Costa Rica bananas

The European Commission said yesterday it would appeal against the World Trade Organisation’s ruling that its banana import regulations break international trade rules, according to Reuters.

“The EC has today notified the WTO that it will appeal the panel reports on the banana cases brought by Ecuador and the US,” the Commission said.

The latest engagement in the long running ‘banana wars’ seems to have gone in favour of the Latin American banana producing nations, which have been protesting the EU’s banana tariffs for decades.

A WTO investigation prompted by complaints from the US and Ecuador found the European Union was giving preferential treatment to former colonies in the African, Caribbean and Pacific (ACP) country group.

Bananas from the ACP nations have attracted significantly lower tariffs than Latin American bananas for many years. Latin American producers are currently paying a flat rate of 176 euros per tonne to get their product into Europe.

The original complaint was brought by Ecuador, the world’s largest banana exporter, and the US, home of three of the largest distributors of the fruit in South America; Chiquita, Del Monte and Dole.

Previous negotiations on the tariffs had reached something of a compromise during the WTO Doha talks, but the deal was scuppered with the sinking of the Doha round.

The European Union has been asked to comply with the WTO panel reports by 29 August.