Partial WTO win for Argentina in biodiesel dispute with EU

(GENEVA) - The World Trade Organization on Tuesday ruled partially in favour of Argentina in its dispute with the European Union over duties the EU imposes on imported biodiesel.

Argentina filed the case in 2013 to challenge tariffs that the EU put in place to guard against "dumping", where an imported product is sold at cut-rate prices.

The EU argued that domestic tax breaks allowed Argentinian producers to sell biodiesel at artificially low prices, which it said put European producers at an unfair disadvantage.

The Brussels-based body responded by hitting Argentinian biodiesel with a 24.6 percent tax, which had been due to remain in place for five years.

But a WTO panel of experts found fault with the EU's calculation regarding production costs in Argentina.

"The panel concluded by recommending that the EU bring its measures into conformity with its obligations," under two different international trade deals, a WTO statement said.

The panel however rejected some claims of mistreatment levelled by Buenos Aires and both sides of have 60 days to appeal.

Argentina is the world's top producer of biodiesel, which is primarily made from soybean oil.