WTO Panel Rules Against US on a Case of Brazilian Orange Juice

Brazzil Magazine covers

Brazilian orange juice A dispute settlement panel from the World Trade Organization has ruled that the United States is violating the rules of international commerce with illegal antidumping measures against imports of orange juice from Brazil.

The decision, however, is still preliminary and may be appealed to a higher level at the WTO where a final decision will probably be issued in February 2011.

In September 2009, the Brazilian Foreign Ministry (Itamaraty) filed a complaint at the WTO regarding the formula used by the US to calculate an instance of dumping and its application to Brazilian orange juice imports.

According to Itamaraty, the methodology used the US “exaggerates dumping margins and is detrimental to Brazil.” The ministry, in a note, points out that the US has been condemned in other trade disputes for the same reason.

Brazil is now the world’s biggest orange juice exporter with sales totaling US$ 1.7 billion annually. Brazilian orange juice exports to the US are worth US$ 400 million, but the American consumer pays a price that includes not only import taxes but surtaxes that Brazilian producers claim are harmful to sales.

Although the WTO decision this week is only preliminary, it is the second recent Brazilian victory against US trade policies.

In December 2009, the WTO authorized Brazil to retaliate against US cotton subsidies in the amount of US$ 830 million annually. Since then Brazil and the US have been trying to negotiate a solution to the problem.

ABr

Tags:

You May Also Like

Brazil Slashes 30% from 2016 Olympic Games Expenses

The organizers of Brazil’s Rio 2016 Olympic and Paralympic Games are making cutbacks of ...

Brazzil Magazine covers

The Four-Year Itch

The only race where the number of candidates has fallen is for president. Instead ...

Brazzil Magazine covers

Trying to Make Brazilian Cachaça a Household Word in the US

If the thought of another brand of vodka is enough to make you want ...

Brazzil Magazine covers

Brazil’s Agribusiness Exports Much Better than Anticipated

Brazil's current scenario for agriculture is much better than the forecasts made in late ...

Brazzil Magazine covers

Brazilian Shaman Urges World to Sign Indian Rights Law

Davi Kopenawa, a Yanomami shaman from the Brazilian Amazon, dubbed "the Dalai Lama of ...

Brazzil Magazine covers

Brazil’s Landless Advice Number 1 to the Rich North: Bring Down the Government!

What do you get when you fuse the most brutal landowners of the Global ...