The Press WEDNESDAY, JUNE 23, 1971. The E.E.C.’s offer

Press, Volume CXI, Issue 32640, 23 June 1971, Page 18

The Press WEDNESDAY, JUNE 23, 1971. The E.E.C.’s offer

If the United Kingdom were to accept the European Economic Community’s present offer on New Zealand dairy produce as part of the terms for entry to the E.E.C., New Zealand would have to find alternative markets after 1978 for 42,500 tons of butter and 60,000 tons of cheese displaced from the United Kingdom market. At present prices, these quantities of produce earn New Zealand nearly $BO million a year in export income. Such quantities certainly could not now be sold anywhere else in the world at profitable prices; and he would be a bold man who would try to predict the market situation seven years hence. Most likely, the New Zealand Dairy Board would have to choose between trying to divert a considerable quantity of butterfat into other dairy products or discouraging the production of butterfat Significant changes in New Zealand’s pattern of farm production, and perhaps in trade patterns, would be required; but they would not be disastrous. However, New Zealand does not have to cross that bridge yet: Mr Rippon has not accepted this first offer from the E.E.C., Mr Marshall has not said that New Zealand would approve Britain’s acceptance, and the United Kingdom Parliament has still to approve any terms negotiated by Mr Rippon’s Government Britain may yet win significant concessions from the Six—meaning France. Mr Rippon’s firm reply to the Six, “ I cannot pretend I am satisfied, ” indicates that he, like Mr Marshall, regards this offer as an opening bid. Mr Marshall, and the New Zealand Cabinet waiting anxiously for his next telephone call, may be tempted to try to extract the last possible ounce of advantage from the present mood of the British electorate. This would be a dangerous policy. For New Zealand to help the United Kingdom win admission to the E.E.C. would be an act of statesmanship; to impose a veto would be an act of incredible folly.