US-India poultry spat continues

At a special meeting of the WTO’s Dispute Settlement Body (DSB) last Tuesday, the US requested the right to suspend concessions against India, alleging that the latter failed to comply with the WTO adjudicators’ findings in last June in a case (DS430) involving a ban on imported poultry.

For its part, India reportedly argued that it has brought its measures into compliance, along with questioning both the legal basis of the US’ request and the level of retaliation requested. The issue has now been referred to arbitration.

Last year, the WTO’s Appellate Body ruled that the import ban was in violation of global trade rules, finding it discriminatory and overly trade-restrictive. The prohibition had been enacted due to alleged concerns over the spread of avian influenza (AI), an infectious virus known commonly as bird/avian flu.

According to India, the new notification brings the country into compliance with WTO rules, allowing other countries to export poultry and poultry products from countries, zones, or compartments free from bird flu. It claims this is consistent with OIE standards, and provides related procedures and guidelines for the imports.

Disagreeing with the compliance claims, the US has requested the right to suspend concessions worth US$450 million for this year, an amount which would be updated annually.