Ecuador-Trade dispute with Euopean Union.

ECUADOR.

CALLS ON EU TO SETTLE.

Ecuador has threatened to exercise its right, to impose sanctions on the European Union unless the long running dispute over bananas is settled.

This is the worlds longest running trade dispute, between Ecuador the worlds largest banana producer and the European Union.

The WTO have ruled against the European Union in the matter, who are accused of showing favoritism to former colonies in Africa, in relation to banana imports.

Latin American producers are demanding equal treatment, as opposed to more favorable terms.

The current tariff is 176 euros per ton for a quota of 2.2 million tons of bananas from Latin America.

The WTO ruled that this must be cut to 148 euros per ton in January 2009 and eventually to 114 euros per ton by 2016.

The main international brand affected are Chiquita, Del Monte, Dole Foods and the Irish group Fyffes