DISPUTE SETTLEMENT

DS: European Communities — Measures Affecting Soluble Coffee

This summary has been prepared by the Secretariat under its own responsibility. The summary is for general information only and is not intended to affect the rights and obligations of Members.

  

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Current status

 

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Key facts

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(as cited in request for consultations)
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Summary of the dispute to date

The summary below was up-to-date at

Consultations

Complaint by Brazil.

On 12 October 2000, Brazil requested consultations with the EC concerning measures applied under the EC’s Generalized System of Preferences scheme (GSP) that affect imports of soluble coffee originating in Brazil. The measures in question include the so-called “graduation” mechanism, which progressively and selectively reduces or eliminates preferences granted to specific products and/or beneficiary countries under the GSP scheme; and the “drugs regime”, which confers a special preferential treatment for products originating in the Andean and Central American Common Market countries that are conducting a campaign to combat drugs.

According to Brazil, the EC legislation that establishes the special treatment for products — among which soluble coffee — is Council Regulation (EC) No. 1256/96, dated 20 June 1996, and current Council Regulation (EC) No. 2820/98, dated 21 December 1998. Brazil considered that the above measures, both separately and jointly, adversely affect the importation into the EC of soluble coffee originating in Brazil. Brazil alleged that these measures are inconsistent with the obligations of the EC under the Enabling Clause and under Article I of GATT 1994.

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