WTO approves pro-PHL ruling in tobacco row with Thailand

The World Trade Organization (WTO) Dispute Settlement Body has adopted a ruling that upholds Philippine claims that Thailand has failed to respect its tobacco-related WTO commitments, the Department of Foreign Affairs (DFA) said Tuesday.

This development is the final step in the dispute settlement proceedings, the DFA noted.

The panel ruling is connected to the complaint that the Philippines filed before the WTO in 2008, saying Bangkok violated WTO rules to protect its state-owned tobacco monopoly by designating higher customs values for Philippine cigarette exports and jacking up the maximum retail prices on imported cigarettes.

Foreign Affairs Secretary Albert del Rosario said the Philippines welcomes and is satisfied with the adoption of the panel and appellate body reports on the dispute.

“The Philippines prevailed on virtually all the claims it made in this dispute. But this is not about counting victories. This is about providing fair treatment for Philippine exports that directly and indirectly benefit many Filipinos from leaf growing through to manufacturing," del Rosario said.

Del Rosario also said the Philippine’s objective for initiating the dispute was “to end discriminatory treatment, and to put exporting trade back on the secure and predictable ground of the rule of WTO law."