EU cuts tariff on RP canned tuna

The European Community (EU) has agreed to reduce by half the tariff on Philippine canned tuna from the original 24 percent to only 12 percent starting July 1 this year, Trade and Industry Secretary Manuel Roxas II said yesterday.

Roxas said the EU also gave the country a tariff rate quota (TRQ) of 25,000 metric tons annually for five years.

The same TRQ, however, will be shared by Thailand and Indonesia.

"France, which held the swing votes that could have blocked approval of the TRQ, was pursuaded at the last minute by Philippine negotiators in Geneva to withdraw its objection," Roxas said.

Earlier, France indicated that it would object to the deal to symbolize its displeasure with Thailand which had filed dispute proceedings against the EC’s sugar subsidy program.

"The EC’s approval of the TRQ affirms our efforts in fighting for better market access of our products in the world market," Roxas said, adding that "we will continue to take the leadership role and remain firm in our conviction that what the developing world has gained in our fight in the past could and should not be watered down."

The DTI chief said the increase in the country’s quota for canned tuna will result in an improvement in shipments to EU of at least three percent annually.

"We’re expecting that with the increase in the consumption brought about by the accession of 10 countries into the EU starting next year, the growth factor may actually be more substantial than the initial three percent," Roxas said.