CONFIDENTIAL
BRIEF NO. G.1
EUROPEAN ECONOMIC COMMUNITY
PART III
BACKGROUND NOTES
NEW ZEALAND
New Zealand's gross national product in 1965/66 was
£1,879 million. Exports in 1964/65 (the last year for which
figures are available) totalled £367 million of which £187
million (51% of total exports) came to Britain.
the Community amounted to £55 million (15%).
Exports to
2. In 1964/65 Britain took 92% (£55 million) of New Zealand's
exports of butter; 74% (£71 million) of her meat mainly
mutton and lamb and 86% (£17 million) of her cheese.
3. It is clear from these figures that, if Britain were to
enter the Community without special safeguards for New Zealand
and these commodities became liable to tariffs and/or levies,
New Zealand would be faced with serious loss and even ruin.
3. New Zealand in the 1961-63 negotiations: During the
1961-63 negotiations (which took place before the working cut
of the common agricultural policy was far advanced), provisional
agreement was reached with the Six on the transitional and
longer term arrangements which would apply to cereals but it
was envisaged that they might also be adopted for other
temperate agricultural products. During the transitional
period, cereals enjoying preferences in the British market
would be allowed to benefit from the intra-Community preference
but this would be phased out; it would be fixed in such a way
as not to cause a sudden and considerable alteration in trade
patterns; but, if it did, its application would be examined in
consultation with the Commonwealth countries concerned. The
longer term arrangements envisaged international commodity
agreements and the pursuance of a price policy which offered
CONFIDENTIAL
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