E.F.T.A. READY FOE TARIFF TALKS

Press, Volume CIII, Issue 30367, 17 February 1964, Page 11

E.F.T.A. READY FOE TARIFF TALKS

(N.Z.P. A.-Reuter —Copyright) GENEVA, February MMinisters of the seven European Free Trade Area countries today announced agreement on moves to prevent their economies from suffering through tariff cuts negotiated at the forthcoming “Kenpefly round” talks. In the “Kennedy round” opening at Geneva in May the aim is to get a 50 per cent out in all tariffs. But the Common Market countries, which have lower tariffs than

the United States, want “special arrangements” in some cases. The idea is that where their tariffs are much lower, they should be allowed to make a smaller reduction, so as to even out the disparityThus a third country, after cutting its own tariff 50 per cent, might find itself trading with a country which had made only a 20 per cent cut, and E.F.T.A. countries arg, in many cases, likely to be the “third party” involved. The E.F.T.A. Ministers, from Britain, Austria, Denmark, Norway, Sweden, Portugal

and Denmark, issued a communique today after their two-day meeting at Geneva.

The E.F.T.A. Ministers want the number of disparity cases cut to ap absolute minimum go that a 50 per cent cut remains as comprehensive as possible, the communique said. E.F.T.Acountries have pot asked for any special arrangements to deal With tariff disparities between themselves and other industrial countries. The Ministers reaffirmed their determination to do all in their power fo obtain the 50 per cent over-all cut—subject

to adequate reciprocity for their countries’ exports, the communique said.

E.F.T.A.’s contribution depended on whatever arrangements could be made for trade in agricultural goods, since many E.F.T.A. countries lean heavily on their agricultural exports. The 50 per cent reduction would have "great value” for aH E.F.T.A- countries, and would particularly benefit intraEuropean trade, ih which E.F.T.A. exports about 6000 m dqllars’ worth of goods to the Common Market and the Common Market 8000 m dol-

lars’ worth to E.F.T.A. countries, the communique said. On international matters, the Ministers agreed that following the reduction, of E.F.T.A. industrial tariff® by 40 per cerit, increasing attention must be given to impediments to trade within the association. They agreed on the need for the widest possible industrial standardisation, and decided that this cou}d usefully be promoted by close consultation among E.F-TA. Governments, the communique said. The next Ministerial meeting will be held in Edinburgh to July.