St. Lca: EU planning to tax figs

Prime Minister Dr. Kenny Anthony says the island will not sit idly and hope for the best as the European prepares to introduce a tariff only system for the purchase of Caribbean bananas.

Dr. Anthony who made the comments while delivering the 2004-2005 estimates of revenue and expenditure says his government will be putting in place a number of initiatives in order to face the expected challenges head on.

Come 2006 the present preferential treatment giving to ACP states will come to an end as the current global quota for ACP bananas will give way to a tariff placed on all bananas entering the EU from Non ACP States, with ACP bananas entering duty free until 2008. Dr. Anthony says the big questions about this arrangement are at which levels the tariffs will be placed and whether this will provide protection for ACP fruit.