By an odd coincidence - Here's a bit of a follow-up on my questions of earlier today regarding a British grocer being fined for selling bananas by the lb. and how the EU relates to Washington, DC, USA. It seems Britian will have cheaper bananas very soon. I saw bananas at Wal-Mart today for .48 a lb. I promise, my next post will relate to geneaology. Elida in SC, USA ****************************** U.S. settles banana dispute with European Union By PAUL GEITNER, Associated Press BRUSSELS, Belgium (April 11, 2001 10:15 a.m. EDT http://www.nandotimes.com) - Trade representatives said Wednesday that the European Union and the United States have reached an accord to end a long-running trade dispute over bananas. Under the deal, the United States on July 1 will suspend sanctions it imposed in 1999 on nearly $200 million worth of imports ranging from French handbags to British linens and Danish ham, EU Trade Commissioner Pascal Lamy said. Washington levied 100 percent tariffs after winning a case at the World Trade Organization over banana import rules adopted by the European Union in 1993. The United States argued that the single EU system favored shipments from former European colonies in Caribbean and Pacific islands and Africa over cheaper bananas from Latin America sold by Chiquita Brands International Inc. and Dole Foods Co. The new accord will allow bananas to be imported into the European Union through licenses distributed on the basis of past trade until 2006, when a tariff-only system will take effect. "Today's step marks a significant breakthrough," Lamy said. "After several years of difficult negotiations, we have been able to strike a balance between all the parties concerned" - producers, traders and consumers. Lamy noted that the deal still protects producers in former colonies, although at a "slightly smaller amount" than previously proposed - a quota of 750,000 metric tons instead of 850,000. The accord must be cleared by the European Parliament and the 15 EU governments. Total EU imports of bananas last year were 3.3 million tons, according to the European Fresh Produce Importers Association. EU leaders praised the agreement with new U.S. Trade Representative Robert Zoellick as welcome progress in resolving nettlesome issues between the world's two biggest trading partners. "This is an important piece in the puzzle of improving trans-Atlantic trade relations," said Swedish Minister for Trade Leif Pagrotsky, whose country holds the rotating EU presidency. The United States has another $117 million of sanctions on European products resulting from the EU's ban on American beef grown with hormones. The EU, meanwhile, is challenging tax subsidies received by thousands of U.S. firms, including Boeing and Microsoft. Congress last fall changed the law, but the EU contends the new provisions are also WTO-illegal, and is threatening punitive tariffs on $4 billion of U.S. goods. That case will be decided later this year. Copyright © 2000 The Island Packet, Hilton Head, South Carolina