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Home >> Business
UPDATED: 14:44, December 13, 2005
Ecuador to damand lower banana tariff from EU
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Ecuador, the world's largest banana exporter, would insist on a lower European Union (EU) banana tariff at the World Trade Organization (WTO) meeting which begins Tuesday, the country's trade minister said Monday.

Jorge Illingworth told local media that Ecuador's main goal at the WTO meeting was to lower the EU's intended flat tariff of 176 euros (229 US dollars) on per ton of bananas.

Illingworth made the remarks before leaving for China's Hong Kong for the fourth WTO ministerial conference slated for Tuesday-Sunday.

The EU currently imposes a tariff of 75 euros (88 dollars) on every ton of imported bananas within the set quota, and would charge 680 euros (802 dollars) for every ton beyond the quota.

The 176-euro tariff is the EU's third attempt to set a new rate. In August, its first bid of 230 euros per ton was thrown out by the WTO, and in November, the WTO rejected the second bid of 187 euros per ton.

Illingworth said Ecuador would firmly insist that the flat tariff should be close to 75 euros for every ton of bananas.

The 25-nation EU must change the banana tariff by January under a deal reached with the United States in 2001 to resolve a long-running banana dispute.

Ecuador says the EU is breaking the terms of the deal by not allowing complete access to Latin American banana exports.

The EU also gives privileged access to some European countries' former colonies in Africa, the Caribbean and the Pacific region, a scheme banned by the 2001 accord.

Source: Xinhua


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