The European Union has lowered its proposed import duty on bananas after a World Trade Organisation (WTO) panel ruled that the previous figure discriminated against Latin America, the victor over Europe in the 1990s "banana wars".
Last year, the EU said it wanted €230 a tonne as its entry duty for bananas in a single-tariff regime that it has pledged to bring into force from January 2006 - a deal that was agreed some years ago that ended the long-running dispute.
The EU tariff has now been reduced to €187.
"We believe this new tariff meets all the requirements on the WTO and the Latin Americans, and will restore their access to the European market," said Michael Mann, agriculture spokesman at the European Commission.
US trade officials in Washington said they were "very disappointed" that the EU's proposed new tariff was not significantly lower than its earlier one.
If the Latin Americans remain unsatisfied with the EU's latest figure, they can request a second arbitration round within 30 days to determine whether the EU "has rectified the matter". A second ruling would be binding on both parties.
More arbitration looks inevitable, especially given the reactions to the latest proposal from Latin America for a duty of no more than €75.
