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ARGUMENTS OF BRAZIL
Applicable Law
4. Any attempt to frame the present case within the scope of the
WTO agreements constitutes an attempt to circumvent the application of the
appropriate law.
Terms of Reference
Burden of Proof
7. On the issue of which party has the burden to prove their case,
Brazil argued that the Philippines, as the party who invoked dispute
settlement provisions, must prove its claims and such burden has not shifted
to Brazil under Article VI of GATT 1994.
Failure to Consult
Subsidy Issues
10. Brazil then argued that its calculation of the level of subsidization
on desiccated coconut was consistent with its obligations under the GATT
1994 and the Tokyo Round SCM Code. Brazil noted that neither Article VI nor
the Tokyo Round SCM Code contained any guidance on the method of
calculation of the amount of the subsidy. Brazil contended that, as long as its
approach reasonably calculated the subsidy bestowed on the exported
product, it was consistent with the GATT 1994.
Injury Issues