments, no later than 270 days after the date on which 
this review was initiated, or within 45 days if all parties agree to 
our preliminary results. See 19 CFR 351.216(e).
    If final revocation occurs, we will instruct U.S. Customs and 
Border Protection to end the suspension of liquidation for the 
merchandise covered by the revocation on the effective date of the 
notice of revocation and to release any cash deposit or bond. See 19 
CFR 351.222(g)(4). The current requirement for a cash deposit of 
estimated countervailing duties on all subject merchandise will 
continue unless and until it is modified pursuant to the final results 
of this changed circumstances review.
    These preliminary results of changed circumstance review and notice 
are in accordance with sections 751(b)(1) and 777(i) of the Act and 19 
CFR 351.216, 351.221, and 351.222.

    Dated: December 8, 2010.
Paul Piquado,
Acting Deputy Assistant Secretary for Import Administration.
[FR Doc. 2010-31494 Filed 12-14-10; 8:45 am]
BILLING CODE 3510-DS-P