Brussels, 08/10/2003 (Agence Europe) - In a reaction to indications according to which an arbitration panel at the World Trade Organisation is moving towards condemnation of this system (attacked last spring in India), a European Commission spokesperson said on Tuesday that "there was still no judgement against SPG drugs". If the case arises, "we will continue to defend it", he added refusing any other comments. Initial conclusions by experts have just been sent to the parties but will not be made definitive for " a month or two", declared Brussels. The same day, the Commission said that it would be asking Member States "in the next few weeks" to decided by the end of the year if the generalised preference system should be extended (it runs out in December 2004). The Commission explained that "this did not have anything to do with Geneva procedures. The current SPG contained a graduation clause that should be implemented before the expiration of the system". The Commission also explained that this would involve "maintaining the legal security of transactions" and that "we are aware of the importance of the SPG for many countries".
Ecuador was among these countries and Ivonne Baki, its External Trade Minister discussed it with Commissioner Pascal Lamy on the same day. Ms Baki demanded not only that this system be extended but that it also be extended to other exports form his country and the Andes community, "the time needed for negotiations to work" for a free trade agreement with the Andean community and the EU. She also asked that in the context of enlargement of the EU, that the latter would increase the quota for Ecuadorian bananas. According to the Minister, this quota should increase from 300,000 to 600,000 from April 2004 to 2006, the date when Europeans have to get rid of restrictive quantities in order to just maintain customs duties.