INTERNATIONAL TRADE PACT

Press, Volume LXXXIX, Issue 27169, 13 October 1953, Page 3

INTERNATIONAL TRADE PACT

MOVES FOR CHANGES IN G.A.T.T. POSSIBILITY OF REVIEW SEEN BY MINISTER (New Zealand Press Association) WELLINGTON, October 12. Proposals had been made in various quarters on the need for some modification of the provisions of the General Agreement on Tariffs and Trade, and it seemed not unlikely that the agreement would be reviewed within the next 12 or 18 months, said the Minister of Customs (Mr C. M. Bowden) tonight. The Minister, commenting on the cabled report of the decision of the Conservative Party conference at Margate on G.A.T.T., said that he had no information about the terms of the resolution that had apparently been submitted to the conference.

In the ordinary course, he said, it could have been expected that this present session of the G.A.T.T. meeting in Geneva would have been accompanied by a major tariff-negotiat-ing session—similar to that at Torquay in 1950—but no major negotiations were undertaken this time, as the United States first wished to settle its future economic policy. “This is now under consideration, and it is expected that in March, 1954, a report may be available from the Randall commission, set up by Congress, as to the likely lines of future policy. It would obviously have been unwise to have attempted any major tariff negotiations until there was some certainty as to the future economic policy of the United States.” “Real Benefits” Most of the comment on G.A.A.T. suggested that it was of doubtful value, but even though it might have some disadvantages, perhaps because of too great rigidity, nevertheless it had given some real benefits. It had established a mechanism for the exchange of tariff concessions and a code of conduct for the practice of international trade. “These are important achievements and although we must examine fully the need for reform or change in G.A.T.T. we must be careful not to lose the benefit of that code and of the useful exchange of tariff concessions,” said the Minister. “In cabled rep6rts reference is also made to a proposal the United Kingdom has made to the present G.A.T.T. session, which New Zealand is supporting, for a waiver which would allow the United Kingdom to increase the duty on certain foreign products while retaining free entry for imports from Empire sources,’ 1 he added. “The proposal does not extend to those commodities which have been bound by the United Kingdom. “It applies to certain agricultural products in which Commonwealth countries have no substantial interests but which are important to many European countries. The ' United Kingdom Government considers that duties are necessary to protect its own domestic producers. The proposal is now before a committee, and I very much hope that a solution acceptable to both the United Kingdom and the European countries can be found.”