N.Z. to probe Australian beer sales

Press, 21 June 1980, Page 6

N.Z. to probe Australian beer sales

NZPA SydneyAustralian breweries will be investigated to see if they are dumping their canned beer in New Zealand, according to trade sources in Sydney. New Zealand Customs officials would start consultations soon after complaints about Australian cannedbeer sales in New Zealand, they said.

New Zealand cannedbeer sales have been baldy affected by the Australian beer, with a reduction in sales of 36 per cent up to the end of April, according to published reports earlier this month.

The customs officials will investigate whether Australian breweries are selling their canned beer at prices below those in Australia and whether the Australian beer is markedly affecting New Zealand canned-beer sales.

The problem with Australian canned beer has arisen mainly since January 1 when, under an international agreement, imports of higher-strength beer were allowed into New Zealand. Exports of Australian beer to New

Zealand have risen sharply since then.

Australian Bureau of Statistics figures show that in the 1978-79 year 1.17 million litres of canned beer valued at $380,000 went to New Zealand. But in the nine months to the end of March, 1980, 1.9 million litres valued at $717,747 -have been exported to New Zealand, with most of the increase since January. In the first three months of 1980 Australian canncd-beer exports, to New Zealand totalled 1.2 million litres valued at $476,570.

Article 10 of the New Zealand Australia Free Trade Agreement (N.A.F.T.A.) provides that if either country is believed to be dumping goods in the other there should be a 60-day consultation period before dumping duties are imposed. A spokesman for Tooth and Company, Ltd, one of the main Australian breweries exporting to New’ Zealand, said yesterday that his company strongly resisted any dumping charges.