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
    Prime Minister commends public for strong participation and responsible conduct on VAT Free shopping day
    Prime Minister commends public for strong participation and responsible conduct on VAT Free shopping day
    Jada 
    December 23, 2025
    Prime Minister Commends Public for Strong Participation and Responsible Conduct on VAT Free Day Prime Minister Hon. Philip J. Pierre has expressed sin...
    SVG Basketball Federation Collaborates with JEMS Environmental Group for Youth Climate Hoops Programme
    SVG Basketball Federation Collaborates with JEMS Environmental Group for Youth Climate Hoops Programme
    Jada 
    December 23, 2025
    The St. Vincent and the Grenadines Basketball Federation (SVGBF), under the leadership of President Suzette Jackson, has partnered with JEMS Environme...
    Merchants happy with SVG’s first VAT-free Shopping Day
    Front Page
    Merchants happy with SVG’s first VAT-free Shopping Day
    Webmaster 
    December 23, 2025
    ST.VINCENT ANDTHE GRENADINES’ first-ever VAT-free shopping day has been hailed a success by local merchants, as consumers flocked their businesses to ...
    AIA is a fantastic investment – we will build on it – Minister Shallow
    Front Page
    AIA is a fantastic investment – we will build on it – Minister Shallow
    Webmaster 
    December 23, 2025
    MINISTER OF TOURISM, Civil Aviation and Sustainable Development Dr. Kishore Shallow has acknowledged the Unity Labour Party (ULP) administration’s inv...
    NDP’s bonus falls short of the promised double salary – Dr Gonsalves
    Front Page
    NDP’s bonus falls short of the promised double salary – Dr Gonsalves
    Webmaster 
    December 23, 2025
    PRIME MINISTER Dr. Godwin Friday has promised that at some point in January, 2026, some public servants will receive double pay, while others will rec...
    NPRB urges attendance at Nine Nights
    Front Page
    NPRB urges attendance at Nine Nights
    Webmaster 
    December 23, 2025
    by GRACE FRANCIS The Marketing and Public Relations Manager at the National Parks, Rivers and Beaches Authority (NPRB), and the Nine Nights of Lights ...
    News
    Best Lit House multiple winner, Jimmy Samuel may bow out after 2025
    News
    Best Lit House multiple winner, Jimmy Samuel may bow out after 2025
    Webmaster 
    December 23, 2025
    by JADA CHAMBERS AN 85-YEAR-OLD RILL HILL resident who has competed in the Best Lit House competition for almost two decades, is preparing to compete ...
    Gonsalves may not attend Parliament today over security issues
    News
    Gonsalves may not attend Parliament today over security issues
    Webmaster 
    December 23, 2025
    OPPOSITION LEADER Dr. Ralph Gonsalves’ current security arrangement may be a main issue in the veteran politician not attending the first sitting of t...
    Two lawyers named as Opposition Senators
    News
    Two lawyers named as Opposition Senators
    Webmaster 
    December 23, 2025
    THREE LAWYERS WILL make up the opposition in Parliament when the legislative body meets after today, December, 23 2025. Yesterday, Monday, December 22...
    International delegates denounce American aggression towards Venezuela
    News
    International delegates denounce American aggression towards Venezuela
    Webmaster 
    December 23, 2025
    ABOUT 1,000 PERSONS from 50 countries who participated in ‘The Assembly of the Peoples for the Sovereignty and Peace of Our America’ have denounced US...
    Opposition Leader calls for Peace this Christmas
    News
    Opposition Leader calls for Peace this Christmas
    Webmaster 
    December 23, 2025
    OPPOSITION LEADER, Dr. Ralph Gonsalves, delivered a Christmas message to the nation via Facebook on December 22, 2025 extending season’s greetings and...

    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