Caribbean still in the dark

European Union (EU) officials said on Wednesday that they will sign a deal on Friday with Latin American countries, African, Caribbean and Pacific (ACP) states and the United states to cut tariffs on banana imports, according to a report on www.cananews.net.



The deal will end the world\'s longest-running trade dispute, cutting the tariff paid on bananas from Latin America and shielding the EU from further legal action at the World Trade Organisation (WTO), which has condemned its import regime.



“We have the two big players on board,” said EU Agriculture Commissioner Fischer Boel, referring to Latin American producers and ACP countries, which have had preferential access to EU markets.



“Everybody is on board. The last obstacles have been cleared, and closure is expected in the next 24 hours, allowing for an initialling of the deal on Friday,” Boel added.



The essential element was that the tariff on bananas would fall to US$114 a tonne by 2016 from US$176, with an initial cut to US$148.



Officials said ACP growers will get around $200 billion euros in compensation as part of the deal.



Although the United States does not export bananas, it is a party to the deal because several conglomerates, such as Chiquita, Dole, and Del Monte, are US corporations.



But ministers from Caribbean countries, who say their economies will be devastated by an agreement they recognise as inevitable, said they had not seen details of the deal and raised concerns about the economic ramifications.



Trinidad and Tobago’s Trade and Industry Minister, Mariano Browne, speaking on behalf of the Caribbean Community (CARICOM), said Wednesday the resolution of the long-standing trade dispute will result in the decline of a major CARICOM export.