Subjects: Australia-US relations; free trade agreement; Amrozi; Bali
investigation
E&OE...........
Ladies and gentlemen, I'd like, on behalf of the Australian Government,
to welcome again to Canberra and Australia Ambassador Bob Zoellick, the
United States special trade representative.
The Australian-US relationship is very strong and very deep, not least
in trade and economic areas. And as you know over the past few months,
indeed, over a period of a couple of years there have been discussions
and some focus on the possibility of taking that relationship a major
step forward through the possible beginning of negotiations for an Australia-United
States free trade agreement.
This morning, along with my senior ministerial colleagues, we've had
an opportunity of talking about different dimensions of the trade and
economic relationship. Needless to say both of us and our two governments
remain very strongly committed to that relationship and doing everything
we can to make it even stronger. I'd like to invite Ambassador Zoellick
to say a few words and then we'll take a couple of questions.
ZOELLICK:
Well thank you, Prime Minister. And I just want to start by thanking
the Prime Minister for the honour of having a chance to meet him on this
visit. I know he's got a pretty hectic schedule. And when I opened my
conversation with him, but also with his Cabinet colleagues - and I'd
like to share this with the people of Australia - is the sense of extraordinary
sympathy the people of the United States have for the bombing in Bali.
We know that this was a tragic event for all of us but, frankly, Australia
took the hardest blow. We know what a sense of shock that it's created
here and it's something that we hope that we can work with you around
the world to eradicate it so it doesn't happen again.
I told the Prime Minister this morning that the President had authorised
me to send a letter to the Congress notifying that the United States would
like to begin free trade negotiations with Australia. So that letter was
just going up today to the Congress. Under the procedures we have, under
the trade promotion authority law we passed this summer, this requires
a 90-day notification before we can actually begin negotiations but we
look forward to doing that early next year. And I have talked with Minister
Vaile about trying to use the time in between to help with the preparations
and develop the terms of reference. We and I believe Australia is looking
for a comprehensive agreement. We believe this can do a lot for both economies
but as we discussed with the Prime Minister there are a lot of other economic
interactions here that will be beneficial. In terms of investment flows,
we both are very large investors in one another's country. Before I came
back to government I was in the financial sector and I know the international
business networks that are developing that Australian firms are part of
but I think we can draw closer ties through this free trade agreement
and we discussed some of those with the members of the Cabinet.
At the same time I think it's a wonderful combination that the primary
reason that I come to Australia was for a meeting that Minister Vaile
is hosting in Sydney dealing with the Doha negotiations, the WTO. We work
very closely with Australia to try to move those negotiations ahead. We
are committed to completing those by 2005. The date that we set last year
in Doha. Our trade promotion authority gives us some strength in doing
that. And, frankly, we've been very good allies in a topic that we both
like to try to be competitive in, although now and then we've got some
differences, which is agriculture. And I just want to thank the Minister
for the efforts that he's had working with this in the leadership of the
Cairns Group to try to move that forward.
The last point I just make is that one of the reasons I think this agreement
is important beyond the economics is the fact that Australia and the United
States have had a lot in common over the years but I remember while I
was out of government being part of a group called the Australian-American
Leadership Dialogue which was put together in January '92, actually, the
first idea, when I was here with President Bush's father. And the concept
was that with the passing of the World War II generation it was important
that the bonds between our countries remain strong, not only between governments
but between individuals and societies. And that's what that dialogue was
about and I hope that this free trade agreement can also help strengthen
the societal connections because this is, I think, my seventh or eighth
trip to Australia and I know it's a wonderful country, a good friend of
the United States and we hope to strengthen ties.
JOURNALIST:
How confident are you that the hurdles and content rules can be [inaudible]
to achieve free trade in agriculture?
PRIME MINISTER:
Can I first of all say that I';m delighted at the announcement that
the Ambassador has made. I want to pay particular tribute to him for his
personal investment of time and effort. As a Prime Minister, as a serving
politician of 29 years, I know the tensions and the challenges that frequently
exist between domestic considerations and broader national goals and imperatives
and their considerations. And it's a very important day in the relationship.
It's challenging but I enter it in a very determined fashion. I think
if we work hard we can pull it off. It won't be easy but we are very committed
to trying to bring about a favourable result because if we can achieve
this it will mean an enormous amount to both countries, it will be a further
strengthening element in an already very strong relationship. But a free
trade agreement between Australia and the largest economy in the world
will be of enormous long-term benefit and long-term strengthening for
the economic fabric of this country. Now, we all understand the competing
pressures, we've talked about them, but we also know that if they are
approached in a positive way, I mean, we're not going into this contemplating
that we're not going to pull it off. We're going into this because we
intend to work very hard to bring it about and it will be challenging,
it won't be easy but we do it in a very upbeat mood and we also do it
against the background of it having very high level commitments. And the
President's very committed to it, I';m very committed to it, my Cabinet
colleagues are very committed to it. And can I also say that each of our
countries has in the other excellent diplomatic representation. Michael
Thawley for us in Washington has already worked tirelessly and Tom Schieffer
for the President here in Canberra has done likewise. It will be important
over the months ahead that those in Australia that want this to be achieved,
they have to work hard and they have to speak up for it. And it will be
equally important for those in the United States who want this achieved,
will have to speak up for it. But I am conscious of the concerns and constituencies
in my own country as I know the President is in his but if you have the
commitment to it against the background of a belief in the importance
of the broader relationship I think we can pull it off and if we can we
will have done great service for future generations of Australians and
Americans.
JOURNALIST:
Is it feasible to have a complete free trade agreement between Australia
and the United States?
ZOELLICK:
Well as I mentioned to the Prime Minister, we';re trying to seek
a comprehensive agreement and the way we have approached free trade agreements
is we try to make them as absolutely broad as possible and that includes
agriculture, manufacturing, services. I just received a letter from about
ten American farm groups. They recognise that US farmers have some great
potential in terms of being able to sell in Australia. There are some
items we need to work through on both sides in that but in addition, as
my opening comments suggested, the United States and Australia are great
partners on some of the global issues because obviously agriculture is
particularly a case of global commodities. And so we don';t want
to shrink at the same time from working on trying to cut subsidies, cut
tariffs, remove export subsidies globally, and at the same time I think
we can open our bilateral markets.
JOURNALIST:
Bearing in mind the long standing relationship with New Zealand [inaudible]
implications for New Zealand.
PRIME MINISTER:
Look this negotiation is a bilateral negotiation between Australia and
the United States and we are as always concerned and willing to look to
New Zealand';s interests where there is a capacity to do so and I';m
keeping in very regular contact with the New Zealand Government. There
is an acceptance on both sides of the Tasman that because there are some
different trade interests, I mean for example dairy bulks far more largely
in the New Zealand mind in any international negotiation than it would
for Australia. It';s necessary for us to keep in touch with each
other and have a close exchange of information, but also to recognise
that there is an Australia and United States bilateral dimension and there
is a New Zealand-United States bilateral dimension. But we will to the
maximum extent possible tick-tack with New Zealand, keep New Zealand informed
and do what we can consistent with our own objectives to assist New Zealand.
JOURNALIST:
Desire by both governments to have comrpehensive [inaudible] will it
be a case of doing the easy bits first?
ZOELLICK:
Well one of the things I have learnt over time is not to negotiate with
journalists. And so what we';re trying to do, as I said, that we
sent up a letter to the Congress today. It';s about an eight page
letter. It notes the objectives by area that we are seeking and so that
letter will probably be available in Washington for people to take a look
at. In the nature of some of our other free trade agreements, what we
have tried to do is not only open markets, phase the opening as necessary
because we';re dealing with politics in both countries. But sometimes
we can also deal with other elements where we can develop closer economic
integration so we were talking with Peter Costello about some areas with
mutual recognition. There are some areas that are subject to different
regulatory authorities. So again what we see this as is we don';t
want to make the perfect enemy of the good. We want to have a good comprehensive
agreement covering agriculture, manufacturing, services, investment, intellectual
property. If you look at the way the United States has done these agreements
compared to other countries, they';re fulsome. But at the same time
we want to try to get this done, as I';ve mentioned, in President
Bush';s first term. We want to have political support in both countries
to get it done and frankly I see this as a building block to a stronger
economic as well as political relationship.
JOURNALIST:
… comment on suggestions from some quarters that this breakthrough
on free trade is associated with the United States desire to maximise
Australia';s involvement in any action that might take place against
Iraq.
ZOELLICK:
Look this is a trade agreement and the best evidence I can give you of
this is that some of you know, I was interested in this idea in 1992 when
Iraq was in a slightly different situation. And again our goal is to try
to strengthen our economic ties bilaterally. As I mentioned, I think particularly
as two developed countries there are some opportunities here in terms
of investment and business networks and frankly information technology,
which would be increasingly important. I hope we can set some high standards
in that. At the same time, as I am proud to say, Australia is a good friend
to the United States and that means something to President Bush, it means
something to me. That';s not why we';re doing the trade agreement.
We';re doing it because we consider it to be in mutual interest.
But frankly I';m always proud to be in Australia. I consider Australia
a friend.
JOURNALIST:
Can I ask you about the situation in Bali and the investigation going
on there. Are you concerned about what happened yesterday with the head
of the investigation interviewing Amrozi in front of the media?
PRIME MINISTER:
My overriding goal, and I'm sure I speak particularly for the families
who've lost so much, their overriding goal would be to bring to justice
the people who committed this awful thing. To do that there needs to be
the maximum cooperation between the Indonesian police and the Australian
police and that cooperation is aided when there's the maximum public harmony
between the leadership of the Indonesian Government and the leadership
of the Australian Government. My advice to date is that cooperation has
continued. I thank the Indonesians for that. It's very important that
it do continue. I really feel very strongly that every effort has to be
explored and expended to find the people and bring to justice the people
who murdered so many of our fellow countrymen and women, and I don't want
to let anything or say anything to get in the way of that.
JOURNALIST:
Don't you think though that some of the families of the victims would
be fairly upset by what happened?
PRIME MINISTER:
Well, nobody is more sensitive to the feelings, speaking in public life,
nobody is more sensitive than the feelings of those families that I've…
as you know, I've met many of them and I've spent a lot of time with them.
And I've begun to understand how they feel. I'm speaking, I know their
longer term aspiration and I don't really want to, at this stage, say
any more than that.
JOURNALIST:
What was your reaction to the confession and the clear lack of remorse
for the act?
PRIME MINISTER:
Well, I said at the beginning of this whole thing that I wasn't going
to give an operational commentary. I think it's a very bad thing for political
leaders to become acting chief superintendents and acting chief police
commissioners. I will leave commentary on the detail of the investigation
to the Australian Federal Police. They have told me that they're getting
very good cooperation from the Indonesian Police, that's what they've
told me, and I don't want to say anything more than that. I mean, in the
end what we all want is to get the people who did this and every effort
and every expression should be directed to that end.
JOURNALIST:
Prime Minister, yesterday the concept of Australia negotiating a free
trade agreement with the United States was described as a mouse negotiating
with an elephant. Are you confident that there will be a net benefit to
Australians and that our cultural and intellectual property and so forth
can be protected?
PRIME MINISTER:
Well, the final detail of it has got to flow out of the negotiation.
But we are entering this negotiation enthusiastically and in a very dedicated
way because we believe that a fair free trade agreement negotiated between
our two countries will deliver very significant net benefits for this
country. I mean, people have talked about a figure of $4 billion annually,
as in addition to our GDP, perhaps more. And that's an enormous benefit.
But we wouldn't be starting the negotiation if we didn't believe that.
But I'm not going to pre-empt it anymore than the Ambassador has. The
negotiation, as always, will be tough and vigorous - that's the nature
of any these negotiations. But you wouldn't start if you didn't think
there were enormous benefits. And can I just in conclusion, I think we
probably have to terminate the conference, can I just again thank the
Ambassador for his great personal commitment. Can I also thank Mark Vaile.
Mark and the Ambassador have worked together very closely now over a significant
period of time and the fact that we're here today talking as we are is
more than anything due to the efforts and the interaction of those two
men. And I do want to record my gratitude to both of them.
ZOELLICK:
Prime Minister, if I can say anybody that's been at a negotiating table
with Mark Vaile may call him lots of things, but never a mouse.
VAILE:
Thanks, Bob.
PRIME MINISTER:
Thank you.
[ends]