Pacific trade accord

Press, 15 July 1980, Page 6

Pacific trade accord

PA Wellington An agreement for dutyfree and unrestricted access to New Zealand and Australia for most products exported by Pacific Forum countries was signed yesterday in Tarawa, a Foreign Affairs Minsitry spokesman said in Wellington yesterday. The agreement, to be known as Sparteca (South 1 Pacific Regional Trade and Economic Co-operation Agreement) is nomreciprocal. The Prime Minister (Mr Muldoon) said yesterday at Tarawa, in Kiribati, site of the forum, that the agreement was expected to come into force on January 1, 1981. He said he was confident it would provide impetus to developing exports from forum Island countries, and a useful framework for -trade and economic relations within, the region. . The only products which

would-riot enjoy duty-free and unrestricted access to the New Zealand market would be those where it was necessary to protect the key interests of the Cook Islands, Niue, and Western Samoa by retaining their present preferential treatment to a limited extent, and also three product areas tff some concern in New Zealand. “The identification of pro- ' ducts of particular sensitivity to New Zealand, as. reflected in . New ’Zealand’s schedule, was done in. full consultation with New Zea-j land domestic interests,” Mr Muldoon said. The schedule lists frozen passionfruit pulp, some fruit juices, canned pineapple, copra, coconut oil, and coconut cream (all considered products of key interest to the Cook Islands, Niue, and Western Samoa), and tomatoes”, capsicums'; apparel, and

footwear —- excluded because of domestic interests. New Zealand and Australia would consider appropriate forms of assistance under the provisions of the agreement connected with economic, commercial, and technical cooperation, Mr Muldoon said. .“Such assistance will- include export development and trade promotion, industrial development, and the development of agriculture, forestry, and fisheries.” Rules of. origin provided that to qualify for free access, Island products should incorporate at least 50 per cent content derived from the Islands or New Zealand, but both New Zealand and Australia would consider reducing this figure in special cases.

“I believe that what we have done today will be recalled as one of the most significant events in the region since the establishment of 5.P.E.C.,” Mr Muldoon said.