The Brazilian government has launched the first stage of dispute proceedings at the World Trade Organisation (WTO) in a complaint against the European Union (EU).
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Brazil accuses the EU of breaking global commerce rules through changes to customs classification of salted frozen boneless chicken cuts. New regulations unite consignments with salt content of 1.2% with another classification for unsalted frozen chicken, for which duty is much higher (€102.4/100kg/net) (US$99.7/100kg/net) than it was for the salted chicken designation that previously covered these imports (15.4% ad valorem).
As a result, claims Brazil, the EU has unilaterally removed benefits it gained in the 1994 General Agreement on Tariffs and Trade (GATT).
