Wattie cleared of Aust. pea-dumping allegations

Press, 24 March 1988, Page 52

Wattie cleared of Aust. pea-dumping allegations

PA I M Auckland Wattie, Ltd, lias been cleared of allegations of dumping on the Australian market. But after a 222y 2 lyear investigation, the company is frustrated at what it calls the one-sided advantages ! I for Australian companies in I Tasman trade. | Australian customs began investigating Wattle’s exports In 1986 after Australian companies alleged it was selling frozen peas cheaper I there [than in New Zealand. The Australian Government imposed provisional dumping) duties on the peas but after appeals from the company, its customs staff visited New Zealand last month to review the case. !] The Australian, customs decision (this week largely clears the company, now called Goodman Fielder Wattie, Ltd, of dumping. The managing director of its consumer foods division, Mr Richard Jeffrey,

i : said: “Australian customs confirms our view that we have not been dumping ini commercially * restrictive terms. j ■ . . “But the review estab-: lished that circumstances, had changed : markedly since the complaint I wasl made against us 2>/ 2 years ago.” | . . f He called the decision “good and bad.!’ j i |l It meant the; company could export its; own Wat-! tie brand of peas ‘with only a negligible duty, he said, but it could not ex-!! port peas sold under: a retailer’s label such as for the Coles ! supermarket • chain. i. : j | "I am relieved it has, come to some sort I of conclusion but! frustrated it has taken so' long..’ J! The ! earlier : Australian decisiop to impose durripr ing duties set a! precedent by taking into account the marketing and Advertising costs of launching the fro--zen peas bn the Australian market. 1 I : j ■ pi] The company said

earlier this year | that could affect other ! New Zealand exporters to Australia and feared it could spark a mini trade whir. “You spend money on developing 1 j a long-term postion then find you are accused of dumping,” said Mr Jeffrey. "In Australia it seems to be one-sijded. There are various helping haiijds- from the Australian Government which wri do not] get in New'Zealand.” The New Zealand l and Australian Governments are! reviewing their closer economic relations ||this year |] and ;; Goodman Fielder Wattle!! has nhade submissions to: the Minister |of Trade arid Industry, MrjCaygill. j, I The company is exporting' 3000 to 4000 tonnes of frozen peas to Australia worth $5 million to $6 million. I 111 ' , ■Hi ■ 1 It | could have doubled that if it could export goods I bearing retailers’ own labels, he said, j