Brazil Takes Indonesia to WTO Over Chicken Imports
Bareksa • 17 Oct 2014
Employees work at a production line of a chicken processing factory in Shenyang, Liaoning province, August 9, 2014. - (REUTERS/Stringer)
Brazil argues that Indonesia's restrictions break numerous WTO rules.
Bareksa.com - Brazil launched a dispute at the World Trade Organization on Thursday to challenge Indonesian restrictions on Brazil's poultry meat exports, the WTO said.
"According to Brazil, the Indonesian measures in question effectively prohibit Brazilian chicken meat and chicken products from entering the Indonesian market," the WTO said in a statement.
Brazil exported frozen chickens and chicken meat worth $7 billion last year, but Indonesia imported almost none and accounted for only $45,000 of Brazil's exports, according to a database of global trade statistics maintained by the International Trade Center, a U.N.-WTO joint venture.
Brazil's biggest markets for frozen chicken cuts were Asian countries such as Japan, Hong Kong, Singapore and China, while the top destinations for its whole frozen chickens were, with the exception of Venezuela, all Islamic countries.
Brazil argues that Indonesia's restrictions break numerous WTO rules, including the Agreement on Sanitary and Phytosanitary Measures, the Agreement on Technical Barriers to Trade, the Agreement on Agriculture, the Agreement on Import Licensing Procedures, and the Agreement on Preshipment Inspection.
Under WTO rules, Indonesia has 60 days to settle the issue, after which Brazil could escalate the dispute by asking the WTO to set up a panel to adjudicate.
Brazil has brought 26 disputes to the WTO but none against Indonesia. However, Brazil has brought several disputes to challenge restrictions on its chicken exports, including its last dispute, which was against South Africa in 2012. (Source : Reuters)