HALL
LATIN AMERICAN countries have rejected the European Union's (EU) latest proposed tariff reductions in their banana exports, dashing the hopes of African, Caribbean and Pacific (ACP) banana producers for a settlement to the impasse.
The proposed cut from 230 euros ($17,632) to 187 euros ($14,335) per tonne, is the latest development in a five-year dispute since Latin American producers first complained to the World Trade Organisation (WTO) about the EU's banana regime which favours ACP producers.
Ecuador's ambassador to the EU, Mentor Villagomez, said the revised tariff "changes nothing" for Latin American countries and would likely lead to another round of WTO arbitration, reported the Financial Times. The two parties are to meet and failing an agreement the WTO will enter into a 30-day arbitration.
The ACP had requested to be party in the arbitration protest but was still awaiting a response from the arbitrator, chairman of the Jamaica Banana Exporters Association Dr. Marshall Hall told The Gleaner yesterday.
Dr. Hall expressed optimism that the EU's proposal would be accepted by the Latin Americans or ultimately by the WTO.
"It is important that they (the EU) make a clear case so that they cannot be refused by the arbitrators who are the same set who refused the EU's previous proposal. Last time they questioned the data that the EU used in revising their tariff but this time they have supplied actual data as the WTO stipulated," said Dr. Hall.
The WTO's brief, said Dr. Hall, had also demanded that Latin American countries would maintain their existing access to the EU market. He reasoned the EU had done so by placing a quota at 2004 levels on ACP exports to the EU.
- R.S.
