Access to Europe market seen as G.A.T.T. test case

Press, 27 April 1989, Page 2

Access to Europe market seen as G.A.T.T. test case

By

TONY VERDON

in London New Zealand’s access to European butter and sheepmeat markets was a test case for the resumed Uruguay round of G.A.T.T. negotiations, the High Commissioner in London, Mr Bryce Harland, said yesterday. He told the Commonwealth Press Union’s annual meeting that the European Community was hesitating to endorse proposals to further restrict access for New Zealand butter and lamb. “The Community could not come to us suggesting such cuts in access now, after the Uruguay round

decision to freeze protection from April 8," said Mr Harland. “What we do expect now, without further ado, is the Community’s formal endorsement, ratification if you like, of the package negotiated last year.” Mr Harland said that New Zealand was a test case for the Uruguay round. Speaking to journalists and newspaper publishers from throughout the Commonwealth, including New Zealand, Mr Harland argued against trade protectionism. He said there were some in Europe who felt unable to compete fairly with New Zealand’s un-

subsidised products. They had already seized on the introduction of the internal European market in 1992 as a pretext for restricting imports of New Zealand products even more severely. But Mr Harland said the agreement two weeks ago on the framework for completing the Uruguay round ogf trade talks by the end’of 1990 was an encouraging development. The agreement on the need for progressive reduction of farm support and protection from the beginning of 1991, with an immediate freeze on existing levels of support and protection, had to be welcomed by all countries

that exported agricultural products. Mr Harland said it was certainly welcome to New Zealand, a country whose economy had suffered in the last 20 years from restrictions on its access to markets in Europe, America and Japan. New Zealand hoped that what had already been achieved, and what had yet to be achieved in the Uruguay round, would mean the progressivee reduction of support and protection. Mr Harland said he hoped the resultant trade liberalisation would mean an end to the progressive restriction of access for unsubsidised products.