WTO rules against EU bananas tariff

The World Trade Organisation ruled yesterday that a new European Union tariff on imported bananas is illegal, siding with eight Latin American countries who said Brussels’ proposal would seriously limit their ability to export the fruit.

A WTO arbitration body backed a claim by the Latin American countries - including Brazil and Colombia – who said that a reduced EU tariff of 187 euros per ton fails to comply with global trade rules. The WTO ruled in August against an earlier EU proposal of €230 per tonne, which the countries claimed would have had a “devastating effect” on the development of their economies.