U.S. move to trim beef-imports bill

Press, 26 May 1979, Page 6

U.S. move to trim beef-imports bill

,NZPA Washington j The House Ways and I Means Committee has trimmed 100 M pounds from a pro- ; posed minimum floor for beef imports. The 18-17 vote on Thursday overturned a May 2 action by the trade subcommittee approving a floor of 1300 M pounds a year.

Administration officials said that President Carter considered this amount essential before he would sign a bill amending current meati imports legislation.

I Congressmen opposed to the 1300 M pounds rounded up enough support to cut the figure back to 1200 M pounds. If the full House of Representatives and the Senate pass the bill with the lower level the stage will be set for a likely veto by Mr Carter. He vetoed an imports bill last November because it put checks on his authority to raise imports and set a floor of 1200 m pounds. This year he compromised to the extent of accepting

some restraints en his authority.

But an Administration spokesman said on Thursday that Mr Carter had given no indication that he was prepared to compromise on the 1300 m pounds. The Department of Agriculture official, Mr John Simpson, told the committee that he could not give a flat assurance that Mr Carter would veto the bill if it reached him with a 1200Mpounds floor. “But the unanimous advice of his advisers will be to veto it,” he said. New Zealand trade officials in Washington said that the vote was dismaying.

But some sources said that it could be to New Zealand’s advantage to have a bill with the 1200 M-pounds provision and have it vetoed. If a Congressional override did not succeed, the controversial counter-cyclical formula, which was a main provision of the amending legislation, would be knocked out again. The formula would tie im-

i ports above the floor to th< * I ups and downs of America! 'production and is strongly op 'posed by New Zealand ant Australia, which togethe supply almost 75 per cent o imports. Mr Carter has said tha he accepts the counter cyclical scheme. Thursday’s vote pose: problems for American multi lateral trade negotiators it Geneva who have effective!’ promised New’ Zealand ant Australia a 1300 M-pound: floor.

Mr Simpson said that th< action cou'd mean that th< United States might lost trade concessions from th< two countries negotiated oi the basis of the higher floor The committee overwelm ingly defeated an amend ment to eliminate al! quota: on beef imports. It alst struck out a “sunset” provi sion which would havt brought the bill up for con sideration again in 10 years A final vote on the bill be fore it goes to the full House will be taken next week.