Searchlight Logo
special_image

    • News
      • Front Page
      • News
      • Breaking News
      • Press Release
      • Features
      • Special Features
      • From the Courts
      • Sports
      • Regional / World
    • Opinions
      • Editorial
      • Our Readers’ Opinions
      • Bassy – Love Vine
      • Dr. Fraser- Point of View
      • R. Rose – Eye of the Needle
      • On Target
      • Dr Jozelle Miller
      • The World Around Us
      • Random Thoughts
    • Advice
      • Kitchen Corner
      • What’s on Fleek this week
      • Health Wise
      • Physician’s Weekly
      • Business Buzz
      • Hey Rosie!
      • Prime the pump
    • ePaper
    • Obituaries
      • In Memoriam / Acknowledgement
      • Tribute
    • Contact Us
      • Advertise With Us
      • Letters To The Editor
      • General Contact Information
      • Contact our Webmaster
    • About Us
      • Interactive Media Ltd
      • St. Vincent & the Grenadines
    • Subscribe
    • News
      • Front Page
      • News
      • Breaking News
      • Press Release
      • Features
      • Special Features
      • From the Courts
      • Sports
      • Regional / World
    • Opinions
      • Editorial
      • Our Readers’ Opinions
      • Bassy – Love Vine
      • Dr. Fraser- Point of View
      • R. Rose – Eye of the Needle
      • On Target
      • Dr Jozelle Miller
      • The World Around Us
      • Random Thoughts
    • Advice
      • Kitchen Corner
      • What’s on Fleek this week
      • Health Wise
      • Physician’s Weekly
      • Business Buzz
      • Hey Rosie!
      • Prime the pump
    • ePaper
    • Obituaries
      • In Memoriam / Acknowledgement
      • Tribute
    • Contact Us
      • Advertise With Us
      • Letters To The Editor
      • General Contact Information
      • Contact our Webmaster
    • About Us
      • Interactive Media Ltd
      • St. Vincent & the Grenadines
    • Subscribe
R. Rose
May 13, 2005

WTO Director General appoints 3 arbitrators in banana fight

World Trade Organization Director-General Supachai Panitchpakdi has appointed three arbitrators who will decide a critical aspect of a banana fight pitting Latin American producers against the European Union. The panel will decide whether an EU proposed tariff for bananas to be imposed in January 2006 provides market access at least as favourable as what these banana exporters enjoy now.{{more}}

Supachai appointed John Weekes, John Lockhart and Yasuahei Taniguchi to be the arbitrators in the case, according to a May 3 announcement. They are expected to make a decision within 90 days under terms of an agreement laying out the arbitration process.

Weekes, who is a former ambassador to the WTO for Canada and now an Attorney at Sidley Austin Brown and Wood, will serve as Chairman of the panel. Lockhart, an Australian, served as the Executive Director of the Asian Development Bank until 2002, and Taniguchi is a Professor at Tokyo Keizai University and a Lawyer.

The EU now regulates its banana trade with a combination of tariff-rate quotas and tariffs. Within their separate quantitative restraints, Latin American bananas face a tariff of 75 euros a ton while bananas from Africa, the Pacific and Caribbean (ACP) countries enter the EU market duty free.

The European Commission has proposed a tariff of 230 euros a ton on Latin American countries after Jan. 1 2006, and exporters from these countries are charging this would reduce their market access and thus violate the terms of the waiver WTO members granted for the EU-ACP partnership agreement. Several Latin American countries have said they could accept no tariff higher than 75 euros a ton under the new system.

The fight pits Brazil, Colombia, Costa Rica, Ecuador, Guatemala, Honduras, Nicaragua, Panama and Venezuela against the EU. Separately, ACP states have been calling for the EU to introduce an even higher tariff than the 230-euros a ton the commission has proposed.

The fight went to arbitration after the parties could not reach a negotiated agreement on what would be an acceptable tariff level. Formally, these negotiations over the new European tariff are being conducted under Article 28 of the General Agreement on Tariffs and Trade. They involve principal suppliers as well as the countries holding the original negotiating rights.

Latin American countries then requested arbitration on March 30 under terms laid out in an annex to the waiver allowing the EU-ACP partnership agreement. The two sides met on April 6 but failed to reach an agreement on the appointment of an arbitrator, which triggers a provision in the waiver calling on the WTO’s Director General to appoint arbitrators within 30 days of the arbitration request if the parties cannot agree on them.

In the fight over arbitration, the EU called for only one arbitrator while the Latin American countries called for a broader panel of five arbitrators. As a result, the appointment of three arbitrators seems to serve as a compromise between the two sides, according to sources.

The European Commission has said it wants to finish arbitration by Sept. 30 so it would have three months to get member state backing for the new tariffs it would impose on Jan. 1, 2006 (Inside U.S. Trade, March 4, p.1).

EU officials have said this timeframe can be met, but it will be difficult. The announcement of the arbitrators this week means a decision is likely by early August, when much of Europe is on holiday. However, if the arbitration panel finds against the EU and asks it to change its proposed tariff, the EU’s second proposal could also be challenged by the Latin American countries to the same arbitration panel under a shorter time frame.

A Chairman, one informed source said, can often dominate arbitration panels. However, this source said this is less likely to happen on a panel where the Chairman is not a member of the Appellate Body, and where the other two members are on the Appellate Body.

EU officials last week speaking at the International Banana Conference in Brussels said the final tariff on Latin American bananas will have to be higher than the current 75 euros per metric ton, and also said the tariff-only system was inevitable, according to a participant.

Karl Falkenberg, a senior EU trade official charged with EU trade with the ACP, said the commission does not see any other possibility than the tariff-only system. Another EU official told the conference that it makes sense that the final tariff will be higher than the current 75 euros since the value of licenses under which companies can sell bananas brought into the EU under quota must also be reflected in the final tariff, the source said.

  • FacebookComments
  • ALSO IN THE NEWS
    Is the Caribbean’s on-island resort sector being crushed by the Cruise Industry?
    Our Readers' Opinions
    Is the Caribbean’s on-island resort sector being crushed by the Cruise Industry?
    Jada 
    May 20, 2026
    In this week of the ALIS CALA annual Caribbean hotel investment conference, I found the latest report by the World Travel and Tourism Council, titled ...
    UWI’s vision to be the hub of the Caribbean’s future
    Press Release
    UWI’s vision to be the hub of the Caribbean’s future
    Jada 
    May 17, 2026
    The UWI Regional Headquarters, Jamaica | Friday, May 15, 2026—Vice-Chancellor Professor Sir Hilary Beckles described the 2024/2025 academic year as a ...
    “Doing More with Less”:  UWI Drives Growth, Innovation and Global Reach
    Press Release
    “Doing More with Less”: UWI Drives Growth, Innovation and Global Reach
    Jada 
    May 17, 2026
    The UWI Regional Headquarters, Jamaica | Friday, May 15, 2026 — “Doing more with less” is guiding The University of the West Indies (The UWI) as it re...
    Jamaica to Host 2nd CTO Air Connectivity Summit Next February
    Press Release
    Jamaica to Host 2nd CTO Air Connectivity Summit Next February
    Jada 
    May 17, 2026
    ANTIGUA AND BARBUDA (May 15, 2026) — Jamaica will host the second annual Caribbean Tourism Organization (CTO) Air Connectivity Summit in Kingston on F...
    SVG Seamoss Industry Secures Major Breakthrough at EU 50th Anniversary Showcase
    SVG Seamoss Industry Secures Major Breakthrough at EU 50th Anniversary Showcase
    Jada 
    May 17, 2026
    The Seamoss Association of St. Vincent and the Grenadines (SMASVG) proudly represented the nation at the European Union’s 50th Anniversary celebration...
    Delcy Rodríguez: Venezuela Will Not Become 51st State of the US
    Press Release
    Delcy Rodríguez: Venezuela Will Not Become 51st State of the US
    Jada 
    May 16, 2026
    “We will continue to defend [territorial] integrity, sovereignty, and independence. Our history is a history of glory, of men and women who gave their...
    News
    Former PM accuses NDP of taking credit for ULP initiatives
    News
    Former PM accuses NDP of taking credit for ULP initiatives
    Webmaster 
    May 15, 2026
    FORMER PRIME MINISTER of St Vincent and the Grenadines, and Leader of the Opposition, Dr. Ralph Gonsalves is accusing the New Democratic Party( NDP) a...
    National Cost of Living Task Force convenes first meeting
    News
    National Cost of Living Task Force convenes first meeting
    Webmaster 
    May 15, 2026
    THE National Cost of Living Task Force (NCLTF) established by the Dr. Godwin Friday led administration, convened its first meeting on May 11, 2026, ho...
    iShowSpeed visit cost less than $100,000 for SVG, says Minister of Tourism
    News
    iShowSpeed visit cost less than $100,000 for SVG, says Minister of Tourism
    Webmaster 
    May 15, 2026
    WHILE THE Ministry of Tourism is somewhat tight-lipped on precisely how much was spent to pull off the iShowSpeed visit to St Vincent and the Grenadin...
    Special emphasis will be placed on decentralizing this year’s Fisherman’s Day activities
    News
    Special emphasis will be placed on decentralizing this year’s Fisherman’s Day activities
    Webmaster 
    May 15, 2026
    WITH FISHERMAN’S DAY approaching, the President of the National Fisherfolks Organization, Winsbert Harry, has highlighted the significance of the annu...
    Ministry of Tourism launches “LOVE SVG” project
    News
    Ministry of Tourism launches “LOVE SVG” project
    Webmaster 
    May 15, 2026
    MINISTER FORTOURISM, Civil Aviation and Sustainable Development, Dr. Kishore Shallow, officially launched the “LOVE SVG” project during a press confer...

    E-EDITION
    ePaper
    google_play
    app_store
    Subscribe Now
    • Interactive Media Ltd. • P.O. Box 152 • Kingstown • St. Vincent and the Grenadines • Phone: 784-456-1558 © Copyright Interactive Media Ltd.. All rights reserved.
    We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.Ok