A long-running row over bananas that threatens to derail talks on a new global trade pact simmered on Tuesday with no immediate solution in sight.
The dispute, turning on the terms for European Union imports, pits producers from Latin American countries and the United States against other poor African, Caribbean and Pacific (ACP) countries and the EU.
"I hope we can have contact with some of the banana countries in the next 24 hours and see what prospects there are for working together," a European diplomat told Reuters.
But no formal negotiations were scheduled.
For some producers the row threatens a key economic sector.
They are prepared to block World Trade Organisation (WTO) talks this week seeking a breakthrough in the Doha negotiations for a global trade deal in order to press their demands, just as the banana dispute nearly scuppered Doha's launch in 2001.
"We're ready to walk away if there is nothing on bananas," said a diplomat from Ecuador, the world's top banana exporter.
The EU has lost nearly a dozen trade disputes over bananas. It has now changed its import rules and levies a tariff of 176 euros (140 pounds) a tonne except for fruit from ACP countries, mainly former European colonies, which enjoy duty-free access.
COMPROMISE PROPOSED
Latin American growers say this is still discriminatory.
ACP countries point to the growing Latin American share of the European market and say they need more time to adjust.
WTO chief Pascal Lamy proposed a compromise for the EU and the Latin Americans under which the EU tariff would fall to 116 euros over seven years, with an initial cut of 26 euros.
A "peace clause" would also deem outstanding disputes settled and protect the EU from future challenges to the regime.
