SA challenges EU on citrus export curb

South Africa has taken a preliminary step toward filing a complaint with the World Trade Organisation (WTO) against the European Union (EU) over its treatment of citrus imports from the country.

Two years ago, the EU imposed requirements for additional refrigeration of incoming fruit from SA, which lags behind only Spain as an exporter of the produce, to combat incidences of Citrus Black Spot, a fungal disease that leaves dark spots on fruit. Last year, SA shipped $644 million (about R12 billion) of citrus such as oranges, lemons, grapefruit and mandarins to the EU, according to the Agricultural Business Chamber of South Africa.

The EU’s moves increased costs and slashed shipments from SA, which competes with Spain for the citrus market. SA maintains that citrus black spot, while causing blemishes on the fruit skin, doesn’t affect the quality. It has also said that shipments to Europe have been falsely classified as being tainted with the disease.

“The action was initiated to find a lasting solution to the EU’s phytosanitary regulations,” SA’s trade and agriculture departments said on Monday.

The EU has now been sent an official demand for consultations by SA over the measures that will be overseen by the WTO, the sources said, asking not to be identified as a public statement is yet to be made. This is a step toward filing a case. The dispute dates back to July 2022 with the Citrus Growers Association of Southern Africa last year saying it would cost the industry over R500 million in lost exports as it couldn’t access enough specialised refrigerated containers in time to get the fruit to the European market.

“The industry can’t afford the almost R2 billion needed to comply with the EU’s trade restrictive regulations,” Agriculture and Land Affairs Minister Thoko Didiza said.

The EU mission to SA acknowledged requests for comment but are yet to respond. The WTO said it’s yet to be notified.