Friday, April 9, 1999 Published at 19:28 GMT 20:28 UK
Business: The Economy
Scottish cashmere jobs saved
Cashmere has become a casualty of the banana war
The cashmere industry in the Scottish borders is celebrating a US decision to remove its products from a list of targeted goods in the so-called "bananas war".
A range of other European products had also been singled out for the same treatment.
Managing Director of Scottish cashmere firm Clan Douglas, Columba Reid, said: "I am glad that everyone has finally come to their senses."
Scottish Secretary Donald Dewar welcomed the decision.
"It is a major boost - not just for the producers, but for retailers as well. In total 2.000 Scottish jobs depend on the industry.
"We worked long and hard for this result. I visited the States personally and held meetings with President Clinton and his most senior ministers."
The US has issued a final target list designed to bring in tariffs of $191.4m on European imports ranging from French handbags to German coffee-makers.
The US has complained that the European Union (EU) is penalising Latin American banana producers by favouring Caribbean companies.
However, the EU still has the option of an appeal to the WTO.
Caribbean producers have warned that the WTO's decision could inflict lasting damage on their fragile economies.
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