EU rejects RP bid for hike in tuna quota

The European Commission (EU) has rejected the request of the Philippines for an increase in preferential tuna quota, EC Charge d’Affaires Luc Van de Bon announced over the weekend.

According to Van de Bon, the EC rejected the Philippines’ request for an increase in tuna quota following the country’s failure to show that there has been a significant increase in tuna exports to the EU.

Based on EC statistics, Van de Bon said, there has been no significant increase in Philippine tuna exports to the EU that would justify an increase in the existing quota.

Philippine tuna exporters have asked for an increase in the quota due to the increasing demand for tuna in the European market.

Van de Bon pointed out that even with the quota, Philippine exporters can export as much tuna as they can to the EU.

However, Philippine tuna exporters are reluctant to export tuna to the EU beyond the allowed quota since the additional exports would be subject to a higher tariff rate.

Under the allowed quota, Philippine tuna exports are subject to a preferential tariff of 12 percent.

Additional tuna exports beyond the specified quota would be subject to a 24 percent tariff rate.

The EU had given a quota of 25,000 tons to be alloted to the Philippines, Thailand and Indonesia.

The Philippines’ allocation is about 36 percent of the 25,000 ton quota.

The Philippines and Thailand had previously sought a duty-free rate for their tuna exports, similar to the preferential treatment given to the ACP (African-Caribbean and Pacific) bloc of countries.

The ACP bloc are former colonies of EU members.