Suzuki-Talboys talks end in deadlock

Press, 23 February 1978, Page 1

Suzuki-Talboys talks end in deadlock

>A Wellington Talks between the Deputy Prime Minister (Mr Taiboys) and the former Japanese Minister of Agriculture (Mr Suzuki) ended last evening without agreement on removing trade barriers between the two countries. The impasse means that it is highly unlikely that Japan will be able to fish in New Zealand’s extended 200-mile zone when it comes into force on April 1 New Zealand remains adamant that fishing negotiations will not start until Japan makes some concessions for Nev, 7 Zealand agricultural exports. The only concession the Japanese have made so .'ar is to remove the 10 per cent duty on squid exported to Japan by joint Japanese-New Zealand fishing ventures. But the duty and quotes on other squid and fish such as jack mackerel remain. Mr Taiboys and Mr Suzuki spent about an hour together talking ‘as one politician to another.” “We did not make any further progress,” Mr Taiboys told journalists after their meeting. Asked if the talks had failed, Mr Taiboys said: “Well, we haven’t got

what we have been seeking.” Mr Taiboys will report on his talks with Mr Suzuki to the next Cabinet meeting on Monday. “I am disappointed that there is not a greater indication of movement on the part of the Japanese.” he said. The only hope that Mr Suzuki seemed to hold out for New Zealand’s increasing its sales to Japan was in the sale of milk powder for school lunches, and the sale of milk powder and butter oil to Japan for use in its food-aid programme for developing countries. Mr Suzuki said the government would encourage private importers to buy New Zealand milk powder for the school-lunch programme, but he did not indicate how it would do this. The Japanese insist on sticking to their policy of six-monthly quotas for beef, the latest being for 50.000 tonnes. New Zealand wants an annual allocation so that nroducers know in advance what thev are likely to be able to sell. Mt Suzuki told Mr Talboys the Japanese wanted to be “caut'ous” and announce allocations for onlv six months a* a time. If the initial allocation was “too generotis” they might want to reduce the

next six months’ allocation. This was the very thing New Zealand objected to, Mr Taiboys said. New Zealand has also been seeking the removal of the tariff on cheese but Mr Suzuki said this presented “real political problems” for his Government.. “My impression is that there is unlikely to be any change,” Mr Taiboys said. Mr Suzuki said New Zealand was likely to sell more lamb to Japan as more young Japanese developed a taste for it. The Japanese have still not agreed to remove the tariff on New Zealand Pinus radiata and are still considering the results of tests on its suitability for use in Japanese building. Mr Taiboys said there was a “certain vagueness and uncertainty” in the Japanese Government’s statement on trade with New Zealand handed over earlier this week in response to proposals Mr Taiboys made when he was in Tokyo last October. “There was no real or significant progress,” he said. Asked if he thought the Government’s insistence on the relaxation of Japanese trade barriers before New Zealand would agree to fishing negotia-

tions had been the right policy, Mr Taiboys replied: “I have no doubt about it whatsoever.” in talks with the Minister of Fisheries (Mr Bolger) earlier yesterday, Mr Suzuki said Japan was keen to co-operate with New Zealand in fisheries research and the development of the New Zealand fishing industry. Mr Bolger said there was no reason why research should not continue even if Japanese fishing boats were not licensed by April 1 when the extended 200-mile zone comes into force. Talking to journalists after his meeting with Mr Taiboys yesterday afternoon, Mr Suzuki emphasised that he had not come to New Zealand to negotiate but to try to improve relations. Questioned about the impasse over fishing rights, Mr Suzuki said: “That is a problem for the New Zealand Government to resolve on the basis of its own judgement.” Mr Suzuki, who came to New Zealand at the invitation of the Government, said he would report to the . Japanese Prime Minister (Mr Fukuda) and other Ministers on his talks. He will fly to Sydney today.