Hon Phil Goff
Minister of Trade

02 August 2007
Media statement

Government working to ensure wool access to China

Trade Minister Phil Goff says the government shares industry concern about access to China’s wool market and is pulling out all stops to ensure it is not disrupted.

“China has advised that the 2007 global import tariff quota for wool and wool tops has been fully allocated only seven months into the year. China is New Zealand’s top wool market, with trade worth around $170 million for the year ending March 2007”, said Mr Goff.

“Our industry depends on continued fair access in China, with transparent trade arrangements. I have written to my Chinese counterpart, Minister of Commerce Bo Xilai, expressing concern about this news and seeking assurances that wool trade will not be disrupted.

“New Zealand officials have met with relevant Chinese officials in Beijing to register concerns, and they will continue to work with China toward an early resolution of the issue.

“I have directed officials to intensify their discussions with the Chinese Ministry of Commerce to find a way forward that will assist our exporters. Officials are in close contact with New Zealand industry representatives and will pull out all the stops to get an early resolution to this issue. We are also talking to other major wool suppliers to China.

“I have been encouraged to learn that, although the quota has been fully allocated, actual imports are currently well below the allocation. We will monitor the trade closely and will continue to work hard to ensure New Zealand exports to China are not disrupted” said Mr Goff.

Notification regarding the quota allocation was posted on the Chinese Ministry of Commerce’s (MOFCOM) website on 17 July. Since then, officials from the Ministries of Agriculture and Forestry and Foreign Affairs and Trade have been in discussions with MOFCOM to identify the extent to which the quota has actually been filled, help ensure continued New Zealand access to the market, and to seek cooperation that will ensure that in future there might be greater transparency in the wool quota allocation system through a regular notification mechanism.

ENDS

© Scoop Media