U.S. SENATE HITS EC OILS TAX, VOWS RETALIATION The Senate voted to condemn the proposed European common market tax on vegetable and marine fats and oils and said it would result in retaliation. The non-binding Senate resolution, a sense of Senate sentiment, was approved on a 99 to 0 vote. "The administration should communicate to the European Community the message that the United States will view the establishment of such a tax as inconsistent with the European Community's obligations under the General Agreement on Tariffs and Trade that will result in the adoption of strong and immediate countermeasures," the resolution stated. The resolution said the European Community Commission has proposed establishing a consumption tax on vegetable and fish oils and fats in conjunction with the setting of farm prices for the 1987/1988 EC marketing year. The Senate said the tax would amount to almost 90 pct of the current price of soyoil and "have a restrictive effect" on U.S. exports of soybeans and vegetable oils to the EC. It would be "blatantly inconsistent" with obligations of the EC under the General Agreement on Tariffs and Trade, GATT, the resolution said, and "constitute another egregious attempt" to impose EC agricultural costs on trading partners.