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
      • Privacy Policy
      • 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
      • Privacy Policy
      • 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
    Mother believes her ‘missing’ daughter is dead
    Front Page
    Mother believes her ‘missing’ daughter is dead
    Webmaster 
    December 9, 2025
    VIOLA ADAMS, the mother of 36-year-old Lyda “Sherika” Adams, strongly believes her daughter is dead. The Barrouallie woman, said to be six months preg...
    Vincentian delegation at Peace Conference in Venezuela
    Front Page
    Vincentian delegation at Peace Conference in Venezuela
    Webmaster 
    December 9, 2025
    AT A TIMEWHEN A MASSIVE US military arsenal is arrayed on the doorsteps of Venezuela, a delegation of 10 Vincentians is currently in that South Americ...
    Public Service Commission does not care about laws, says union President
    Front Page
    Public Service Commission does not care about laws, says union President
    Webmaster 
    December 9, 2025
    PRESIDENT OF THE Public Service Union (PSU), Elroy Boucher, believes that the Public Service Commission(PSC) does not care about the laws, and seems t...
    AIA reaffirms commitment to passenger safety
    Front Page
    AIA reaffirms commitment to passenger safety
    Webmaster 
    December 9, 2025
    MANAGEMENT OF THE Argyle International Airport (AIA), has issued a statement reaffirming their commitment to passenger safety. There have been periodi...
    Christopher Nathan reflects on Caribbean fashion legacy amid cancer battle
    News
    Christopher Nathan reflects on Caribbean fashion legacy amid cancer battle
    Webmaster 
    December 9, 2025
    Creative director of Coco Velvet International Fashion & Model Management, Christopher Nathan, has spent a great deal of his career training and devel...
    National Security Minister says Dr. Gonsalves may not be entitled to state security
    News
    National Security Minister says Dr. Gonsalves may not be entitled to state security
    Webmaster 
    December 9, 2025
    OPPOSITION LEADER and former Prime Minister of St Vincent and the Grenadines (SVG) Dr. Ralph Gonsalves may not be entitled to a security detail provid...
    News
    Christopher Nathan reflects on Caribbean fashion legacy amid cancer battle
    News
    Christopher Nathan reflects on Caribbean fashion legacy amid cancer battle
    Webmaster 
    December 9, 2025
    Creative director of Coco Velvet International Fashion & Model Management, Christopher Nathan, has spent a great deal of his career training and devel...
    National Security Minister says Dr. Gonsalves may not be entitled to state security
    News
    National Security Minister says Dr. Gonsalves may not be entitled to state security
    Webmaster 
    December 9, 2025
    OPPOSITION LEADER and former Prime Minister of St Vincent and the Grenadines (SVG) Dr. Ralph Gonsalves may not be entitled to a security detail provid...
    Claimant feels vindicated in union’s case against the PSC
    News
    Claimant feels vindicated in union’s case against the PSC
    Webmaster 
    December 9, 2025
    A CLAIMANT in the legal challenge brought by the Public Service Union (PSU), against the appointment of then Clerk and Deputy Clerk of the House of As...
    Taiwan downplays fears of SVG Diplomatic
    News
    Taiwan downplays fears of SVG Diplomatic
    Webmaster 
    December 5, 2025
    AIWAN HAS PLAYED DOWN concerns that St Vincent and the Grenadines might switch diplomatic recognition to Beijing, insisting ties with its Caribbean al...
    St. Lucia stays red: SLP secures 14 of 17 seats, Pierre returns as PM
    News, Regional / World
    St. Lucia stays red: SLP secures 14 of 17 seats, Pierre returns as PM
    Webmaster 
    December 5, 2025
    ST. LUCIA’s political map turned bright red on Monday as the St. Lucia Labour Party secured a commanding re-election victory, clinching 14 of 17 seats...

    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