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Trade deal imperative for Ecuador to compete in banana exportsAccording to the website Ecuador Times, it is imperative that Ecuador signs a trade agreement with the EFTA group of countries (Switzerland, Norway, Iceland, and Liechtenstein) if the country wants to compete with other banana exporters.
Although the negotiating rounds are progressing positively, Ecuador (especially the banana sector) is losing money due to the lack of a trade agreement, which has already been achieved by Colombia.
Eduardo Ledesma, president of the Banana Exporters Association of Ecuador, said that while Colombia pays a 0% tariff to enter the EFTA bloc, Ecuador pays a 25% tariff.
The consequence of this is that Ecuadorian bananas have lost market shares. “We used to sell between 50,000 and 70,000 boxes a week. Today we do not reach the 5,000 box mark,” said Ledesma.
It is estimated that the EFTA agreement will be signed by the end of this year, according to the Ministry of Foreign Trade.
Publication date: 7/12/2017
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