Vefiu.s Ur. Evany. O)V I meron: I '. -Calladin rf omvo Wars


producers frim making these decisions is
poorly managed igocrnnmcni programs that
mislead producers into making poor produc-
tion decisions or poor nilln.uagcinelii on the
par of producers who control a significant
portion of the inmdui y. These laws allow do-
mestic producers to seek relief from these
poor decisions. It does not protect producers
who are at a competitive disadi ;tanil~ For-
eign producers who hold a c niil ;tii\e ad-
%;intl.ig in a product will be allowed i, take
.addlloniial market share without redress from
the antidumping laws.
 The greenhouse tomatoes from Canada
case either was not as coirpltk.tited as the I IC
made it when determining ith like product is-
sue or was more ..1.lVpJiilled than the DOC
made it in determining the subject merchan-
dise. The criticism in this invre-tiJgaiun comes
by way of the analysis used to judge like prr.l-
uct, which ultimately drove the decision on
injury. The ITC ucsd anecdotal evidence on
physical .har.zcririi~c a;ind uses; interLlh;Inte.
ability: channels of diilribulioni. common pro-
duction fIl.ilics. processes, and emp. lia.C.
and price. [)unng the finid hearing with the
ITC, respondents supplied greenhouse-grown
tomatoes and high-quaijiy ticld-grown toma-
toes as visual evidence that the two were like
plrIdLi l%
pFrJuclts
 rield-grown and reclnh,)uLc-gro)n to-
nlatoes are ,ilil'if in their outward .ippear-
ance. Properly handled hei lii- gro n tomatoes
can be \i--tiill .tiir.adiiv. appearing very
l ril]ri to prFenhlrMe-er~in tomatoes. In
the IWq6 aintidunping petition filed by U.S.
ro.'wer ;iegainslnI Mexican Ircsh tomatoes,
Metsc.an respondents .rguud that vine-rip-
ened tomatoes were ditinctly diftleren1T from
mature green tomatoes. Mexico was primar-
ily a shipper n' vine-iipened tomatoes, and
Florida was primarilI a shipper of mature
green tomatoes. The re'spndenit centered
their argument on pricing, consumer prefer-
ence, and market channels. Evidence provid-
ed by respondents in that case indl.icated tha
-ine-ripened tomatoes received higher prices
than mature erten Cioniatesc. consumers pre-
ferred vine-ripenerc tomatoes, and the retail
market was controlled more by vine-ripened


tmrnatics. whereas the food service sector
was controlled more by mature green toma-
toes. Pe(ilironIc in that case countered with
.iturrnumntl' that (1) outward appearance
demonstrates the likeness in product id]s-
playing vine-ripened and properly handled
mature green tomatoes before the Commis-
sioners); (21 there is r.ig.intiL.. overlap in
production practices and in markets, with
mature green tomatoes .o'npcting vigorous-
ly with vine-ripened tomatoes in the reti.l
nm.rkctl and (3) lsudic% show no consistent
consumer prcfcrencc for one over the other.
Pctii4oncr% also provided the study by Jordan
and VanSickle ( l1'-9.i thla demonstrated
imr.ijkL integration between mature uieen
and %inc-ripencd tomatoes (Jordan and
VanSickle I '5.,i.
 ThL arguments in the I.' -Canada case
were inmilar. except the petitioners were trying
to limit the scope of the like product to a nar-
rower deftirliolln o' greenhouse tomatoes,
whereas r-espondeni were tr-ing to expand
the definition to include all tresh market to-
matoes. The [TC TLrcIoni/:-d the diille-rim.c'. in
production practices bctwen field-grown and
Lrccnhlouc-vrwlil tomatoes but rblic\cd the
products to be iintie.hn.ingcblk. even though
rciail members ol the trade etikeii to the con-
trary.

Testing for like Prnduct

The foregouiiir anal'..i sugge~.- the strong
p '',hl1ii1'y IlI i\ hlllcreni outcome had the def-
inition of the "di--Jdomei lik product" been
grccnhluuc tomatoes instead of all tomatoes.
It further suggests the need for a more objec-
tive and transparent approach to be used by
the ITC in such determinations. The approach
decioped below lollo' s from earil work
done on the integration of spatial markets
(Lele; Rnallmluai Rather than .aLdrL-%ing
spatial closeness of markeis. market inltgr.L-
tion in the present context is addressed from
the perspective of closeness Ol' Ir racteristics
of commodities as evaluated Ib the market-

 rcel Toniatcrs rao m Melico, ITC Pub. 2967.
Inv. No, 7 1I-T.'-77 'f riin *J I ,', awn u 6 to I I,


_