UPDATE - EU court says French ban on British beef is illegal
Date: 14-Dec-01
Country: LUXEMBOURG
Author: Greg Frost
"The court declares unlawful France's refusal to lift the ban on correctly marked or labelled imports of British beef and veal from 30 December 1999," the European Court of Justice said in a statement.
In a legal twist, the panel of judges found that the EU rules governing the resumption of British beef exports were "unclear", and as a result the judges ordered both France and the European Commission to shoulder the costs of the case.
The court also stressed the importance of a reliable tracing system to protect public health.
The ruling by the court is final and cannot be appealed, meaning that French Prime Minister Lionel Jospin's government will now have to choose whether to end the ban or face the prospect of more legal action that could result in huge fines.
The case stems from France's refusal to comply with a European Commission decision in 1999 to ease a 3-1/2 year worldwide embargo on British beef exports, imposed over fears about mad cow disease.
France's choice to maintain a unilateral embargo sparked a trade row, with British farmers threatening tit-for-tat bans on French goods. Ultimately, the Commission sued France to try to force it to respect EU law.
COMMISSION EXPECTS FRANCE TO LIFT BAN
EU health commissioner David Byrne welcomed the court ruling and said he expected France to implement it.
"The decision vindicates the Commission's policies and stance. I expect France to implement the judgment and lift the ban on the import of British beef," he said in a statement.
If Paris were to defy the court - a distinct possibility given French farmers' political clout and the approaching presidential elections - the Commission could ask the judges to fine France for breaking the law.
The power to impose fines is considered the ultimate sanction for the Commission. It can only be invoked after the European Court of Justice has already ruled once against the country after a lengthy hearing.
Only one of the EU's 15 member states has been fined in this way to date. Greece was subjected to a daily penalty of 20,000 euros ($17,950) last year after the court ruled that it was ignoring EU environmental laws.
The Commission stopped fining Greece last July but not before it had collected 5.4 million euros from Athens.