Croatia and Serbia are on the Verge of a Trade War
Croatia and Serbia are facing a trade war on taxes on imports of fruit and vegetables, Daily Express newspaper quoted by FOCUS.
The dispute between the two countries escalated after Zagreb has increased the tax of its imports of fruit and vegetables from Serbia by 220%. The Croatian authorities have explained that the reason for the decision is the need to improve the quality of imported goods and is not intended to harm economic relations with neighboring countries. The country also added that compliance with EU standards and consumer protection are among the main reasons for the changes. Meanwhile, ministers from Serbia, Macedonia and Montenegro, as well as from Bosnia and Herzegovina, met in Sarajevo and discussed the issue.
"These measures are completely protectionist in the economic sense, politically they are populist and can not be justified, they are not in the spirit of good neighborly relations," said Serbian Trade Minister Rasim Ljajic. Ministers from the four Balkan countries have urged Zagreb to reverse its decision and ask the European Commission to intervene to resolve the issue they think violates free trade principles.
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