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| 7/15/2009 12:00:00 AM

Colombia May Sue Ecuador On Trade Safeguards, May Retaliate

Jul 15--he Colombian government plans to sue Ecuador in the Andean Community of Nations and the World Trade Organization if its neighbor don't lift safeguards imposed on products imported from Colombia, Trade Minister Luis Guillermo Plata said Tuesday.

The Ecuadorian government imposed punitive tariffs on Colombian goods July 11, citing the need to protect the country's industry from the competition of a weaker currency in the northern country.

Except that the Colombian peso actually appreciated, Plata said. So far this year, the Colombian peso strengthened 10% compared to the U.S. dollar, which is used as legal tender in Ecuador.

Plata said the Colombian government will continue negotiating with Ecuador to lift the new duties and will start legal proceedings in the Andean Community of Nations and the WTO if the dialogue doesn't produce any results
 
Read more here.
 
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