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Gourmet News | Lisa Wolff

WASHINGTON-Talks between the United States and the European Union were under way at press time to strike a compromise concerning the EU's beef-import policy. If the United States accepts the EU proposal to raise its beef import quotas, sanctions in the amount of 100 percent duties on EU products such as Roquefort cheese and Greek rusks could be removed within the next few months.

The European Commission, the governmental body of the EU-member countries, has proposed the new policy for beef products imported from the United States and Canada, according to Gerard Kiley, agricultural councilor for the EU delegation here.

The proposal would triple the quota on imported North American high-quality beef, also known as "Hilton Beef," allowed in EU countries to 30,000 tons from 10,000 tons.

The proposal aims to knock down retaliatory sanctions valued at $17 million imposed by U.S. Trade Representative Charlene Barshefsky, upon permission by the World Trade Organization, more than a year ago.

"We have always said compensation rather than sanctions," said Kiley.

The 12-year-old EU ban on U.S. beef products containing hormones sparked the trade dispute in July 1999. Since then, the EC has continued conducting routine hormone tests on beef imported from EU countries into the United States. Kiley said the EC lifted its "test and hold" policy in early October because U.S. beef exporters had demonstrated compliance with its hormone-free rules.

At press time, the EC awaited reaction to the proposal by the National Cattlemen's Beef Association, Englewood, Colo., which initially filed complaints to the office of the USTR about the EC's beef-import policy.

The USTR also faced a Nov. 18 deadline to devise a revised product hit list under provisions of a new "carousel" clause, tied to disputes over EU trade policies affecting banana and hormone-treated beef trade.

The new clause, enacted in May, requires USTR to rotate product lists tied to the two disputes every six months to pressure European nations into adapting import policies ruled illegal by the WTO.

Kiley said the EU-U.S. Summit Dec. 18 in Washington will likely add to the trade resolution process. "There are hopes on both sides to get the trans-Atlantic disputes out of the way," he said.

Calls to the USTR office were not returned at presstime.

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