Yates Dianne: Questions for Oral Answer — Questions to Ministers Questions to Members 
Yates Dianne: Questions for Oral Answer — Questions to Ministers Questions to Members 
[Volume:632;Page:4191] 
2.  
DIANNE YATES (Labour) 
 to the  
Minister of Trade 
: What steps has he taken in response to the decision by the European Commission to suspend butter trade from New Zealand? 
Hon PHIL GOFF (Minister of Trade) 
: 
 We clearly had a very serious situation with the announcement by the European Union that it was going to suspend our butter trade. On hearing of it on Friday night I immediately sent electronically a letter to the agriculture commissioner Mariann Fischer Boel pointing out the serious consequences that such a move would have. I followed that up first thing on Monday morning European time with a personal call to commissioner Mariann Fischer Boel. I pointed out to her that it would be very damaging to New Zealand trade that there was a need for the butter that had already been shipped out from New Zealand to be able to be licensed so it could be sold on supermarket shelves and that we then needed to deal as soon as possible with the problem posed by the regulations being ruled invalid. I was very pleased to get a positive response from the agriculture commissioner. She has honoured her word and she has acted in support of New Zealand exports. 
Dianne Yates 
: What specific steps has commissioner Fischer Boel taken in response to his representations? 
Hon PHIL GOFF 
: The most important specific step that she has taken was in response to the specific request that I put to her which was to allow all butter that was either on the water or in bonded warehouses in Europe to be able to be licensed and therefore sold. That means that Fonterra can have its product on supermarket shelves through until at least October of this year. That reduces the risk of disruption to our trade while we get on and encourage the European Union to respond by redrafting the regulations as quickly as possible but obviously in close consultation with New Zealand. 
Dianne Yates 
: On what basis did the commissioner agree to make this change and will the suspension be lifted by October? 
Hon PHIL GOFF 
: The commissioner accepted our arguments that it was necessary in order to respect and protect the legitimate expectations of the trader concerned and to provide for smoother trade flows while respecting the judgment of the European Court of Justice. The lifting of the suspension of the butter trade will actually occur once the new regulations replacing those that have been ruled invalid are put in place. I hope that with a real effort by the commission working with our officials that task can be accomplished within the required time frame and without any serious disruption to the trade. 
Hon Trevor Mallard 
: In light of the silence from the Opposition members will the Minister accept the thanks of the House and the people of New Zealand for his prompt and efficient work and does he accept that it is a sad state of affairs that the National Party cannot even congratulate him on that very good work? 
Hon PHIL GOFF 
: To be fair I have discussed the matter with Tim Groser. This has been a difficult situation and I am pleased that in trading matters generally the Government receives the assistance and support of all parties in the House.