Dominican Republic pledges to lift tariff on Central American products

GENEVA. – Dominican Republic today pledged compliance with the World Trade Organization’s (WTO) ruling against tariffs levied of imports of tubular weave and plastic sacks from Central American nations, Efe reports.

The ODS, WTO’s arbitration arm said it will follow up on the application of its recommendations to the Dominican commitment, to "immediately apply and in any event, before April 30," regarding its obligations as a WTO Member State.

On February 22 the OSD had adopted a report’s conclusion on Dominican Republic’s failure to adhere to its trade obligations, with a levy as high as 38% to those Central American imports, used as packing material for agro-industrial, foods and industrial products.

The decision stems from a complaint by Costa Rica, Guatemala, Honduras and El Salvador against the tariff, which Dominican Republic sought to justify by citing the WTO’s Safeguards agreement allowing temporary levies to protect local products, but they countered by showing that the alleged damage couldn’t be proved.