Avocados: Mexico and Costa Rica will Litigate in WTO

The irreconcilable positions of both countries over phytosanitary measures for the Mexican product form the backdrop to a possible arbitration panel with the world trade body.

Monday, March 7, 2016

Since Costa Rica stopped issuing permits for the entry of Hass avocados from Mexico, for phytosanitary protectionism reasons, (the country argues they are protecting themselves from the disease known as sunspot), neither country has managed to convince the other through technical and political methods to reopen the market.

See also: "Avocado in Costa Rica: Something Smells Fishy"

Now the dispute will be taken up by an arbitration panel at the World Trade Organization (WTO), confirmed the Mexican Secretary of Agriculture José Calzada. Official statements published by Nacion.com reported that "... we are in the right, because our producers do things carefully, with a great selection of products and they are always leaving consumers satisfied almost everywhere in the world. "

See also: "Costa Rica Needs Avocados"

The Costa Rican Minister of Agriculture and Livestock, Luis Felipe Arauz, meanwhile, maintained his position and told Nacion.com that "... we believe that the step we are taking is well justified technically and scientifically." The Minister of Foreign Trade, Alexander Mora acknowledged that they have already estimated the cost of the process at about $600,000 and that the ministry does not have the resources to fund the defense, therefore President Luis Guillermo Solis has been asked for each entity involved to finance the costs, reported La Nacion.

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More on this topic

Mexican Avocado Dispute Increases

November 2018

Because of the problem of the barriers that Costa Rica has imposed since 2014 to the entry of avocado from Mexico remains unsolved, the Mexican authorities asked the WTO to refer the case to an arbitration panel.

The blockade of the Mexican avocado does not end. The Ministry of Foreign Trade (Comex) reported that Mexico requested the WTO to establish a panel of arbitrators to solve the dispute.

Costa Rica: Cost of Litigation with Mexico Over Avocados

March 2016

Employers indicate that taking the dispute to an arbitration panel will cost many millions of dollars and will result in indemnization payments, as it is clear that trade agreements and phytosanitary standards were breached.

The announcement by the Mexican authorities to take Costa Rica to a World Trade Organization (WTO) arbitration panel because of the dispute over avocados, has caused concern among employers who are members of the Chamber of Exporters and Importers of Perishable Goods (Ceipp).

Contradictions in Costa Rica's Foreign Trade

February 2016

The private sector is demanding homogeneity in the foreign trade strategy, since the situation today is that there is "one protectionist minister and another who works for free trade."

In the words of José Manuel Quirce, president of the Chamber of Importers of Costa Rica (Crecex), the Solis administration needs to focus on "...

WTO Alerted Over Costa Rica's Restriction on Avocados

July 2015

Guatemala and Mexico have triggered a mechanism of "commercial concern" over restrictions on the importation of Hass avocado imposed by Costa Rica.

There will be a period of 60 days for Costa Rica to respond to the concerns presented by the delegations from Mexico and Guatemala in the Committee on Sanitary and Phytosanitary Measures at the World Trade Organization.

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