China deal to be monitored

Press, 2 May 1981, Page 2

China deal to be monitored

The International Wool Textile Organisation will monitor the development of the New Zealand Wool Boards agreement with a cotton mill in China, under which the mill will buy New Zealand wool and the board will help with finance for equipment for a woollen mill. This was confirmed yesterday by the president of the organisation. Mr S. S. Neville. after several committees had referred to the New Zealand-China arrangement when they made reports to the council and the general assembly of the organisation. The chairman of the cloth committee. Mr B. Murgatroyd. said that the development of the arrangement needed to be watched so that there was no discrimination in favour of China. Mr Neville said after the meeting that they were now satisfied with the information that the wool being sold to China would be obtained through normal trade channels. but there was still a little uncertainty and a feeling of some trepidation over finances.

Mr Neville said the differences between the organisation and the board could be attributed to a “failure of communication.” At the suggestion of the Australian National Committee, which belongs to the organisation, the conference reacted to an Australian Government decision to sell the Australian Wool testing Authority, which tests wool before sale by sample in Australia, to private commercial interests. The organisation is one that the Australian Government is proposing to sell after the recent review of its functions. Because of the short notice and the wish of some delegations to give the matter more study, eight abstained from voting but 11 voted for a resolution of deep concern about the proposal, because the organisation performing the tests needed to be seen as official, independent and impartial. The final session of the fiftieth conference of the organisation was held yesterday.