Ecuador’s President Rafael Correa recently announced its decision to limit the importation of around 25 product categories, including perfumes.
The president criticized the importation of too many expensive products in 2008. He expressed his dissatisfaction with the importation of candies worth about 65 million U.S. dollars, cell phones worth 250 million dollars, vehicles and auto parts worth 1.121 billion dollars, and 100 million dollars worth of perfumes.
Finance Minister Maria Elsa Viteri confirmed Ecuador’s government is planning to raise duties on some imports.
The country’s business leaders criticized proposed import restrictions, warning the measure could worsen the country’s trade. Cesar Espinosa, leader of the Chamber Council of Production (Consejo de Cámaras de la Producción), said the World Trade Organization (WTO) may question the restrictions, and that Ecuador’s trade partners may restrict adopt retaliatory measures.
Partly dependent on oil exports, the Ecuadorian economy has been harshly affected by the recent fall of crude oil prices.