Question
In 1975, Australia committed itself in a GATT tariff binding 3 to reduce its former 20 percent ad valorem tariff on salmon to 10 percent.
In 1975, Australia committed itself in a GATT tariff binding3to reduce its former 20 percent ad valorem tariff on "salmon" to 10 percent. In 2015, approximately 36,000 tons of fresh or frozen, wild salmon (caught live in North West Pacific Ocean) wasimported into Australia from Canada and the United States. Another 1.5 tons of wild salmon caught in the Atlantic Ocean was imported from European Union countries. While Australia has no native wild salmon of its own, it does have an ocean fishing industry that focuses on tuna, herring, and swordfish. It also has a growing fish farming industry that produces "farm-raised" salmon, as well as other species of fish for human consumption.
On June 1, 2016, the Australian Minister of Natural Resources announced the adoption of two measures directed at the importation of salmon. The Government has asserted that the measures are necessary to avoid the spread of parasites that could potentially harm native fish populations, and the health of consumers. It is well established that about 10% of live salmon caught in the wild carry certain parasites. The incidence of infestation is approximately the same for fish harvested in the Atlantic and Pacific fishing grounds.
First, Australia imposed a ban on the importation of uncooked, fresh or frozen, wild salmon from the Northern Pacific Ocean region. All of the affected salmon is harvested by Canadian, Russian and U.S. based fishing industries. Second, all imported farm raised salmon is required to undergo heat treatment prior to retail sale in Australia. Australia's burgeoning fish farming industry currently faces stiff competition from a number of other nations. Australian fish farmers are exempted from the heat treatment requirements.
Analyze the fact pattern above to identify and articulate claims that the United States, Canada, and Russia might raise before a GATT dispute settlement panel.
How does the WTO resolve disputes between member states concerning their various legal obligations? Assume that a WTO dispute settlement panel finds that Australia's measures violate the GATT agreement. What remedies are available to the complaining states? How are GATT obligations and dispute settlement decisions enforced?
There are no graphs, or other information to provide. This is the sole information provided in the textbook.
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