1 / 5

Proposed €230/t tariff

Proposed €230/t tariff. Market access implications for Latin American bananas. Loss of Latin American access under a €230/t tariff. Under a €230/t tariff, Latin America would face a definite loss of market access (Bananarama results)

liana
Download Presentation

Proposed €230/t tariff

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Proposed €230/t tariff Market access implications for Latin American bananas

  2. Loss of Latin American access under a €230/t tariff • Under a €230/t tariff, Latin America would face a definite loss of market access (Bananarama results) • The most likely loss is 1.1 million tonnes (more than a third) (see next page) • However, under the worst case scenario, 2.0 million tonnes could be lost • A loss of 1.1 million tonnes would cost economies of Latin American exporters about $400m a year in lost income and over 75 000 jobs (GTAP results) • Latin American access would not ‘at least be maintained’, under the terms of the WTO ACP Waiver, making the proposed tariff illegal

  3. Definite loss of market access 230 tariff -2.0 -1.1 -0.3 0 Mt Loss in market access Gain in market access Loss of Latin American market access with a €230/t tariff

  4. Article XXVIII implications • Under GATT article XXVIII, the EU may be required to compensate eligible Latin American countries for the loss in trade estimated in the following table • Compared with free trade since 1992, under a €230/t tariff, the value of Latin American exports to the EU would be $1.2 billion a year less -- see table • Compared with a €75/t tariff since 1992, under a €230/t tariff, the value of Latin American exports to the EU would be $1.0 billion a year less -- see table

  5. A €230 tariff would decrease Latin American exports by up to $1.2 billion a year relative to free trade or a €75 tariff since 1992

More Related