‘Breakdown Highlights N.Z. Problems’ Says P.M.

Press, Volume CII, Issue 30044, 31 January 1963, Page 11

‘Breakdown Highlights N.Z. Problems’ Says P.M.

(New Zealand Proas dMoctatton)

WELLINGTON, January 30.

The Prime Minister (Mr Holyoake) is expecting a personal message from the British Prime Minister (Mr Macmillan) following the breaking off of the negotiations for Britain’s entry into the European Economic Community. Mr Holyoake said tonight that he had been advised by the British High Commission in Wellington that such a message was on the way. He also expected to be in touch with the Australian Prime Minister (Mr Menzies). New Zealand is not going to close its Brussels mission, which is headed by Mr K. L. Press, with the rank of Minister to the six nations of the European , Economic Community.

While the mission had been opened in Brussels so that New Zealand's case could be put adequately before the Executive Commission of the Six and their Ministers, the Government realised that there was also a continuing need for contact with “this now very strong and vital trading group," said Mr Holyoake.

The breaking off of the Brussels negotiations would not mean a specific intensification of New Zealand’s overseas trade drive, he said.

An intensification of the export drive had been going on month by month through the Government, the producer boards and private traders. “The Trade Promotion Council is meeting regularly and its work is leading up to a nation-wide conference on export promotion in May.” said Mr Holyoake.

“I don’t think my personal feelings come into it,” Mr Holyoake said when asked whether he was relieved or disappointed at the breaking off of negotiations. Asked if New Zealanders should feel

relieved or disappointed at the outcome of the nego- i tiations, Mr Holyoeke coun- ’ tered: “I am not prepared to comment** Earlier today, Mr Holyoeke J described the breakdown in the Common Market talks as a crisis in which Britain could be assured of New Zealand's , wholehearted sympathy and , support He pledged New Zealand's willingness to work with Britain, New Zealand’s partners in the Commonwealth, and other friendly Governments in seeking alternative solutions. "1 am in no position to comment on the course that the British Government will follow, but I would expect that they will be consulting with us and other Commonwealth and friendly Governments on the situation.** be said. "I am bound to say at the same time that people in New Zealand will welcome this respite from the immediate uncertainties confronting our export markets in Britain,** he said. "Since, however, our prosperity depends so mtahon that of Britain we are intensely concerned about the wider implications of this reje*tion by the Six. •What is now imperative is that all Governments who are interested in promoting the widest possible levels of international trade should consider whs measures can be taken, particularly In the field of trade, to ensure that the break in negotiations does not lead to any fracture in the Western alliance or an undermining of the economic growth and prosperity of m peoples of toe free world." “We believe that way* * UI be found to surmount those difficulties,” Mr Holyoeke said. Major Trade Isoms l New Zealand had a great stake, both political and economic, in toe negotiations between the British and toe community. Many major issues affecting toe future of our trade with Britain and Europe particularly had been raised in the course of toe took every opportunity to make certain that toe probtam of New Zealand were fully Understood and I believe we succeeded to this objective.** ? be said. , „ . Mr Holyoeke mid that in j any new arrangements New t Zealand would conttaue to seek scope for amured secern . foe New Zealand’s exports to t toe markets of Britain ’ America and • other couatrm. . •The Cmmmm Ikmt toTXrtSSi mt futSHSds . in dairy products. which is . of particular concern to New 1 Zealand, one of 1 made by t Se*lfood tad Agrit culture Organisation shew l that if pres ant trends to production and wrarksting eonI time there will be a stto- . stonttsl world surplus a* the ’ KXCL eountrta bave * Baru?wg 1 national agremamCwo have w COOMuI wXD TOr ÜBWCB Kingdom, toe Governments at toe community ata BtaTtamfeese mifet lata" .jajw* «gs*g ja r olftta niSattrtlom at Brasa taw in a ttam wife Bjtainfetta •SES’ESSSL’tafrtmta OBiry JCMORB M 1M postal

from April next until the end of March, IM4, and are very dose to agreement. “The position of our mutton and lamb exports is, however, rather different We have an established market in the United Kingdom and the future growth of that trade is primarily a matter between the United Kingdom and New Zealand. “In this new situation, countrio of too Commonbleme cannot be solved by thi CoflMnonwcftlth Alone, We are ready to consult with Britain, other Commonwealth Governments and friendly Governments about measures which will contribute to the trade development of the countries of the Commonwealth and toe not of the world end wfll, at the same time, provide increased trading opportunities for Britain. “At the moment the General Agreement on Tariffs and Trade to engaged in a consideration of many of those issues and a meeting of Ministers of the GA..T.T. countries is planned for the early part of this year. Moreover, discussions are proceeding

now M tbt UnMed Nettone to prepare for a world conference on trade and development which will bo held eisber later thio year or early next year. New Tee tan ci is a member of this preparatory committee, which is now meeting in New York preparing for this world eonIm saML “These meetings will deal wMh many of the problems which have bam hiehMsMad by foe thmenegoÜBUOtll «41U HXXuCI Nq) IM <4> fhui solutions. “Despite foe suspension of Britain's negotiations with the community and any rewrite foie may afford us, New Zealand intends to press forward vigorously in its efforts to find alternative markets and wider solutions. Te us it has always seemed disturtHnd that tfw EuropAtu Economic Community ©onoept should develop in an inward-looking way. It is no solution to now ffitu attofi which is now being created for the world to retreat into ctoaad ooonomte Wo ata* however, frootijr ancouraged by the attitude of the five at ttrie time,** Mr Holyoake raid.