Concern At U.S. Meat Regulations

Press, Volume CVI, Issue 31083, 11 June 1966, Page 20

Concern At U.S. Meat Regulations

(N.Z.P. A.-Reuter—Copyright) WASHINGTON, June 9. New Zealand’s Deputy Prime Minister, Mr Marshall, yesterday expressed concern that new United States inspection regulations could dislocate or harm. New Zealand’s meat shipments to the American market.

He told a press conference that the regulations, introduced late last month, had first required that 3 per cent of meat imports be inspected, but this had now been cut to 1 per cent. Stressing New Zealand’s role as a chief supplier of lamb to the United States, Mr Marshall said: “Subsequent discussions have greatly improved the position, but there are still some outstanding points of detail which we hope can be resolved.” Mr Marshall, who has been in Washington on a three-day visit, discussed economic and trade matters with key Administration officials and also conferred with President Johnson on the Vietnam war. Mr Marshall said his objectives in Washington had been to review trade problems, particularly with respect to agricultural products, to explore the possibilities of raising capital development loans, and to discuss political issues such as Vietnam. He reported that New Zealand, wanting to raise £3O million for capital development this year, knew that the money market in America as well as in Britain and Europe was “very tight.” The Minister pointed out that New Zealand would have to pay a 1 per cent investment tax if it raised the money in the United States, and said it could not possibly get a remission of this levy. Asked directly if New Zealand would seek to get the loans in the United States or look elsewhere, he replied simply: “We will be making inquiries.” He) spoke at length about the meat inspection problem, which he said was of particular importance to Australia, as well as New Zealand. Not Satisfied

Observers said his remarks did not appear to reflect full satisfaction with the assurances given him by United States officials, such as the Secretary of Agriculture, Mr Orville Freeman, but that New Zealand could eventually “live” with the new rules.

He explained that New Zealand had protested when the United States' last month first implemented the regulations requiring that 3 per cent of all shipments be inspected. “If that had been proceeded with it would have dislocated the flow of imports and would

have had an affect on the price of meat,” the Minister said. He said the United States had now agreed to a 1 per cent inspection, to apply initially to shipments by exporters whose products had been subject to some complaint, but eventually it would apply to all shipments. Mr Marshall said New Zealand had few worries on the hygiene score. “We have raised with the Secretary of Agriculture the general issue that, while we accept it is right and proper that there should be some inspection of imported meat, we would hope that the inspection system would impose as little dislocation on the importing of meat as possible,” he said. “The secretary agrees that that should be the spirit in which the inspection is carried out.” Mr Marshall then added that the discussions had greatly improved the position, but some details had still to be resolved. Dairy Produce On another trade matter, he stated that New Zealand had not yet secured a favourable response to its appeal for greater access for its dairy products in the United States market—“but we are hoping.” Mr Marshall did not elaborate, but it is known that New Zealand appealed in April for less severe restrictions against its shipments of butter and cheese. He said one question he had discussed in Washington was “matters arising out of Britain’s indication of an intention to apply for members in the Common Market.” In the event of Britain becoming a member, he said, it would be necessary for special arrangements to be made for New Zealand, “and in that we have the support of the United States Government.” Mr Marshall said this was accepted by the British Government and he believed it was recognised and accepted by a majority of the Common Market countries. Special Problems His purpose in visiting Europe, he added, would be to remind the Ministers of the Common Market countries of New Zealand’s special problems in selling its butter, cheese and lamb in the event of British entry. But, noting that New Zealand was able to produce butter at half the price of the Common Market countries, he said his country would be in a strong position to make offers for pricing arrangements.

The Minister said President Johnson had told him, in their discussion of Vietnam, that it was the intention of the United States to prosecute the war vigorously with the objective of bringing the Communists to the conference table.

Mr Marshall said that this also was New Zealand’s objective. He said he saw no signs at the moment that the United States was about to try a new peace offensive. He added that President

Johnson had expressed appreciation for New Zealand's contribution. Mr Marshall said there was no talk of any further commitment by New Zealand—- “ There was no request made and no promise given.”