Phl wins case vs Thailand on cigarette exports

MANILA, Philippines - The Philippines has won its case against Thailand lodged before the World Trade Organization (WTO) concerning the exports of locally-made cigarettes to Thailand.

 In a ruling released June 17, the WTO has ruled with finality and has sided with the Philippines saying “that Thailand acted inconsistently with WTO rules in valuing Philippine cigarette exports for customs purposes and in failing to treat imported cigarettes the same way as locally-manufactureed cigarettes.”

 The WTO first made its ruling November last year but Thailand filed a partial appeal February this year. Ambassador Manuel Teehankee, the Philippines’ permanent representative to the WTO said the appeal was meant to prevent WTO from adopting the panel report, which was due for adoption by the Dispute Settlement Body meeting scheduled on Feb. 24, 2011.

Malacañang expressed elation yesterday over the decision made by the WTO favoring the Philippines, saying the ruling would level the playing field on trade between the two countries.

In an interview over dzRB Radyo ng Bayan, deputy presidential spokesperson Abigail Valte said the decision was a welcome development and would benefit Filipino tobacco farmers.

“We are hopeful that the (ruling) willnot have any effect on our very good relations with our neighbor, Thailand,” Valte said.

Meanwhile, local Tobacco manufacturer Philip Morris Philippines Manufacturing Inc. welcomed the final decision of the WTO favoring the Philippines over Thailand.

 “We hope that with the finality of the decision, Thailand will revise its relevant customs and tax rules found to be non-compliant with WTO requirements. Further, we are hopeful that all issues relating to Philip Morris exports to Thailand will now be settled favorably by Thai authorities,” Philip Morris said. – With Aurea Calica