Tuesday, August 11, 2009

Trinidad Cement loses tariff case at CCJ

The Caribbean Court of Justice (CCJ) on Monday ruled in favour of the Caribbean Community (CARICOM) Secretariat in a case brought against it by Trinidad Cement Limited (TCL) in which CARICOM was accused of improperly suspending the Common External Tariff (CET) with regards to Jamaican imports in 2008.

But the court found that the a procedural flaw in the authorisation by CARICOM Secretary General Edwin Carrington.

"It was wrong for the Secretary General to accept as a sufficient answer to his inquiry regarding a request for suspension by Jamaica, the response of Trinidad and Tobago that it had ‘no objections’ to Jamaica’s request," the court said.

"The Court also concludes that in the future when the Secretary General takes a decision to authorise a suspension it is a good practice for his authorisation to be supported by a brief statement of the reason or reasons for arriving at his decision,” the five-member court said.

Former St. Lucia Prime Minister Dr. Kenny Anthony, who together with Dominica-born Queen Counsel, Anthony Astaphan, represented the Guyana-based CARICOM Secretariat.

Carrington called the ruling a "compromise judgement" adding that it "seems to me that both sides have something to cheer about."

He told reporters the judgement also provided "some guidance" for regional governments regarding policy making decisions.

TCL had asked the court to quash the decisions of the CARICOM Council for Trade and Economic Development (COTED) and Carrington with respect to the suspension of the tariff on 240,000 metric tonnes of cement imported into Jamaica in 2008.

The Trinidad company, which has operations in Barbados, Guyana and Jamaica, said it considered the suspension of the CET to be "irrational, unreasonable and illegal", asked the CCJ to declare the move "null and void".

It also asked the court to issue a restraining order against CARICOM, as well as to impose a "mandatory injunction against the Community to revoke the suspensions and notify those affected".

In its ruling, the CCJ said it could not find a basis for regarding COTED’s authorisation "as being ultra vires".

The CCJ also said that it was dismissing "all the other claims for relief made by the claimant".

The court noted that TCL acted properly in bringing the action.

"The Court considers that it was important not just to TCL but to the entire private sector in the region that the Court should pronounce on many of these issues that are relevant to suspensions of the CET."

It ordered CARICOM to pay half of the costs of TCL.

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Jai & Sero

Jai & Sero

Our family at home in Toronto 2008

Our family at home in Toronto 2008
Amit, Heather, Fuzz, Aj, Jiv, Shiva, Rampa, Sero, Jai