G.F. 82

File No.

CONFIDENTIAL

NOTE FOR FILE

Page

Minister

Governor's Visit to Australia

8 to 15 May 1991

Meeting with Dr Neal Blewett, MP, Minister for Trade Negotiations and Overseas Development on 13 May 1991

The Governor

for

Trade

Development on 13 May. the Minister was also were raised :-

called on Dr Neal Blewett, Negotiations and Overseas Mr Alan McKinnon, Adviser to present. The following points

(a) Dr Blewett said that there were three critical

the on

he Round

wished to

to

points

Uruguay make. First, the need for quick progress in technical discussions over the next few weeks since political progress was unlikely until US Congressional approval had been given fast-track authority. Secondly, the need for a breakthrough in some key areas e.g. Services and Textiles, in about June or July. He said he thought that progress on Textiles had been good and that an agreement was quite close. Thirdly, the Round would not have much life if a conclusion was not reached before May next

year.

He said that he was not optimistic. The Gulf War had made it difficult for the US to put pressure on the Europeans.

in

(b) The Governor asked whether agriculture would become a sticking point again. Dr Blewett said that unless the EEC showed signs of movement the Cairns Group would not be prepared to shift. Reports on internal reform of the CAP were mixed but generally discouraging.

Andriessen would be Australia the following week and might clarify the situation. The Governor said that there were some signs that Germany was no longer prepared

the high cost of the CAP indefinitely. Dr Blewett agreed and said that expected a change in the CAP over the next few years.

He hoped that it would be soon

he

to meet

enough to help the Uruguay Round.

(c) The Governor said that Hong Kong was grateful to the Australians for their phased reduction in general tariffs. We naturally regretted losing certain tariff preferences but accepted this as inevitable. Dr Blewett said that he hoped Hong Kong would not suffer overall.

we

CONFIDENTIAL

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