N.Z. DAIRY PRODUCE Vital Talks Soon In London And Geneva

Press, Volume CVIII, Issue 31579, 17 January 1968, Page 16

N.Z. DAIRY PRODUCE Vital Talks Soon In London And Geneva

(Special Correspondent N.Z.P.A.) LONDON, Janary 15. The burning question likelv to be answered at the second meeting of the 21-nation G.A.T.T. Dairy Committee m Geneva on Thursday is whether the European Economic Community now has a mandate to discuss fully the New Zealand proposals aimed at bringing back stability and order into the world marketing of dairy produce.

The meeting which is expected to last at least two days, will run parallel to the first meeting of the G.A.T.T. Agricultural Committee set up last November. Informed sources in London say it is likely that New Zealand will “fill in” her proposals, which are fairly flexible. New Zealand has so far tackled the question by putting forward the suggestion that the way of obtaining stability in world markets might be either through a

minimum world selling price or through a food aid scheme. But the E.E.C. has continued to be a stumbling block, mainly because its membercountries France, West Germany, Italy, and the Benelux countries are themselves trying to work towards a common agricultural policy. The existing arrangements within the Common Market are due to be reviewed in 1969. It is suspected that little progress has been made since the dislocation of activities within the Community caused by France’s rejection of British membership. A new factor to emerge since the preliminary meet-

Ing of the Dairy Committee in December is that the United States now has skim milk powder available for sale on world markets. Other talks of great importance to New Zealand, the annual butter quota negotiations with Britain, will open in London early next month, to decide the quantity of butter Britain will buy from New Zealand during the 196869 trading year. The chairman of the New Zealand Dairy Board (Sir Andrew Linton), the deputy chairman (Mr F. L. Onion) and the general manager (Mr A. H. Ward) will attend this, and the I.F.A.P. conference on dairy matters in Honolulu where they will press for an International Dairy Council to govern dairy surpluses. In London, with trade officials from the New Zealand High Commission, they will endeavour to persuade the British authorities to keep their over-all butter quota as low as possible, thus retaining a high proportion of the market for New Zealand. The 1966 New ZealandUnited Kingdom trade agreement gives the Dominion guaranteed access to the British market for at least 170,000 tons of butter a year. Last year New Zealand was granted a butter quota of 176,000 tons, the total quota of butter imports into Britain having been set at 470,000 tons. New Zealand thus obtained a share of about 40 per cent Apart from the butter quota, under the agreement Britain will admit until 1972, without restriction of quantity, imports from New Zealand of beef, veal, lamb, mutton, cheese, skim and buttermilk powders, and casein.