Offer to Japan: tariff cuts for dairy access

Press, Volume CXI, Issue 32666, 23 July 1971, Page 1

Offer to Japan: tariff cuts for dairy access

iN.Z.P.A. Staff Correspondent)

TOKYO, July 22.

The Minister of Industries and Commerce (Mr Shelton) today firmly indicated that New Zealand would cut tariffs on Japanese imports if Japan would lower barriers on New Zealand primary exports.

He told the Japan-New Zealand Society that New Zealand was ready’ to discuss this in official talks with the Japanese Government.

Mr Shelton said later that he had suggested such talks to the newly-appointed Japanese Minister of International Trade and Industry (Mr Kakuei Tanaka).

In the speech, Mr Shelton said the New Zealand structure of tariffs and preferences was bound to be reexamined if Britain entered the E.E.C.

“Any discussions on improving access to the Japanese market for our goods would, of course, in our interests and yours, include consideration of the tariffs and preferences affecting Japanese goods coming on to the New Zealand market.”

Japanese Government and industry officials have long protested that the preferential tariff on British goods has prevented Japan competing fairly on the New Zealand market, and has hindered a more rapid expansion of two-way trade. Mr Shelton said the New

Zealand Government’s moves to abolish most quantitative import controls in five years and re-examine its tariff structure would create new and expanded opportunities for the entry of Japanese goods to New Zealand. "We would consider it in our interest and in yours if agreements could be reached to bring greater certainty to the supply of New Zealand foodstuffs to the Japanese market.”

The Minister said New Zealand had no doubt that arrangements could be reached that would provide Japan with quality foods at reasonable prices, and at the same time take into account Japan’s need to sustain an efficient agricultural sector. “We believe that Japanese

producers need not be afraid of sensible increases in imports, given the potential size of Japan’s market for high quality protein food.” He welcomed the recent trend towards import liberalisation in Japan and an international trade and industry White Paper supporting international economic rationalisation. The Minister said a recent statement by the Agriculture Minister (Mr Munenori Akagi) was heartening. Mr Akagi was reported! as saying that liberalisation-of agricultural imports was bound to be accelerated.

Mr Shelton told the society that while recent negotiations on Britain’s entry, to the E.E.C. had avoided disaster for New Zealand,- she would still have to find new markets for some of her traditional pastoral exports. Both Japan and New Zealand had reached a point where changes in pattern of production and trade would occur, and there were considerable opportunities for expansion of two-way trade. Mr Shelton, who is making a five-day visit to Tokyo, noted that trade between the two countries had nearly trebled to slB4m in the last five years. Japan now supplied more than 8 per cent of New Zealand’s imports, and took almost 10 per cent of her exports.