Costa Rica removes 35 percent tariff on chicken imports for processors
Costa Rica's government agreed with the food-processing industry to abolish its 35 percent tariff on imports of mechanically deboned chicken.
Friday, May 23, 2008
Mario Montero, executive director of the Costa Rican Food Industry Chamber (Comex) described the measure as an important victory in Comex's campaign to improve access to raw materials on world markets.
The Costa Rican agricultural sector has reacted negatively to news of the consultation announced by the Costa Rican Trade Ministry.
Removing the tariff on chicken legs under the CAFTA-DR would resolve the problem arising from the use of different tariff headings, but can be done only if approval is granted by the other member countries.
From January 2016 import tariffs will start to be phased out on chicken, rice and milk from the USA, reaching 0% in 2022 and 2025, under the DR-CAFTA agreement.
The governments of both countries are cultivating a rare blend of populism and mercantilism where invoking the interest of the poorest they take protectionist measures which end up making staple foods more expensive and difficult to access.
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