The government of Panama on Monday was pleased with the World Trade Organization (WTO)'s decision in favor of nine Latin American banana-producing countries, thus rejecting the attempt of the European Union (EU) to increase tariffs on this fruit next year.

During a press conference at the Presidential Palace, Panama's Trade and Industry Minister Alejandro Ferrer congratulated officials who presented the case to the WTO on behalf of the Latin American banana-producing nations

The European Commission intended to increase tariffs on Latin American banana imports from 75 euros (90 dollars) per ton to 230 euros (278 dollars) per ton.

WTO's Arbitrage Commission ruled that the EU decision hinders Latin American banana producers from accessing the European banana market.

Now the European Union has 10 days to present before WTO a new proposal on the tariffs to be applied on banana imports from Brazil, Colombia, Costa Rica, Ecuador, Guatemala, Honduras, Nicaragua, Panama and Venezuela.

Ferrer said Monday that Panama, like the other Latin American banana producers, will go bankrupt if the EU raises the tariffs from the current 75 euros per ton.

The negotiating team from the Panamanian Foreign Trade and Industries Ministry will go to Geneva, Switzerland, in the coming days to start a series of consultation with the EU to find a mutually-beneficial solution to this dispute.

Source: Xinhua