- Country or region
- Panama
- Trade topics
- Dispute settlement
- Context
- WTO - Complaint against the EU
Summary of the case
- Complaint by: Panama
- Complaint against: EU
- Third parties: No third party
Panama challenges the EC import regime introduced on 1 January 2006 (cf. EC Regulation 1964/2005), consisting in an applied MFN tariff of 176€/t and a duty-free tariff quota of 775,000 t for bananas of ACP origin.
Panama claims that:
(a) The preferential duty-free tariff quota of 775,000 t for bananas of ACP origin is inconsistent with the most favoured nation (MFN) principle enshrined in Article I:1 GATT and with Article XIII of the GATT (non-discriminatory administration of quantitative restrictions), since Panamanian bananas cannot access to the above-mentioned tariff quota. More particularly, Panama argues that the preferences for ACP bananas are no longer covered by the existing waiver from Article I:1 for the Cotonou Agreement; and the EC has not obtained a new Article XIII GATT waiver following the expiry of the existing waiver on 31 December 2005.
(b) The applied 176€/t duty for bananas of MFN origin is inconsistent with the EC scheduled concessions on bananas (Article II GATT)and the EC has not complied with the required procedures for modification of Schedules (Article XXVIII GATT).
Relevant WTO provision: Articles I:1, II, XIII:1 and XIII:2 and XXVIII of GATT.
Status
Consultations were held on 13 July 2007. Panama participates in on-going negotiations between the EC and MFN suppliers (with the exception of Ecuador) in view of reaching an agreed solution to the bananas dispute.
- Consultations requested: 22 June 2007