Banana exporters from African, Caribbean and Pacific (ACP) countries have accused the European Union of failing to support their development by discussing banana import tariff reductions with Latin American producers.
With the EU apparently poised to make trade concessions to Latin American exporters following lengthy negotiations, ACP banana growers have claimed that their sector will suffer in exchange for free trade with rival banana producers.
“We are very disappointed by our partner the European Commission because they are sacrificing development to trade liberalisation,” said Gerhard Siwat, ambassador for Surinam, which heads the ACP banana group, reports news agency AFP.
Mr Siwat told reporters in Brussels any reduction in the current EU banana tariff, which gives preferential treatment to ACP exports, would have a “negative impact” on the sector, claiming that the Europe had refused to provide assistance for countries that stood to be affected.
AFP has reported that the EU is believed to be prepared to offer ACP countries €100m by way of compensation for the period from 2010 to 2013.
However, Dominican Republic ambassador Federico Alberto Cuello Camilo told the new agency that the reported offer was “clearly insufficient” and failed to “scratch the surface of the needs” of ACP banana producers.
The European Union's agriculture minister Mariann Fischer Boel last month told a press conference that ending the ongoing EU-Latin American banana dispute could be “desirable” for all parties involved, although not at any cost.
The tariff, which exempts ACP bananas, currently stands at €176 per tonne, although EU negotiators are reported to have suggested a reduction to €136 per tonne by 2011.
