[asia-apec 1531] NZ Wool trade to China

[APEC Monitoring Group]

New Zealand Continues Pushing For Wool Access
Press Release New Zealand Government 29/08/00 11:11:00

Chinese authorities have agreed to release the second half of the 2000 quota
to provincial authorities for allocation to importers, Minister for Trade
Negotiations Hon Jim Sutton said today.


He said this increase in the annual allocation from 293 000 tonnes to 306
000 tonnes was a result of New Zealand in-principle bilateral agreement with
China on WTO accession, where China committed to increase the quota
allocation in annual steps from 1998 through to 2004.


'I welcome this evidence of China's commitment to implement our in-principle
bilateral agreement.


"I look forward to reaching agreement with China on detailed arrangements
for tariff quota administration for wool, so that we can tidy away this
unfinished business and complete our bilateral WTO accession agreement.'


New Zealand has again pressed the case for improved market access for wool
at the highest levels of the Chinese leadership, securing agreement to talks
next month to seek a resolution of the issue.


Minister of Foreign Affairs and Trade Hon Phil Goff raised New Zealand's
concerns with Premier Zhu Rongji and with Foreign Minister Tang Jiaxuan in
Beijing during his visit last week.


The existing slow, cumbersome and bureaucratic quota allocation system was
limiting export opportunities for New Zealand wool growers. New Zealand is
pressing China to replace the existing arrangements, upon entry to the WTO,
with a new system - one which would be WTO-consistent, and which would allow
New Zealand exporters to establish long-term commercial relationships with
their clients, to the mutual benefit of both countries.


Following undertakings given to Mr Goff by Premier Zhu, China has agreed to
officials' talks next month aimed at hammering out the details of a
long-term solution.


ENDS