|European Communities - Regime for the Importation, Sale and Distribution of Bananas - Notification of Mutually Agreed Solution|
2 July 2001
EUROPEAN COMMUNITIES - REGIME FOR THE IMPORTATION,
SALE AND DISTRIBUTION OF BANANAS
Notification of Mutually Agreed Solution
The following communication, dated 22 June 2001, from the Permanent Delegation of the European Commission to the Chairman of the Dispute Settlement Body, is circulated pursuant to Article 3.6 of the DSU.
The European Communities (EC) wish to notify the Dispute Settlement Body (DSB) that they have reached, with the United States of America and Ecuador, a mutually satisfactory solution within the meaning of Article 3.6 of the DSU regarding the implementation by the EC of the conclusions and recommendations adopted by the DSB in the dispute "Regime for the importation, sale and distribution of bananas" (WT/DS27).
Please find attached the text of the Understandings reached between the EC and the United States and between the EC and Ecuador, respectively on 11 April 2001 and 30 April 2001, which constitute a mutually agreed solution to the bananas dispute.
I would be grateful if you could circulate a copy of this letter with its enclosures to the WTO Members.
Enclosure 1: Understanding on Bananas between the EC and the United States of 11 April 2001
A. The European Commission and the United States have identified the means by which the long-standing dispute over the EC's banana import regime can be resolved.
B. In accordance with Article 16(1) of Regulation No. (EC) 404/93 (as amended by Regulation No. (EC) 216/2001), the European Communities (EC) will introduce a Tariff Only regime for imports of bananas no later than 1 January 2006.
C. In the interim, the EC will implement an import regime on the basis of historical licensing as follows :
1. Effective 1 July 2001, the EC will implement an import regime on the basis of historical licensing as set out in Annex 1.
2. Effective as soon as possible thereafter, subject to Council and European Parliament approval and to adoption of the Article XIII waiver referred to in paragraph E, the EC will implement an import regime on the basis of historical licensing as set out in Annex 2. The Commission will seek to obtain the implementation of such an import regime as soon as possible.
D. With respect to the United States' imposition of increased duties applied to certain EC products as of 19 April 1999 covering trade in an amount of US$191.4 million per year (the "increased duties"):
1. Upon implementation of the
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