The European Union (EU) will remove its controversial cap on imports of salmon from Chile, the Chilean government has claimed, heading off a potentially long-running World Trade Organisation (WTO) battle.

Chile's foreign minister Ignacio Walker said the restrictions would soon be scrapped, adding that he was "happy and satisfied". The claim has sparked speculation over whether the European Commission will also lift restrictive import quotas and minimum prices on farmed salmon from Iceland, Norway and the Faeroe Islands.

These were imposed to protect Irish and Scottish salmon producers against alleged surges in cheap salmon exports, sparking formal complaints at the WTO about the EU breaking trade treaty commitments.