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WTO Apples Case Important For NZ

Hon Jim Sutton MP
Minister for Trade Negotiations, Minister of Agriculture

16 July 2003

Apples, fireblight, and the World Trade Organisation

The World Trade Organisation dispute panel ruling about Japanese fireblight-related quarantine restrictions on United States apple exports has important implications for New Zealand, Trade Negotiations Minister Jim Sutton said today.

The WTO panel ruled early this morning New Zealand time that Japan's quarantine measures were inconsistent with the WTO Agreement on Sanitary and Phytosanitary Measures. The case was taken by the United States. New Zealand was a third party, backing the United States case, and Australia was a third party, backing Japan's case.

Mr Sutton said the ruling appeared very positive and confirmed New Zealand's long-held position that Japan's measures were inconsistent with its WTO requirements.

"I am hopeful that the panel decision will result in remedial action not only in Japan but also in other countries with similar fire blight-related restrictions. New Zealand's longstanding concern about the lack of scientific basis or justification for the imposition of these measures has now been vindicated through this result."

Mr Sutton said there was no scientific evidence that fire blight had ever been introduced into any area through commercial trade in mature apple fruit.

The New Zealand and United States submissions to the panel emphasised that scientific evidence did not support Japanese assertions that trade in apple fruit presented a fire blight risk, and that the various measures Japan had in place to deal with the purported risk were therefore unjustified.

It is likely Japan will appeal the ruling. Mr Sutton said that was unfortunate, but not unexpected.

He said that meant that changes were not likely till late this year.

"However, we are confident about the merits of our case and that the WTO appellate body will uphold the panel ruling."


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