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GENEVA--Brazil has expressed its concern about a U.S. proposal, which could lead to the creation of an official mark for the labeling of tuna products deemed "dolphin-safe."

Brazil told a Feb. 25 meeting of the World Trade Organization's committee on technical barriers to trade that it was unclear whether the proposed U.S. mark would be made obligatory or not. Brazil reiterated its position that any eco-label marks should only be applied on a voluntary basis in order to avoid them becoming a barrier to trade.

Eco-labeling schemes "should be thoroughly discussed and analyzed in this committee since they can represent an important precedent to like initiatives in this area which could be prejudicial to developing countries," Brazil declared. U.S. officials told the committee they would pass Brazil's concerns on to Washington.

Last month the United States notified the WTO of a proposal from the National Oceanic and Atmospheric Administration to implement provisions of the International Dolphin Conservation Program Act. The act requires the U.S. Commerce Secretary to develop an official mark which would allow consumers to distinguish dolphin-safe tuna products (tuna caught in nets which allow dolphins to escape) from products that are not certified as dolphin-safe.

Earlier U.S. efforts to impose restrictions on tuna imports not certified as dolphin-safe came under fire from trading partners in the GATT, the WTO's predecessor. In a 1991 decision condemned by environmentalists, a GATT panel upheld a complaint from Mexico that a U.S. ban on yellowfin tuna imports harvested with purse-seine nets was not justified under GATT rules allowing trade restrictions necessary to protect animals or preserve natural resources. A similar complaint against the U.S. ban brought by the European Union was also upheld by a panel in 1994.

The rulings however were never formally adopted, since GATT rules allowed the United States to veto the decisions. Under current WTO rules, panel or Appellate Body decisions can only be blocked by a consensus of all members.

Custom Jewelry Exports

Thailand and South Korea hit out Feb. 25 at a proposed amendment to U.S. Africa trade legislation, which it said would adversely affect its exports of custom jewelry to the United States. Thai officials told a meeting of the WTO's committee on technical barriers to trade that an amendment to the bill is being proposed by a senator from Rhode Island--the center of the U.S. custom jewelry industry--which would require all imported jewelry to have the country of origin carved or stamped on the product in English.

Thailand complained that the requirement would pose an unnecessary and expensive burden on its manufacturers given that the country of origin is already indicated on the product packaging, with South Korea echoing the Thai concerns. U.S. officials noted that the bill is still going through the consultation phase but that they would convey the two country's concerns back to Washington.

By Daniel Pruzin

Copyright c 2000 by The Bureau of National Affairs, Inc., Washington D.C.: