While the ACP countries have been left reeling by the recent WTO decision, Latin American producers are pleased with the outcome.
Corbana, the national public organisation of banana producers of Costa Rica, said it welcomed the WTO arbitrators' decision confirming that the proposed EU duty on banana imports was too high.
Corbana said it's defence throughout the process had been based on the legitimacy of the Latin American countries to have access to the EU´s market, under the same conditions as other banana producing states.
The corporation said the arbitrators confirmed what Latin American countries feared; that they will not to be able to maintain their market share in the EU with the planned levy weighing on the prices of their bananas, in addition to the devastating effects it would have to the economies of some of those countries, very much dependant on agriculture.
According to Corbana figures, hundreds of thousands of jobs in Latin America depend on the banana industry and were threatened by the proposed new EU tariff.
Following the arbitrators' decision, Corbana's president Romano Orlich said: "We are pleased that the WTO arbitrators concur with our position and we look forward to collaborating with the EU authorities to ensure an outcome that is satisfactory for all parties".
Ecuador's reaction was described by Eva Garcia newly incumbent ambassador to the WTO in Geneva as "highly positive." The economist took up her post just last week and will now be involved in a flurry of diplomatic activity. "This decision by the WTO arbitrators really lends weight to our arguments," said Garcia. "For us in Latin America it is a diplomatic triumph. Now we must start our conversations with the EU in order to try and harmonize our mutual interests and arrive at win-win outcome. For us in Ecuador it is vital that we continue to be able to trade without hindrance." As the Journal went to press, she was due to meet with a delegation from the European Union to commence negotiation.
A spokesman for US banana giant Chiquita added: "We welcome the ruling as confirmation that the proposed tariff of €230 per metric ton, which is triple the current rate, does not fulfill the WTO standard of 'at least maintaining' total Latin American access to the European market. This is an important first step towards a WTO-compatible solution."
