Euro-bonds law needs rules to be implemented

01-05-2009 | TAGNIA SHOCRON

tshocron@laestrella.com.pa

The certificates will compensate producers for losing tariff incentives

Panama Star The discussion about how the new incentives are going to be implemented will start today.

The government decided to create the Euro-certificates as a way to compensate producers for losing the entrance to the European Generalised System of Preferences -Plus, after the Ambassador of Panama in Belgium did not file the appropriate papers on time.

Producers are worried about the time it would take to become beneficiaries of the incentives.

“The money will not be constant, but at least it is a way of receiving compensation,” said the president of the Panamanian Exporters Association, Maximo Gallardo.

He explained that to avoid losing the current European contracts the members of his association will discount the difference of the Generalised System of Preferences -Plus from the payment of the transaction.

The Euro-certificates will be valid until the European Union grants the GSP-PLUS again or until June 30, 2010, when Panama can apply again.