Korean beef tender to N.Z. upsets Australians

Press, 1 May 1984, Page 24

Korean beef tender to N.Z. upsets Australians

NZPA-AAP Canberra Australia’s loss of 70 per cent of its market share in a recent Korean beef tender to New Zealand made a quick decision on export inspection charges vital, said the Australian Meat Exporters’ Federal Council. The council said the Korean beef tender saw New Zealand win up to 2300 tonnes of the 2700 tonnes on offer in a market which until last year was almost 100 per cent Australian. Australian meat exporters have blamed Australia’s decreasing competitiveness in the world market on costs which include the

Hawke Government’s decision last year to increase meat inspection charges 200 per cent. The Minister of Primary Industry, Mr John Kerin, sought a report on the effect of the charges from the Interim Inspection Policy Council in February and he should receive it today. A.M.E.F.C.’s chairman, Mr Kevin Bowtell, said the New Zealand Government was subsidising its export industry with free inspection services and other assistance. “Australian processors have to pay ?40 million annually in Commonwealth inspection costs and receive

no assistance,” Mr Bowtell said.

“It is just another example of how Australia is being forced out of its traditional world markets because of subsidies paid to competitors, and our cost structure.” Mr Bowtell said the Korean tender was the first this year. Last year Australia had shipped 64,000 tonnes of beef to Korea. Failure to win a significant share of the Korean tender would put added pressure on the Japanese and United States markets where subsidised New Zealand competition would be strong.