Sugar exports to stay duty free, EU trade czar says

European Union Trade Commissioner Karel de Gucht said he has no plans to launch an investigation into Cambodia’s much-criticized sugarcane plantations after a meeting with Commerce Minister Sun Chanthol in Phnom Penh on Tuesday. Bottom line: Cambodia’s free trade benefits to Europe are safe for the foreseeable future. The news came in the face of Tuesday’s announcement by soft-drinks giant PepsiCo that it was joining rival Coca-Cola in declaring “zero tolerance” for land grabs by sugar suppliers. Now, both companies are starting audits of their supply chains, checks that will reach Cambodia. But Mr. de Gucht said the E.U. has no plans to investigate the plantations. He was in Cambodia Tuesday between stops in Vietnam and Burma to promote E.U. trade with Asean member states. … Instead of an investigation, the E.U.’s delegation to Cambodia has started talks with the government. The E.U. hopes to convince the government to find a comprehensive solution for the thousands of families that lost land to sugarcane plantations. Mr. de Gucht called the talks “a major step.” But after three meetings, the two sides have yet to agree on just how many families have legitimate claims. Asked how far apart Cambodia and the E.U. were on this number, the trade commissioner said it was too soon to say. He said he hoped to bring in two independent experts to help sort out frivolous claims from legitimate ones. …

Zsombor Peter
http://www.cambodiadaily.com/news/sugar-exports-to-stay-duty-free-eu-trade-czar-says-54447/