P.M. seeking trade view

Press, Volume CXVI, Issue 34128, 14 April 1976, Page 2

P.M. seeking trade view

(From DAVID BARBER, N.Z.P.A. staff correspondent) LONDON, April 13. The Prime Minister (Mr Muldoon) will suggest a five-year trading agreement between New Zealand and the European Economic Community to the British Prime Minister (Mr Callaghan) today.

Such an arrangement, negotiated directly between New Zealand and the E.E.C. without Britain as a “gobetween” as at present, would end the constant negotiations about access to the Community for New Zealand products.

It would give New Zealand the stability needed for longrange export planning. Mr Muldoon accepts that now might not be the right time to press for such an agreement, in view of the controversy about New Zealand’s butter quotas for the British market in 1978-80 and the critical dairy-product surplus in the E.E.C.

But he believes the time for such an arrangement

Ampol founder dead

might not be too far off, and, he wants to sound out Mr Callaghan’s views. Mr Muldoon might also raise the question with Mr Roy Jenkins, the British Home Secretary, who is being strongly tipped to become President of the E.E.C. Commission next year.

The two men, who will meet today, are friends.

Mr Muldoon said yesterday that Mr Jenkins understood the New Zealand position. “If he took the European job, we would regard that as very', very satisfactory in terms of New Zealand’s problems.” Mr Muldoon began his British visit yesterday by calling on the Queen at Windsor (he had a private audience and lunch with members of the Royal Family), being sworn in as a Privy Councillor, and making speeches on trade and foreign policy—shrugging off a small anti-apartheid demonstration outside New Zealand House in the process.

He will have his first meeting with Mr Callaghan today. He has already indicated that he is seeking assurances that the new Callaghan Administration will continue to fight for New Zealand’s interests in Europe. Mr Muldoon yesterday made clear his impatience with the E.E.C.’s delay in approving the 1978-80 butter quotas, which should have been settled last year. But he believes there is a general acceptance in Europe of New Zealand’s position and that the 1978-80 arrangements must be followed by a long-term agreement. The main features of Mr Muldoon’s speeches yesterday were two warnings:— That Britain would suffer if New Zealand were forced out of European trade. That New Zealand, as well as being in economic trouble, faced a potential threat from Russian nuclear missiles, which could reach New Zealand as easily as London or New York.

New Zealand contributed in no small way to the economic life of Britain because much of its trade was handled by British companies, carried in British ships, and financed and insured by British interests, he said. Of the Russian missiles, Mr Muldoon told the Foreign Affairs Club that he had no reason to believe any were actually aimed at New Zealand. But they could be. In allowing American nuclear-powered naval vessels to enter New Zealand waters, the Government was trying to cement the A'N.Z.U.S. Pact, he said later.

The founder of Ampol Petroleum, Sir William Gaston Walkley, has died in hospital in Sydney. Sir William died in the Manly District Hospital, aged 79. A spokesman for Ampol says Sir Wiliam en-i tered hospital early in February after becoming ill on a Pacific cruise.—Sydney.