Exemption ‘in 15 years’ for Aust. goods

Press, 1 March 1982, Page 2

Exemption ‘in 15 years’ for Aust. goods

PA Auckland Australian goods coming into New Zealand would not be subject to import licensing “in general terms” in 15 years under a Closer Economic Relations agreement, said the Minister of Trade and Industry (Mr Templeton) on Friday. The setting of a date for the exclusion of Australian goods from New Zealand’s licensing system has been the most burning issue in the formation'of a C.E.R. agreement with Australia. Mr Templeton’s 15-year “ceiling” is the first positive date mentioned by the Government and could clear the way for the signing of the C.E.R. agreement in Australia late this year, to take effect on January 1, 1983. Import licensing of Australian goods would be phased out over that period, he said. Speaking in Auckland after a private discussion with Auckland rpanufacturers, Mr Templeton also said that there could be no guarantees that all New Zealand businesses could emerge unscathed after C.E.R. Asked whether he felt some businesses could be in danger because of the greater competition, Mr Templeton said, "There is no way of assessing that.” “There is a certain amount of pessimism among some

groups." he said. At any stage in a changing market, people come under pressure. “That is what some of them have been saying to me: why do we have to come under this pressure as well? “But what we want to do is to give them time to adjust and then to reap the benefits of this proposal. We are saying to the Australians that, because of our vulnerability, we need to have the import licensing system as a reserve instrument.” Mr Templeton said the Government’s thoughts were that under C.E.R. there would be no licensing system “in general terms” in 15 years. • “In 15 years C.E.R. will be in full operation," he said, “and in -general terms, we would not want import licensing. “Before that we would have a major review after five years and that would show us to what extent we should hang on.” C.E.R. would involve only a gradual move away from import licensing, he said. The Government would not allow vulnerable industries to be jeopardised. .The Government was already seeking a deferment of the application of C.E.R. to the wine and steel industries and there were also problems with the textile industry. '■