SIX CHANGE POLICY

Press, Volume CI, Issue 29844, 9 June 1962, Page 11

SIX CHANGE POLICY

World Agreements On Food Sought (N^ZJ’.A.-Reuter— Copyright) BRUSSELS, June 8. The possibility of calling an international conference to speed world-wide. agreements for cereals and other important farm produce was discussed by Britain and the Common Market yesterday, well-informed sources said in Brussels today. Britain had demanded that Canada, Australia and New Zealand be given comparable outlets for their farm exports if Britain joined the Common Market.

The Six considered that it would be better to see what ultimate solutions could be found before discussions began on transitional arrangements for Canadian. Australian and New Zealand exports of cereals, meat and dairy produce, the sources said. They said that the discussion was still in its initial stages and that no definite conclusions had been reached. The Common Market sprang a shock proposal on Britain with its suggestion that instead of planning safeguards for Commonwealth food exports an attempt should be made at once to plan world agreements, the “Daily Express’’ said in London.

"There are dangers in this proposal. It could be a scheme to side-track Britain’s attempts to get guaranteed markets in Europe for the temperate foods exported by the Commonwealth countries,” the newspaper said. Finding these markets was accepted as the most difficult problem to be solved by the British negotiators in Brussels.

The Commonwealth countries were all willing to be parties to world agreements that would give them reasonable prices and markets for their food products. But they need to be convinced that these agreements would work satisfactorily and could

be ready by the time Commonwealth preferences disappeared in 1970 if Britain joined the Common Market, the newspaper said. "Now this surprise move will have to be considered by the Cabinet before the talks in Brussels can continue.”

The “Daily Express” said that the British negotiators had met the experts from the Six yesterday prepared for a "wrangle about grain imports, but instead of joining in a slogging match about quotas.” the Six had “switched to another tack.”

The “Daily Telegraph” said that Britain had asked the Six to agree that about 1.000.000 tons of Australian wheat and 4.000.000 tons of Canadian wheat and flour should be exported to the enlarged market after Britain’s entry It had suggested that the Common Market should allow exports to continue up to these levels until a worldwide wheat agreement could be negotiated. The first reaction of the Six was that they thought some such arrangement could continue until 1970. the newspaper said. A representative of the Six said: “We and the British Government recognise that this is the crux of the whole negotiations for Britain's entry

‘The problem of New Zealand lamb and butter exports to Britain can be dealt with in a different way. “But the very large exports of Australian and Canadian wheat proposed by Britain present the Six with a grave difficulty,” the representative said according to the “Daily Telegraph.” He said that they hoped to agree on a compromise figure to be put forward at the end of this month. If it was approved they would be over “the hump of the negotiations. There is no other really serious obstacle.” The sources said Britain had submitted modified proposals for the common external tariff of the enlarged community to be reduced to nil on six food items, including fresh salmon, fresh grapes, tinned salmon and tinned lobster. On all other processed foods for which Britain had originally asked a nil tariff, including tinned fruit, she now proposed a tariff of six to 12 per cent, for the enlarged community.

Australia had been consulted on this proposal, the sources said. On Australian, New Zealand and Canadian processed food exports for which there was a tariff in Britain, arrangements should be made to ensure that exports would not decline as a result of Britain’s membership of the Common Market. Britain had proposed dutyfree or preference quotas for these products in the British market The quotas would remain valid until January 1, 1970, and then be reviewed, the sources said.