WTO to hear apple case next week

BY MARTY SHARPE
Last updated 08:58 26/06/2009

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A long-running stoush over Kiwi apple exporters getting fair access to Australian markets will be aired in the World Trade Organisation headquarters next week.

A small team of legal experts and scientists will take on their Australian counterparts before a four-strong panel in Geneva from Tuesday, and the head of Pipfruit New Zealand is confident of a positive result.

Australia has not allowed New Zealand apples into the country since 1921, claiming there is a risk they will bring the diseases fireblight and European canker.

New Zealand growers and scientists maintain there is no risk if the fruit is mature.

In 2003 the WTO - dealing with the same issue between Japan and the United States - ruled that fireblight was not transmitted by mature fruit.

Growers say access to the Australian markets would boost earnings by more than $20 million.

In 2006 Australia enforced restrictive import rules, allowing apples in under strict conditions - which New Zealand growers found too costly to comply with and questioned the scientific justification.

In 2007, New Zealand asked the WTO to investigate whether Australia's apple ban was legal under international commercial law. There have been written submissions from both sides and an oral hearing last year, but next week's final oral hearing will be the ultimate step, with a decision expected in January.

Pipfruit NZ chief executive Peter Beaven had read submissions from both sides and believed New Zealand's case was strong.

"Everything I've seen to date gives me optimism. The experts have already submitted written answers and there is no doubt the body of opinion from written responses is that Australia has taken an incredibly conservative view and has exaggerated the risk in many areas.

"I'm optimistic that at the very least we'll get much better access than the current arrangement allows us," he said.

"A significant part of our case is that the Australians have allowed their biosecurity systems to be infiltrated and pressured by the apple-growing industry and political interference."

If the panel finds in New Zealand's favour, both countries would still have to negotiate access arrangements.

Either party could appeal against the ruling, which would mean a further delay of eight to nine months before it went back to a separate panel.

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- © Fairfax NZ News

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