Chile – Price Band System and Safeguard Measures Relating to Certain Agricultural Products - Recourse by Argentina to Article 21.5 of the Understanding on Rules and Procedures Governing the Settlement of Disputes (WT/DS207): Report of the Panel

Summary

INTRODUCTION

On 29 December 2005, Argentina requested the establishment of a panel pursuant to Article 21.5 of the Understanding on Rules and Procedures Governing the Settlement of Disputes (hereinafter “DSU”) concerning Chile's alleged failure to implement the recommendations and rulings of the Dispute Settlement Body (hereinafter “DSB”) in the dispute Chile – Price Band System and Safeguard Measures Relating to Certain Agricultural Products (hereinafter “Chile – Price Band System”).

At its meeting on 20 January 2006, the DSB decided, in accordance with Article 21.5 of the DSU, to refer to the original Panel, if possible, the matter raised by Argentina in document WT/DS207/18. At that meeting, the parties to the dispute also agreed that the Panel should have standard terms of reference. The terms of reference are, therefore, the following:

“To examine, in the light of the relevant provisions of the covered agreements cited by Argentina in document WT/DS207/18, the matter referred to the DSB by Argentina in that document, and to make such findings as will assist the DSB in making the recommendations or in giving the rulings provided for in those agreements.”

On 4 April 2006, the parties agreed that the Panel would be composed as follows:

Chairman: Mr Hardeep Puri

Members: Mr Ho-Young Ahn

Mr Timothy Groser

Australia, Brazil, Canada, China, Colombia, the European Communities, Peru, Thailand and the United States reserved their rights to participate in the Panel proceedings as third parties.

The Panel met with the parties on 1 and 2 August 2006. It met with the third parties on 2 August 2006. The Panel issued the draft descriptive part of its report to the parties on 27 September 2006. On the same date, third parties were also sent a copy of the annexes that contained their respective submissions and oral statements. On 2 October 2006, both parties submitted comments to the draft descriptive part of the report. On 4 October 2006, the United States requested a correction into the annex that contains its oral statement made at the meeting with the Panel. The Panel issued its interim report to the parties on 11 October 2006.