Ecuador: banana prices increasing
no WTO complaint formalised yet

Tholen - The grower prices of bananas have increased to 6 dollar per box during the past two weeks. This is 2,75 dollar above the official reference price and extraordinarily high for the beginning of the year. One expects that the price will further increase to 7,5 dollar this week, due to high demand from countries like Russia, Germany and other countries in the EU.

Yesterday the negotiation period expired, in which the EU and Ecuador could agree a reduction of the banana import tariff without making a WTO arbitration panel a necessity. Now it is up to Ecuador to progress it’s claim with the WTO, but the ministry of foreign affairs is first analysing the politics it will advance. As it concerns a new government, a change of direction is not unthinkable.

Publication date: January 31 2007
Author: André van der Wiel
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