THE UNITED States and Mexico have headed off a poultry trade row. Under NAFTA, standard Mexican tariffs on US poultry exports were scrapped on January 1. However, Mexico feared an export boom and threatened to invoke its right to impose safeguard tariffs on all US chicken. Under a deal, Mexico will admit 50,000 tonnes of US chicken leg quarters duty-free over six months, imposing safeguard tariffs of 98.8 per cent on additional imports. Other US poultry exports enter Mexico duty free.

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