N.Z. faces difficult task in Brazil

Press, 4 November 1986, Page 6

N.Z. faces difficult task in Brazil

NZPA staff correspondent Sao Paulo A group of New Zealand exporters began the second week of a Latin American trade mission yesterday facing a particularly difficult task — to expand trade with Brazil. They will spend three days in Sao Paulo, the world’s second largest city, trying to drum up further trade. The Brazilian market has never been easy to penetrate, but shortages of essential commodities and more recognition that sustained growth will be achieved by more efficient use of resources and technology introduction has led to some import liberalisation. Brazil has tendered for the supply of considerable amounts of meat and dairy products this year — which gave rise to the Daiiy Board’s sale of most of its butter stocks two months ago.

The Minister of Overseas Trade and Marketing, Mr Moore, admitted yesterday that he had been concerned he could have been intruding in Chilean internal politics while leading the trade mission. Mr Moore met several opposition leaders and Government Ministers in Chile. “I was concerned that we walked a very delicate path — that we ought not to compromise positions we are taking on human rights, the need to return to democracy and thus put our business people in an embarrassing situation,” he said. “That did not eventuate.” He normally did not get involved in political matters while on trade missions — but Chile was an exception. An Auckland trade unionist, Ms Glenda Fryer, has ended a brief trip to Chile still convinced New Zealand should not be trading with

that country. Ms Fryer, who was part of the trade mission, met a number of unionists including those from companies in which New Zealand interests have recently invested. Ms Fiyer said later she did not believe the sort of investment being made in Chile by New Zealand companies was helping Chilean workers. She was also concerned that such overseas investments could result in New Zealand workers losing jobs. However, pulp workers at the Constitution mill of a New Zealand/Chile venture had told her they did not see foreign investment as being tacit support for the military-led regime. They believed such investment helped them.

Other union leaders had suggested that such investment in Chilean companies could be used as a lever to put outside pressure on the Government for change, she said.