Canty firm ready to join valuable Hungarian venture

Press, 18 June 1986, Page 2

Canty firm ready to join valuable Hungarian venture

By

SIMON LOUISSON

in Wellington The way has been cleared for Pyne Gould Guinness Ltd, to form a joint venture potentially worth millions with a Hungarian firm. The Minister of Overseas Trade and Marketing, Mr Moore, signed a protocol on behalf of P.G.G. in Budapest yesterday. The agriculture joint venture is with the Hungarian State trading arm, Agkar, Ltd, and Hungaroseed and will seek to provide agricultural consultancy, equipment and livestock services into other countries. P.G.G. is already involved in a multi-million dollar three-year contract providing similar services to two big Hungarian State farms. The protocol, which says the joint venture should be working by next

year, was signed by Mr Moore, with Hungary’s Foreign Trade Minister, Mr Peter Veress, in attendance. During his 17-hour visit, Mr Moore visited the two State farms to which P.G.G. has sent Corriedale and Romney sheep and New Zealand management teams.

He said the protocol provided for a big expansion of New Zealand’s trade in agricultural expertise, technology, and breeding stock. New Zealand companies would also form a co-operative to win a multi-million dollar tender to provide other agricultural services to Hungary. The tender, closing next month, is for part of a $l5O million World Bank development project. Mr Moore said the Hungarians were also keen to talk about food-processing and animal-slaughtering joint ventures which would be extended to third markets. Mr Moore said he talked with the Hungarians about new opportunities for increasing two-way trade. Hungary has already provided New Zealand with millions of dollars worth of railway stock and is tendering for more.