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U.S. defends restrictions on Argentine lemons

The United States on Wednesday defended its restrictions on imports of lemons from Argentina after the South American country said it planned to challenge the measures at the World Trade Organization.

The sharp defence came amid escalating tensions over Argentina's trade policies.

On Tuesday, the United States and Japan challenged Argentine government regulations that require prior approval of nearly all foreign purchases as a violation of WTO rules.

Argentina's Foreign Ministry did not comment directly on the U.S. and Japanese complaints but said it would file a complaint at the WTO over Washington's policies that hamper lemon imports.

"The United States is surprised and disappointed at Argentina's reaction," USTR spokeswoman Nkenge Harmon said in an emailed statement.

"It appears to be part of a disturbing trend in which countries engaged in actions that are inconsistent with their WTO obligations retaliate with counter complaints rather than fix the underlying problem raised in the complaint," she added.

U.S. trade officials have read news reports that Argentina plans to challenge the lemon restrictions, but have not received official word of any action, Harmon said.

"Nonetheless, I can say that all U.S. measures relating to imports of Argentine products, including lemons, are science-based and consistent with WTO requirements," she said.

Argentina complained in its press release the U.S. market has been closed to Argentine lemons since 2001 for health concerns, even though other countries accept the fruit.

"Argentine citrus is exported to destinations with very high health standards such as the Netherlands, Spain and Italy, which do not question the excellent quality of Argentine produce," the Argentine government said.

Last year, U.S. imports of Argentine farm products topped $1.64 billion, while U.S. agricultural exports to Argentina totaled $154 million, Harmon said.

However, Argentina is one of the few countries with which the United States enjoys an overall trade surplus.

Last year, it exported $9.9 billion worth of goods to Argentina and imported $4.5 billion from that country.
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