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Decisions of the Appellate Body of the World Trade Organization
Current Survey

European Communities--Measures Affecting the Importation of Certain Poultry Products

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Joel P. Trachtman*

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Full text of WTO Appellate Body Report on WTO web site

WTO Appellate Body Report: European Communities--Measures Affecting the Importation of Certain Poultry Products, AB-1998-3, WT/DS69/AB/R (98-0000), adopted by Dispute Settlement Body, 23 July 1998. Brazil, Appellant/Appellee; European Communities, Appellant/Appellee; Thailand and the United States, Third Participants. Division: Bacchus, El- Naggar and Feliciano. Major Topics Addressed by Appellate Body: Law Applicable by WTO Dispute Resolution Panel; Interpretation of Schedule; MFN Nature of Quota Allocation.

1. Abstract

In this case, Brazil was complaining about the allocation to it of an EC tariff quota relating to frozen poultry meat. The dispute involved the interpretation of the EC’s tariff schedule and its relationship with a separate agreement entered into between the EC and Brazil. The Appellate Body found, importantly, that the separate agreement was not a part of WTO law within its jurisdiction, and instead, interpreted the relevant tariff schedule. The Appellate Body found that the tariff schedule provided for MFN (most favored nation) non-discriminatory treatment, denying Brazil the preferential treatment it sought. The Appellate Body further found that the EC’s administration of this tariff quota did not violate the Import Licensing Agreement.

The Appellate Body found that, despite art. 17 of the Dispute Settlement Understanding (DSU), it could review legal issues that the panel, in pursuit of judicial economy, had not addressed.

Finally, the Appellate Body interpreted the provisions regarding a special safeguard mechanism in the Agreement on Agriculture, finding that the prices necessary to be calculated to determine whether invocation of the safeguard is appropriate must be calculated without reference to customs duties.


Top Of Page * Professor of International Law, The Fletcher School of Law and Diplomacy, Tufts University, Medford, Massachusetts 02155, USA.

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