The European Commission is likely to decide on the proposed compromise rate of 12 percent set by a World Trade Organization (WTO) mediator soon.
Philippine Trade Secretary Manuel Roxas II said in a statement that EU trade commissioner Pascal Lamy told him that he is “reasonably confident†that the European Commission General Council would give the final approval to the proposed solution to the canned tuna dispute set by the WTO mediator.
Roxas met with Lamy during the Asean Economic Ministers -- EU Consultations held in Luang Prabang, Laos last week. In the meeting, the trade chief reported that he was able to obtain Lamy’s agreement on the solution suggested by the WTO mediator regarding the canned tuna dispute.
Lamy made the assurance despite strong opposition from Spain and Portugal. Both countries are expected to vote against the proposed council resolution that would implement the outcome for the WTO mediation.
However, nothing is final until the European Commission has finally decided on the proposed compromise rate of 12 percent set by a World Trade Organization (WTO) mediator.
The proposal has been endorsed by the commission to the EU member states, but only after a formal approval from their part, the proposed regulation can be put into force. Last week the Thai Trade minister, after meeting Lamy, stated that the final decision had already been taken, however no sources could re-confirm that.
Under the proposal of the WTO mediator, EU would open a most favored nation-based tariff quota of 25,000 tons this year at an in-quota ad valorem tariff of 12 percent. This is half of the 24 percent slapped on canned tuna coming from the Philippines and Thailand. The dispute stemmed from the decision of EU to allow duty-free entry of canned tuna coming from African, Caribbean, and the Pacific countries under the EU-ACP Lome Convention.