Brussels steps up diplomacy

A European Union delegation headed by Romano Prodi, President of the European Commission, began three days of talks in the Middle East on 17 November 2001. The visit is part of the EU's policy of 'relay diplomacy' designed to prevent any diplomatic vacuum from emerging until the United States unveils its new strategy concerning the Israeli-Palestinian conflict. The EU will also raise the issue of 'rules of origin', a long-standing dispute between the Union and Israel. The dispute concerns products Israel exports to the EU from the occupied territories. Israel labels these products 'Made in Israel', enabling it to take advantage of preferential tariffs. Some EU officials argue that this is illegal and the European Commission now wishes to take the matter to arbitration.