Bananas (original) (raw)

A 20-year long dispute over banana imports has come to an end

By Economist.com

A 20-year long dispute over banana imports has come to an end. On Thursday November 8th the European Union and 11 Latin American countries signed an agreement which ended legal disputes and committed to reducing the maximum tariffs on bananas. The dispute (the longest running in the history of multilateral trade) dates back to the formation of the European single market, when a common system of quotas and tariffs was implemented, restricting banana imports from outside Africa, the Caribbean and Pacific. Over the last two decades, several Latin American countries (and America) have complained to the World Trade Organisation, which adjudicates between its members, over this preferential treatment. And with good reason; the humble banana is one of the world’s most popular fruits, worth some $8 billion in world exports. The European Union imports around a third of the bananas traded. Ecuador, one of the countries in the agreement and one of the world's biggest producers, is the world's biggest exporter of bananas and Europe's biggest supplier.