Australian Department oF Foreign Affairs and Trade Press Release

MT101

13 July 1995

MCMULLAN TO VISIT US, CANADA AND MEXICO

The Acting Minister for Foreign Affairs and Trade, Senator Bob McMullan, will visit the United States (US), Canada and Mexico from 16 July to 1 August. The visit to the US marks his first as Minister for Trade.

Senator McMullan will visit Washington from 17-19 July, New York from 19-21 July, Ottawa from 24-25 July, Toronto on 25 July, Atlanta on 26 July , Mexico City from 27-28 July and California from 29 July-1 August.

"As the world's economic powerhouse, the US is of immense importance to Australia, not only as a market for goods and services, but also as the global leader in framing the future direction of international trade policy," said Senator McMullan.

"We may not always agree with US methods for opening markets, but its record suggests it overwhelmingly remains a positive force for freer trade.

"Encouraging the US to adopt a constructive and forward-looking approach to its trade and investment relations with the countries of the Asia Pacific, one which favours multilateral approaches before unilateral action, will be a major theme of my discussions.

"I am particularly keen to continue and build on the positive co-operation which already exists between the two countries in a range of areas, notably in APEC, where Australia looks to the US to make a major contribution in the run up to the Osaka Ministerial and Leaders meetings later this year."

In Washington, Senator McMullan will hold talks with USTR Kantor under the auspices of the Australia-US Trade and Investment Framework Arrangement (TIFA). He will also meet with the American Auto Manufacturers Assocation and Japan Auto Manufacturers Association, and the Deputy Secretary of US Agriculture and Trade.

"I intend to once again point out to the US Administration the damaging impact its agricultural export subsidy programs, such as the EEP and DEIP, have on efficient Australian exporters and the longer term harm these policies can inflict on the overall relationship unless wound back permanently," said Senator McMullan.

In Ottawa, Senator McMullan is expected to hold discussions with his Canadian counterpart, Roy MacLaren, on issues such as co-operation in APEC and the Cairns Group, market access issues on both sides and the future framework for the bilateral trade and investment relationship.

"While we do not always see eye to eye with Canada on all trade issues, there are many areas where we have similar objectives. One area where we agree strongly is on the need to maintain the momentum for world trade liberalisation. Regular discussions of this sort are valuable in looking at the scope for joint action toward this goal," said Senator McMullan.

"I also hope to explore with my Canadian colleague the scope for transforming the existing bilateral trade agreement to bring it more into line with APEC and the needs of the business communities in both countries."

In Mexico, Senator McMullan will lead an Australian team of industry representatives and officials to Mexico City. One of the highlights of his visit will be attendance at the inaugural meeting of the Australia-Mexico Trade and Investment Commission. Key issues on the commission agenda will be Australian concerns with access to the Mexican market for meat, wool and sugar. Senator McMullan will also promote Australian interest in participating fully in future growth in the Mexican economy, including in the emerging areas of trade in financial services and telecommunications.

"As Mexico gradually emerges from its recession, it will be important for Australian firms to position themselves so they are able to take advantage of the opportunities which will become available.

"I intend to promote with my Mexican colleagues the scale of Australian capabilities in a wide range of areas and to encourage the development of a broader trade and investment relationship which promotes and encourages activities in the mutual interest of both countries."

PROGRAM DETAILS

Washington

Agricultural issues have dominated the US-Australia economic relationship in recent times and Senator McMullan will once again register Australian concerns. Senator McMullan will be meeting with several representatives of the Australian rural industry prior to the visit.

The TIFA meeting will provide an opportunity to raise with the US the areas flagged in the recent report on the Australia-US trade and investment relationship. The report highlighted the difficulties Australian companies are experiencing in gaining adequate access to the US market. It is expected that one of the major outcomes from the TIFA meeting will be the formation of an agreed 'market access checklist' enabling Australia to pursue its concerns in areas such as high-speed ferries, trade in services and standards and technical regulations. A joint working group on intellectual property rights will also be established under the TIFA umbrella.

New York

In New York, the Minister will deliver the address APEC: Delivering Trade Outcomes - The Benefits to Australia and the US at a senior business gathering at the prestigious Asia Society on the topic.

Ottawa

Senator McMullan will hold meetings with the Canadian Ministers for International Trade, Agriculture and Industry and the OECD Secretary-General designate. With exports valued at $1,103 million and imports at $1,102 million in 1994, trade with Canada favours Australia. However, Australian exports are primary product focussed in bovine meat and vegetables and fruit. The bulk of Canadian imports were in simply worked wood.

Toronto

In Toronto, Senator McMullan will address the Australian-Canadian Chamber of Commerce on Canada and Australia: Working Toward Free Trade. Atlanta Senator McMullan will meet with the Governor of Georgia, Mr Zell Miller for a tour of the Olympic site which has been installed with seating made in Australia. He will also hold discussions with the Georgia Commissioner for Industry, Trade and Tourism, Mr Randolph Cardoza. He will also meet with a number of Australian corporations based in and around Atlanta.

Mexico City

Senator McMullan will meet with the President and the Mister for Trade, the Acting Minister for Foreign Affairs and Minister for Agriculture. In addition to leading a team of Australian industry representatives and officials, Senator McMullan's will open the new Australian Embassy in Mexico City. He will also launch an Australian food and wine festival. In 1994, Australia's exports to Mexico were $200 million. Primary products predominated in milk and cream products, meat and offal and wool and animal hair. Imports from Mexico were $118 million, primarily in medicinal and pharmaceutical products and photo supplies.

California

The Minister' s program in California will include a range of trade promotion and marketing activities in Silicon Valley, Sacramento and Los Angeles where he will hold discussions on trade issues and promote the interests of Australian firms in the area. Senator McMullan will open the office of 'Intellect Australia' in San Jose. 'Intellect Australia' is an Australian software development company which is establishing an operation in California.