EC proposes new NZ butter import rules
EU - The EC has proposed new import arrangements for New Zealand butter in order to avoid 'discriminatory practices'.The Commission said that the new system respects the judgment of the European Court of Justice - which in July ruled the previous system to be discriminatory - and also meets the concerns raised by New Zealand.
The new regime, which was drawn up following lengthy consultations with Wellington, will attribute 55 per cent of import licences to traditional importers of New Zealand butter and 45 per cent to newcomers.
It will be proposed to the Council to reduce the in-quota tariff by 19.43 per cent and to modify slightly the butterfat specifications. In a case brought by a German dairy company, the European Court in July ruled the existing arrangements discriminatory, as import licences for New Zealand butter were only issued to subsidiaries of the Fonterra company, which enjoys an export monopoly in New Zealand.
Source: Food Navigator