AW L AF AIR
ARW NQ DATE
M/ 155 30 October 1973
AUSTRALIA/ JAPAN M~ INISTERIAL COMMllITTEE:
JOINT COMMUNIQUE
The following is the text of the communique issued
in Tokyo on 30 October 1973:
The Australian Delegation to the meeting was led by
the Prime Minister and Minister for Foreign Affairs,
The Hon. E. G. Whitlam M. P. and included the Minister for
Overseas Trade, The Hon. J. F. Cairns The Treasurer,
The Hon. F. Crean The Minister for Primary Industry,
Senator The Hon. K. S. Wriedt and The Minister for Minerals
and EInergy, The Hon. R. F. X. Connaor M. P..
The Japanese Delegation to the meeting was led by
the Minister for Foreign Affairs, His Excellency Mr M. Ohira,
and included the Minister of Finance, His Excellency Mr K. Aichi,
the Minister of Agriculture and Forestry, His Excellency
Mr Y. Sakurauchi, the Minister of International Trade and
Industry, His Excellency Mr Y. Nakasone and the Minister
of State for Ec onomic Planning, His Excellency Mr Z. Kosaka.
The Prime Minister of Japan, His Excellency Mr Kakuei
Tanaka, sent a message of welcome to the meeting.
In their keynote speeches, the two Foreign Ministers
noted the encouraging development of relations between Australia
and Japan in all fields and the firm basis of mutual co-operation
which existed between them.
They recognised that a high level of interdependence
had developed between the economies of the two countries.
They acknowledged that it was essential that a spirit
of friendship and co-operation should continue to govern
relations between the two countries in the economic and related
fields, and it was therefore agreed that the two Governments
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would begin discussions on a broad bilateral treaty in these
fields. The Committee held wide ranging discussions on economic
and financial matters of mutual interest.
It reviewed the economic situation of the respective
countries. It noted with satisfaction the prospects for growth in
the long term in the * two countries, and the opportunities which
this offers for increased co-operation in the economic field
between the two countries.
Concern was expressed on the question of the
inflationary tendencies now apparent in the international
economy and Ministers reported actions which their respective
Governments were taking to deal with these problems, bearing
in mind the growing interdependence of nations in a world
economy. Ministers exchanged views on the progress being made
towards reform of the international monetary system, designed
to provide a basis for the stable long term development of
international economic relations.
The Committee welcomed the achievements of the recent
GATT Ministerial Conference held in Tokyo and reaffirmed that the
multilateral trade negotiations should result in the expansion
and the ever greater liberalisation of international trade of
both industrial and agricultural products.
Ministers pledged their cooperative efforts to assure
early and constructive results of these negotiations in concert
with other countries of the world.
Ministers recognised the close interdependence andDI
complementary nature of the bilateral trade between Australia
and Japan which was of such great importance to the two
countries and welcomed the evidence of further expansion of
the trade. In view of the important developments which had taken
place in trade between the two countries in the decade since
the agreement on commerce was last revised in 1963, Ministers
considered that it would be appropriate to review the agreement
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taking account of the discussions referred to in paragraph
above. Australian Ministers explained the basic policies of
the Australian Government or, foreign investment and noted that
foreign investment would continue to play an important role in
Australia's economic development.
They further noted that all foreign investment
proposals in Australia would in future be examined more closely
to assess the benefits of such investment for Australia.
Japanese Ministers stated that freer movement of
international capital investment was essential for the sound
development of free and open international economy.
They further explained, and Australian Ministers noted,
that the nature of the investment from Japan to Australia had
been not to own and control the Australian resources but to
contribute to the development of resources and secondary
industries in Australia mostly through participating in the
Australian initiated projects.
The Committee recognised the contribution which
capital investment has made to the development of the
economies of the two countries0
Australian Ministers explained the more liberal
import policies initiated by the new Government and especially
tariff policies including the 25 per cent across the board
tariff reduction. Japanese Ministers explained the 20 per cent cut
across the board reduction in Japanese tariffs0
The Committee recognised that both actions were
significant contributions to the liberalisation of international
trade0 The Japanese Ministers noted with appreciation the
positive response by the Australian Government to the points
made by the Japanese Government about Australian tariff
policies following the last Ministerial meeting.
While the various actions taken had met some points
of concern the Committee recognised the need for further
discussions at the official level on these matters.
M/ 1/ S-S
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Australian Ministers recognised Japan's concern to
obtain stable and adequate supplies of primary products,
especially foodstuffs, and materials for industry.
They stated that Australia looked forward to the further
development of trade in these products in a way which would bring
benefits to both countries.
The Committee reviewed the measures taken by the
Japanese Government in response to the hope expressed earlier
by Australian Ministers for greater and more predictable
access to the Japanese market for Australian primary products and
discussed the question of the supply and demand situationan
access for agricultural commodities.
It was agreed that it was desirable for discussions
between officials to be initiated on these matters.
The Committee noted that such discussions would
signify an important aspect of the further development of
cooperative relations between the two countries.
Stable and continuing growth in trade in these items
was very important to both countries and ministers recognised
that, where appropriate and feasible, international commodity
agreements and mutually beneficial long term supply arrangements
which were consistent with their international obligations
would contribute to the achievement of this goal.
Australian Ministers expressed the view that Australia
should develop strong and healthy secondary industries which
would provide employment and contribute to the welfare of the
Australian people.
They took the opportunity to outline to Japanese
Ministers the new measures and policies extending beyond tariff
assistance that are currently being developed to promote the
development of a more efficient secondary industry in Australia,
Ministers recognised the mutual interdependence
and complementarity of Australia and Japan in energy and
natural resources. The Committee emphasised the importance of the mutual
reliability of the Japanese market for Australian natural
resources on the one hand, and on the other, of Australia as
a source of' supply of' these resources.
Ministers reaffirmed that it was desirable for officials
of the two Governments to continue to have discussions and exchange
of information on various aspects of their mutual interests in
developing, and processing and trade in mineral and energy
resources including uranium in Australia.
Ministers discussed the world situation on energy
supplies and noted the importance to both countries of continued
access to oil supplies.
Ministers also discussed alternative energy sources
and the increasing use of nuclear fuels for the production of
energy. Ministers noted that Australia had the potential to
become an important source of nuclear fuel.
The Committee welcomed the recent measures taken by
both countries to facilitate entry and stay for business
purposes, and agreed that the two Governments should continue
to give full consideration to this matter for mutual benefit.
The Australian Prime Minister introduced the W 1
Minister for Defence and Foreign Relations of Papua New Guinea,
Mr Maori Kiki, who gave an explanation of recent developments
in Papua New Guinea.
He reviewed the progress being made towards
independence, and explained Papua New Guinea's current
development policies as well as its interest in obtaining
development assistance from overseaso
Japanese Ministers noted the developments in Papua
New Guinea, expressed the wish that Papua New Guinea would
attain independence at an early date and noted that Japan
looked forward to the progressive establishment of full
cooperative relations with Papua New Guinea in all fields.
Australian MVinisters expressed their appreciation for
the hospitality and arrangements made by the Japanese Government
for this meeting of the Ministerial Committee.
At the conclusion of the meeting Australian and
Japanese Ministers expressed their pleasure at the wide
ranging and cordial nature of the discussions.
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Encouraged by the success of this meeting, Australian
and Japanese Ministers looked forward to the next meeting of
the Ministerial Committee, which has been provisionally
scheduled for 1974 in Canberra.