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Gulf Cooperation Council States—Free-trade Negotiations

Thursday 7 September 2006 Hansard source (external site)

Pettis7. JILL PETTIS (Labour) Link to this
to the Minister of Trade

Has he received any response to his approach earlier this year to the Gulf Cooperation Council States to open negotiations for a free-trade agreement?

GoffHon PHIL GOFF (Minister of Trade) Link to this

Yes. Foreign Ministers from the six countries that make up the Gulf Cooperation Council—Saudi Arabia, United Arab Emirates, Oman, Kuwait, Bahrain, and Qatar—yesterday agreed to begin negotiations with New Zealand on a free-trade agreement. Scoping discussions for the negotiations will begin in the next couple of months.

WilsonMadam SPEAKER Link to this

We will have some order in the House.

PettisJill Pettis Link to this

How important economically to New Zealand will a successful outcome to these negotiations be?

BrownleeGerry Brownlee Link to this

There are no restriction now. What are they wasting their money for?

GoffHon PHIL GOFF Link to this

If the windbag on the Opposition side of the House can shut up for a moment, I will answer his question.

WilsonMadam SPEAKER Link to this

I know that interjections will inspire further interjections, but that remark was not appropriate. Will the Minister please stick to the answer.

GoffHon PHIL GOFF Link to this

I will answer two questions—one delivered officially and one by interjection. Firstly, New Zealand exports merchandise goods to the Gulf Cooperation Council States to a value of approximately $720 million. That makes those States, collectively, about the same size as an important market like Germany to New Zealand. Secondly—

BrownleeGerry Brownlee Link to this

That’s right; there’s no restriction.

GoffHon PHIL GOFF Link to this

To answer the member who keeps interjecting, I say he does not know what he is talking about. There are tariff restrictions; he should do his homework instead of just mouthing off and wasting the time of the House. The agreement is important, because it will strengthen and protect the competitive position of New Zealand’s exports—

BrownleeGerry Brownlee Link to this

Come on, name three of them!

GoffHon PHIL GOFF Link to this

I raise a point of order, Madam Speaker. Time and time again in the House today members have objected to a continuing barrage from members that is not rare and reasonable, is against the Standing Orders of the House, and is against the Speakers’ rulings. I ask you to enforce those rulings.

BrownleeGerry Brownlee Link to this

Madam Speaker, I take you straight to the Standing Order that is about answers to questions. The Minister is trying to make out that somehow there is a massive gain to be made by New Zealand trade people going over there and entering into some sort of arrangement with the Gulf States. There is no—

WilsonMadam SPEAKER Link to this

That is not a point of order, Mr Brownlee. It is not for the Speaker to judge the quality or content of the answers. However, the member is right that if members cannot be heard, then one wonders what is the point of continuing with question time. So I ask that the Minister please continue with his answer.

BrownleeGerry Brownlee Link to this

I raise a point of order, Madam Speaker. My point of order goes to the requirements for the answering of questions. Surely, Madam Speaker, the questions have to be of value to the public—the Standing Orders state they have to be in the public interest. When one knows full well there are no trade restrictions in that part of the world, at all, and when the Minister cannot stand up and outline one of them—because none exists—I ask what on earth the new public information is in that.

WilsonMadam SPEAKER Link to this

This is a debating matter.

PetersRt Hon Winston Peters Link to this

I raise a point of order, Madam Speaker. During the answer and at the end of the question that was asked by the member, the continual barrage from Mr Brownlee was that there were no restrictions now. He did not say it once; he said it 10 times. Then, to make up for his ignorance, he said “name three”—well, there are finance, residency, and employment restrictions for a start; anybody would know that, but, of course, that buffoon does not—but you did not throw him out for his outrageous behaviour.

WilsonMadam SPEAKER Link to this

Neither was that a point of order. Could we please continue.

GoffHon PHIL GOFF Link to this

The member may allege that there are no restrictions, but I would invite him to talk to Fonterra, to Meat and Wool New Zealand, to our wood exporters to the Middle East, and to iron and steel exporters to the Middle East. He will find that there are restrictions on entry to the Middle East. What is more, at the specific request of those organisations, we have entered into these negotiations in order to preserve the competitive position of New Zealand exporters. The member should not speak out of such deep ignorance always.

PettisJill Pettis Link to this

Further to the answer the Minister has just given to the supplementary question, could he advise the House which New Zealand exporters have shown a particular interest in the negotiation of a free-trade agreement?

GoffHon PHIL GOFF Link to this

Dairy products and meat are particularly important exports to the Gulf Cooperation Council. They are facing tariffs of approximately 5 percent. Others countries, like those in the European Union, for example—

BrownleeGerry Brownlee Link to this

Tell us about the non-existent tariffs.

GoffHon PHIL GOFF Link to this

Madam Speaker, he is still doing it. He has ignored your rulings previously. He cannot bear not to hear the sound of his own hollow voice, and I ask you to ask him to desist.

WilsonMadam SPEAKER Link to this

No, I am sorry—would the Minister please continue. It is very difficult to hear, however. If members wish to remain with us for the rest of question time, I ask them to respect other members’ right to be heard.

GoffHon PHIL GOFF Link to this

Fonterra and Meat and Wool New Zealand, in particular, believe a free-trade agreement is necessary to avoid competitors gaining preferential access in this expanding market. But the free-trade agreement will also benefit the forestry, horticulture, and manufacturing industries. It will also help those emerging industries like information and communications technology, construction materials, services, medical equipment, and education.

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