PRIME MINISTER
TRANSCRIPT PRESS CONFERENCE JAPAN NATIONAL PRESS
CLUB, 2 FEBRUARY 1984
E AND 0 E PROOF ONLY
PM: THANK YOU. I WANT TO SAY THAT AT THE OUTSET THAT I' M
EXTRAORDINARILY PLEASED WITH THE OUTCOME SO FAR OF MY FIRST
VISIT TO JAPAN AS PRIME MINISTER OF AUSTRALIA. ! T'S ENABLED
ME TO ESTABLISH THE GOOD PERSONAL RELATIONS AND THE RAPPORT WITH
YOUR PRIME MINISTER NAKASONE. AND IN THOSE DISCUSSIONS I HAVE BEEN
ENCOURAGED BY THE CLOSE IDENTITY OF VIEWS BETWEEN US ON A RANGE OF
GLOBAL AND REGIONAL AND POLITICAL AND ECONOMIC
ISSUES. IT'S PROVIDED ME AN OPPORTUNITY TO MEET OTHER SENIOR
JAPANESE MINISTERS, INCLUDING THE DIRECTOR-GENERAL OF THE ECONOMIC
PLANNING AGENCY AND THE MINISTER FOR FINANCE, AND THE FORMER FOREIGN
MINISTER DR OKITA.
IN THOSE MEETINGS IT HAS BEEN POSSIBLE TO HAVE SOME VERY FRANK AND
DIRECT EXCHANGES WITH THE TOP ECHELON OF JAPANESE BU . SINESS
AND INDUSTRY, PARTICULARLY FOLLOWING MY LUNCHEON MEETING YESTERDAY
WITH REPRESENTATIVES OF THE FIVE JAPANESE ECONOMIC
ORGANISATIONS AND LATER THIS AFTERNOON I WILL BE MEETING WITH LEADING
JAPANESE BANKERS.
MORE SPECIFICALLY, THE JOINT STATEMENT ISSUED BY PRIME MINISTER
NAKASONE AND I FOLLOWING OUR MEETING YESTERDAY MORNING UNDERLINES
OUR COMMON COMMITMENTS AND UNDERTAKINGS ON GLOBAL AND REGIONAL
AND ECONOMIC ISSUES AND~ qN SPECIFICALLY BILATERAL ISSUES.
AND I WANT TO SAY THAT THE WARMTH OF THE PRIME MINISTER's
WELCOME AND INDEED THAT OF HIS GOVERNMENT IS VERY MUCH APPRECIATED
BY MYSELF ON BEHLF OF ALL AUSTRALIANS, AND WE LOOK FORWARD
TO WELCOMING PRIME MINISTER NAKASONE TO AUSTRALIA IN MID-1984.
OUR TWO COUNTRIES SHARE A COMMON COMMITMENT TO WORKING FOR GLOBAL
DISARMAMENT, AND FOR ENSURING THAT NUCLEAR WEAPONS ARE NOT
REDEPLOYED TO NORTH ASIA. IN OTHER WORDS WE HAVE A COMMON INTEREST
IN SEEING THAT ANY DISCUSSIONS IN THE INF CONTEXT TO RESOLVE THE
EUROPEAN CONCERN ABOUT THE BUILD-UP OF WEAPONS THERE IS NOT
SATISFIED AS FAR AS THE SOVIET SIDE IS CONCERNED BY THE
REDEPLOYMENT OF W4EAPONS FROM THAT AREA TO THE SOVIET FAR EAST.
AND WE HAVE AGREED THAT IN THIS AREA, SPECIFICALLY AS WELL AS
OTHER SPECIFIC GLOBAL AND REGIONAL ISSUES SUCH AS, FOR EXAMPLE,
KAMPUCHEA AND THE MIDDLE EAST, THAT AUSTRALIA AND JAPAN SHOULD WORK
MORE CLOSELY TOGETHER THAN IN THfE PAST. WE HAVE MANY COMMON
INTERESTS AND IT IS AGREED THAT IT IS IMPORTANT TIIAT WE
REVITALISE THE RELATIONSHIP IN THE POLITICAL AND ECONOMIC AREAS.
THE DISCUSSIONS THAT I HAVE HAD WITH SENIOR GOVERNMENT
ECONOMIC MINISTERS AND INDUSTRY AND BUSINESS LEADERS HAS ENABLED ME
TO STRESS THAT AUSTRALIA WOULD BE VERY CONCERNED IF IN AREAS IN
WHICH THE GOVERNMENT HAS DIRECT INFLUENCE, SUCHl AS IN THE AREA OF
BEEF QUOTAS, THE AUSTRALIAN MARKET SHARE WAS TO BE ERODED IN THIS
COUNTRY BY ANY NEGOTIATIONS BETWEEN JAPAN AND THIRD COUNTRIES.
SIMILARLY, I HAVE STRESSED THAT IN AREAS SUCH A SIRON ORE AND COAL
EXPORTS WE WISH ONLY TO BE GIVEN, AS WE PUT IT IN AUSTRALIA,
A ' FAIR PARTICULARLY AT A TIME THAT JAPANESE LEADERS ARE
ENCOURAGED BY OUR IMPROVING INDUSTRIAL RELATIONS RECORD IN AUSTRALIh.
AND I WANT TO SAY THAT I WAS SATISFIED W4ITH THE HEARIN4G THAT I HAD
ON THESE MATTERS, AND WE WILL BE VERY CLOSELY MONITORING DEVELOPMENTS
IN THOSE AREAS.
THE MAIN COMPONENT OF AUSTRALIA'S EXPORTS TO JAPAN WILL OBVIOUSLY
CONTINUE TO BE IN PRIMARY PRODUCTS, INCLUDING MINERALS.
BUT AT THIS POINT WHEN CLEARLY THERE ARE IMPORTANT STRUCTURAL CH4ANGES
TAKING PLACE IN BOTH OUR ECONOMIES, IT'S IMPORTANT THAT AUSTRALIA
SHOULD BE AGRESSIVE IN EXPLOITING NEW MARKET CPPORTUNITIES IN THIS
COUNTRY FOR MANUFACTURED GOODS AND SERVICES. AND IN THIS RESPECT
I AM VERY PLEASED WITH DEVELPMENTS THAT HAVE OCCURRED OUT OF THE
DISCUSSIONS THAT I'VE HAD HERE. IN RESPONSE TO SUGGESTIONS FROM
( INAUDIBLE) WE WILL BE HAVING AN AUSTRALIAN EXPORT MISSION TO JAPAN
WITHIN A COUPLE OF MONTHS. AND THERE WAS A POSITIVE RESPONSE TO MY
SUGGESTION THAT AS THERE ARE JAPANESE EIIPORT EXPANSION MISSIONS TO
THE UNITED STATES, AND TO THE EUROPEAN ECONOMIC COMMUNITY, I
SUGGESTED THAT THERE SHOULD BE SUCH A MISSION TO AUSTRALIA AND THERE
HAS, AS I SAY, BEEN A POSITIVIE RESPONSE TO THAT. SO THOSE TWO
THINGS, I BELIEVE, WILL CONCRETELY START TO GIVE EFFECT TO OUR
COMMITMENT TO BE LOOKING FOR NEW MARKET OPPORTUNITIES. AND IN
ADDITION TO THAT WE WILL BE UNDERTAKING JOINT MARKET RESEARCH.
I HAVE BEEN ENCOURAGED BY THE COMMON VIEW THAT PRIME MINISTER
NAKASONE AND I HAVE ON THE NEED FOR A MORE OPEN MULTILATERAL TRADING
SYSTEM, AND PARTICULARLY ON THE NEED FOR A NEW MTN ROUND, AND I WILL
BE PUR SUING THESE DISCUSSIONS IN THE OTHER ASIAN CAPITALS WHICH I'LL
BE VISITING WITH A VIEW fO TRYING TO PREPARE THAT DEGREE COMMONALITY
THAT WE CAN ACHIEVE FROM THE COUNTRIES OF THE REGION IN RESPECT OF
SUCH A ROUND. WE BOTH ACKNOWLEDGE THAT IN THE PAST THERE HAS BEEN AN
EXCLUSION OF COMMODITIES OF INTEREST TO OUR COUNTRIES AND OTHER
COUNTRIES IN THE REGION. AND GIVEN THE SUBSTANCE OF THE ECONOMIES OF
OUR COUNTRIES IN THE REGION IT IS APPROPRIATE THAT WE TRY AND
ACHIEVE AS FAR AS POSSIBLE A COMMON REGIONAL POSITION IN PREPARATION
FOR SUCH A POSSIBLE NEW ROUND.
I WOULD ALSO SAY THAT I HAVE WELCOMED THE VERY SUPPORTIVE REACTION
OF THE PRIVATE SECTOR IN JAPAN TO MY GOVERNMENT'S ECONOMIC
POLICIES, PARTICULARLY THEY HAVE WELCOMED THE SIGNIFICANT IMPROVEMENT
IN THE INDUSTRIAL RELATIONS SITUATION IN AUSTRAL. IA, RESULTING FROM
THE PRICES AND INCOMES ACCORDv AND AS WELL THEY HAVE APPRECIATED
OUR APPROACH TO MACRO-ECONOMIC POLICIES GENERALLY AND TO FOREIGN
INDUSTRY AND INDUSTRY POLICY.
FINALLY MIGHT I SAY THAT THE QUESTION OF INDUSTRY POLICY WILL BE
THE SUBJECT OF A MAJOR SPEECH THAT I-LL BE MAKING IN OSAKA TOMORROW
AND I SIMPLY CONFINE MYSELF HERE TO SAY TH4AT WHILE THE JAPANESE MODEL
CLEARLY IS NOT CAPABLE OF TOTAL TRANSLATION INTO AUSTRALIA IT DOES
HAVE MUCH IN CONSENSUS BUILDING WITHIN OUR COMMUNITY, A CONSENSUS
WHICH I REGARD AS ESSENTIAL TO THE STRUCTURAL ADJUST11ENTS THAT
WILL HAVE TO TAKE PLACE IN AUSTRALIA IF WE ARE GOING TO BE ABLE
AS A NATION TO BENEFIT FROM BEING PART OF THIS DYNAMIC GROWTH REGION,
RATHER THAN TO DECLINE RELATIVELY IN LIVING STANDARDS TO OTHER
INDUSTRIALISED COUNTRIES OF OUR REGION.
JOURNALIST THE JOINT PRESS STATEMENT THAT WAS ISSUED
YESTERDAY IT WAS STRESSED THAT IT IS OBVIOUS THAT THE ASIAN PACIFIC
REGION IS GOING TO BE THE MOST DYNAMIC AREA OF THE WORLD
IN THE 21ST CENTURY. AMBASSADOR MANSFIELD OF THE UNITED STATES
ABOUT A YEAR AND A HALF AGO STRESSED AT THIS PRESS CLUB THAT THE
21ST CENTRURY IS GOING TO BE THE AREA OF THE PACIFIC. THE FORMER
AND LATE PRIME MINISTER OHIRA HAD A VISION OR CONCEPT OF
PAN-PACIFIC SOLIDARITY AND PROFESSOR ( INAUDIBLE) A POSSIBILITY OF
ESTABLISHING PACIFIC TRADE AND DEVELOPMENT ORGANISATIONS. MY
QUESTION TO PRIME MINISTER HAWKE IS THE FOLLOWING. DO YOU INTEND TO
TAKE IMAGINATIVE INITIATIVES IN THIS REGARD?
PM: WELL I DON'T KNOW WHETHER I WOULD DESCRIBE OUR APPROACHES
AS IMAGINATIVE INITIATIVES. THAT'S WHAT YOU PEOPLE GET SO WILL
PAID FOR, TO DESCRIBE WHAT WE HUMBLE POLTICIANS DO. BUT
LET ME PUT THESE POINTS. FIRSTLY, WE DON'T HAVE TO WAIT UNTIL THE
21ST CENTURY TO ACKNOWLEDGE THAT THE AREA TO WHICH YOU REFER
WILL BE THE FASTEST AND MOST DYNAMIC GROWING AREA OF THE WORLD.
IT ALREADY IS. AND THEREFORE WE ARE AS A GOVERNMENT MAKING
DECISIONS NOW WHICH WE THINK ARE RELEVANT TO THAT FACT. WE HAVE
NO REASON TO BELIEVE THAT IT WILL BE ANY DIFFERENT IN THE 21ST
CENTURY. THE SORTS OF THINGS THAT WE ARE CONCERNED TO DO ARE
AS FOLLOWS. FIRSTLY, TO ESTABLISH GOOD RELATIONS, IN THE
POLITICAL SENSE, WITH THE COUNTRIES OF THE REGION BECAUSE IT
IS MY VIEW AND OF MY GOVERNMENT THAT AUSTRALIA IS INEXTRICABLY
AND FOREVER A PART OF TRTE REGION. WE ARE NOT SOME EUROPEAN
OUPOST ON THE RIM. WE ARE PART OF THE REGION. SO THE INITIATIVES,
IF YOU LIKE, FIRSTLY ARE TO ESTABLISH CORDIAL RELATIONS WITH THE
GOVERNMENT OF THE AREA. SECONDLY, IT IS NO GOOD JUST BEING
FRIENDS AND BEING ABLE TO SAY HOW DO YOU DO IN A CHUMMY FASHION.
WE HAVE TO MAKE SURE THAT THE DECISIONS THAT WE TAKE IN THE AREA
OF TRADING RELATIONS AND SPECIFICALLY IN OUR STRUCTURAL POSITION
IN AUSTRALIA ENABLE US AS I HAVE PUT IT BEFORE TO ENMESH
AUSTRALIA INTO THAT DYNAMIC GROWING ECONOMY. IF WE DON'T DO THAT
WE ARE NOT GOING TO BE ABLE TO GET EITHER THE BENEFIT FROM
THAT GROWTH OF THE REGION OR TO MAKE SOME CONTRIBUTION TO IT.
THIRDLY, AND INITIATIVE THAT I HAVE TAKEN WHICH WAS FIRST
REFERRED TO EXPLICITILY IN BANGKOK IN NOVEMBER WAS TO SUGGEST
INTERNATIONAL TRADING SYSTEM AND THAT WE WANT THEREFORE TO SEE
A NEW MTN ROUND. AND REALLY IT MEANS THAT FIRST OF ALL THE
COUNTRIES OF THE REGION SHOULD MEET IN ADVANCE TO TRY AND IDENTIFY
THE COMMON INTERESTS THAT WE HAVE. IT WILL BE NO. GOOD HAVING
A NEW MTN ROUND LIKE THE LAST WHICH EXCLLUDED PRODUCTS OF OBVIOUS
INTEREST TO US, LIKE AGRICULTURAL PRODUCTS, PROCESSED MINERALS
TO NAME SOME OF INTEREST TO US AND OTHER TYPES OF GOODS OF INTEREST
TO COUNTRIES IN THE REGION WHICH WERE PREVIOUSLY EXCLUDED. SO
WE ARE TAKING AN INITIATIVE WHICH WERE PREVIOUSLY EXCLUDED. SO WE
ARE TAKING AN INITIATIVE IN THAT RESPECT. IN REGARD TO AN
ORGANISATIONAL CONCEPT THAT YOU REFERRED TO IN YOUR QUESTION:
THAT H4AS BEEN FLOATED IF YOU LIKE IN A NUMBER OF QUARTERS. WE
TAKE THIS POSITION IN REGARDS TO SUCH AN ORGANISATIONAL CONCEPT:
WE BELIEVE THAT THE TIME IS NOT READY FOR IT NOW BUT INSOFAR AS
DISCUSSIONS ARE TAKING PLACE, THE MOST RECENT IN BALI AT THE END
OF 1983, WE ARE PREPARED POSITIVELY TO PARTICIPATE IN THESE
DISCUSSIONS, TO HAVE WORKING COMMITTEES LOOIKING AT ASPECT OF THE
CONCEPT. BUT WE DO NOT TAKE THE VIEW THAT ORGANISATIONALLY THE
COUNTRIES OF THE REGION YET WANT TO GO TO THAT STAGE. IT MAY BE
SOMETHING FURTHER DOWN THE TRACK. WHAT IS IMPORTANT NOW FOR
AUSTRALIA, AND I THINK FOR THE REGION, IS THAT WE AS I SAY DO
EVERYTHING THAT WE CAN TO BE PART OF THE REGION IN OUR TRADING
RELATIONSHIPS AND RECIPROCALLY TO MAKE THE ADJUSTMENTS THAT ARE
NEEDED TO BE MADE IN AUSTRALIA, AND TO SEE THAT WE AS A REGION TRY
AND HAVE A COMMON APPROACH TOWARDS A NEW MTN ROUND.
JOURNALIST: PRIME MINISTER, YOU'VE HAD GOOD LUCK OR GOOD
EXPERIENCE WITH THE FREEING UP OF THE AUSTRALIAN DOLLAR AND
YOU'RE GOING TO MEET BANKERS THIS AFTERNOON. YOU'VE HAD TWO
STUDIES COMMISSIONED TO TRY TO FIGURE OUT WHAT SHOULD BE DONE
WITH THE BANKING SYSTEM IN AUSTRALIA. WHAT WOULD YOU LIKE TO
DO AND WHEN DO YOU THINK IT WILL BE DONE?
PM: THE QUESTION REFERS TO THE CAMPBELL COMMITTEE REPORT
WHICH WAS UNDERTAKEN BY THE PREVIOUS GOVERNMENT. WHEN WE CAME
IN WE ASKED A COMMITTEE HEADED BY MARTIN TO REPORT ON THAT
TO US IN THE LIGHT OF GOVERNMENT OBJECTIVES. THAT REPORT HAS
ONLY RECENTLY BEEN RECEIVED BY THE TREASURER, MR KEATING. HE
WILL BE MAKING A SUBMISSION TO THE CABINET SHORTLY AFTER MY
RETURN AND IT WOULDN'T, THEREFORE, BE APPROPRIATE FOR ME IN
ANY DETAIL TO SUGGEST PRECISELY WHAT WOULD HAPPEN. LET ME
HOWEVER, MAKE THESE OBSERVATIONS. FIRSTLY, IN FLOATING THE
DOLLAR YOU WILL BE AWARE THAT WE ALSO AT TH4AT TIME RELAXED A
NUMBER OF CONTROLS THAT HAD BEEN OPERATIVE. THIS WAS INDICATIVE
OF THE VIEW THAT WE THOUGHT WAS IN AUSTRALIA'S BEST FINANCIAL
AND ECONOMIC INTERESTS WHICH WOULD BE SERVED BY SOME FREEING UP
OF THE SYSTEM. AND THAT'S THE FIRST POINT THAT I WOULD MAKE.
THE SECOND IS TO SAY THAT IN THIS AUDIENCE WHAT I HAVE HAD CAUSE
TO SAY RECENTLY IN AUSTRALIA WHEN PEOPLE HAVE RAISED THE SAME
SORT OF QUESTIONS. AND THAT IS TO SAY THAT WITH TH4E GREAT SENSE
OF LABOUR HISTORY THAT WE HAVE IN OUR COUNTRY I FIND IT A LITTLE
BIT DIFFICULT TO UNDERSTAND WHY OUR PARTY, THE LABOR PARTY IN
AUSTRALIA, SHOULD HAVE ANY DEEP AND ABIDING SENSE OF COMMITMENT. TO
THE EXISTING PRIVATE BANKS IN AUSTRALIA, W4HO DON'T HAVE A GREAT
RECORD OF UNDYING COMMITMENT TO OUR CAUSE. ON THREE OCCASIONS
IN THE PAST TH4E SCULLIN GOVERNMENT, THE CHIFLEY GOVERNMENT
AND THE WHITLAM GOVERNMENT THEY WERE RATH4ER AT THE FOREFRONT
OF THE DEMISE OF THOSE GOVERNMENTS. SO I SIMPLY MAKE THAT POINT
AS A MATTER OF HISTORICAL INTEREST, WHIICH I THINK IS NOT
ALTOGETHER IRRELEVANT TO CURRENT CONSIDERATIONS. FROM THOSE TWO
OBSERVATIONS YOU MAY DRAW A CONCLUSION AS To MY OWN THINKING,
BUT BEING A DEMOCRATIC PRIME MINISTER I, OF COURSE, DON'T MAKE
DECISIONS I AWAIT A CONSIDERATION OF TH4IS MATTER BY OUR
CABINET AND OUR PARTY.
JOURNALIST: PRIME MINISTER, I BELIEVE THE QUESTION OF DUMPING
OF NUCLEAR WASTE IN THE PACIFIC CAME UP IN THE TALKS YESTERDAY.
1W1AT WAS THE EXTENT OF THE UNDERSTANDING SOUGlHI BY MR NAKASONE.
WHAT WAS YOUR RESPONSE AND WAS IS YOUR OPINION OF T1HE WH4OLE
BUSINESS.
PM: PRIME MINISTER NAKASONE DID RAISE THIS ISSUE IN THE
DISCUSSIONS BETWEEN US AND MY RESPONSE WAS IN THESE TERMS.
I SAID THAT AT THE MEETING OF THE SOUTH PACIFIC FORUM COUNTRIES
WHICH WE HOSTED IN AUSTRALIA LAST YEAR, ALL THE COUNTRIES OF
THE FORUM INCLUDING, OF COURSE, AUSTRALIA RAISED THEIR SERIOUS
CONCERN ABOUT PROPOSALS FOR THE DUMPING OF LOW LEVEL NUCLEAR
WASTE BY JAPAN IN THE PACIFIC. AND I INDICATED TO MR NAKASONE
THAT CONCERN THAT WE SHARED WITH THE COUNTRIES OF THE SOUTH
PACIFIC AND I SAID THAT I WELCOMED THE INDICATIONS THAT
JAPAN HAD POSTPONED AT LEAST, AS I UNDERSTOOD IT, UNTIL 1985
ANY SUGGESTION THAT THEY MAY PURSUE THAT COURSE OF ACTION
WHICH HAD BEEN RAISED AS A POSSIBILITY EARLIER. AND FURTHER
THAT I ALSO WELCOMED THE INDICATIONS AVAILABLE THAT JAPAN
WAS PURSING MORE VIGOROUSLY THE POSSIBILITY OF THE STORING
OF SUCH LOW LEVEL WASTE ON LAND RATHER THAN THE DUMPING
AT SEA. I INDICATED TO MR NAKASONE OUR INTEREST THAT THAT
COURSE SHOULD BE FOLLOWED.
JOURNALIST YOU HAVE SAID THAT THE BEEF QUOTA WILL NOT
BE ERODED BY ( INAUDIBLE) INCREASIN THE MARKET. DID YOU MEAN
THAT YOU WANT TO RETAIN THE SAME QUOTA WHICH EXISTED PREVIOUSLY,
OR ARE YOU SAYING THAT YOU WOULD LIKE TO HAVE THE QUOTA EXPANDED
IF THAT IS TO BE EXPANDED WITH THE UNITED STATES IN ACCORDANCE
( INAUDIBLE). AND ANOTHER QUESTION, ARE YOU SIMPLY SAYING THAT
YOU WOULD LIKE THE QUOTA EXPANDED OR IN THE FINAL ANALYSIS
ARE YOU ASKING FOR LIBERALISATION OF THE MARKET FOR AUSTRALIA BEEF.
IF THAT IS THE CASE, THAT IS IF IT IS THE LATTER, THEN
HAVE YOU MENTIONED THIS TO PRIME MINISTER NAKASONE.
PM: LET ME REMIND YOU OF THE ACTUAL WORDING OF THE JOINT COMMUNIQUE
WHICH IS RELEVANT TO YOUR. QUESTION THE JAPANESE
SIDE BELIEVES THAT THE POSITION OF AUSTRALIA AS A SUPPLIER
OF PRIMARY PRODUCTS WILL NOT DECLINE SO LONG AS THESE AUSTRALIAN
PRODUCTS MAINTAIN THEIR COMPETITIVENESS AND THEIR STABLE SUPPLY
IS ASSURRED. THE JAPANESE SIDE CONFIRMS THAT IT HAD NO INTENTION
OF DEALING WITH THE TRADE PROBLEMS OF THIRD COUNTRIES AT THE
EXPENSE OF AUSTRALIA. N. 0W WE INTERPERET THAT TO MEAN THAT
AUSTRALIA WILL MAINTAIN ITS SHARE OF THE JAPANESE BEEF MARKET.
PICKING UP YOUR QUESTION THIS WAY-OBVIOUSLY THE IDEAL POSITION
FOR US WOULD BE THAT THE TOTAL LIBERALISATION OF THE BEEF MARKET
FOR US WOULD BE THA
HERE. BUT IN THE SITUATION OF LESS THAN THAT IDEAL POSITION WHERE
THESE IS TOTAL LIBERALISATION, THEN I PUT TO YOU THAT FOLLOWING
THE ASSURANCES CONTAINED IN THAT JOINT COMMUNIQUE I AM CONFIDENT
THAT ANY INCREASE IN AMERICAN BEEF SALES WOULD BE ACCOMPANIED
BY AN INCREASE IN AUSTRALIAN SALES. AS I SAY WE LOOK FORWARD
TO THE EVENTUAL REMOVAL OF JAPANESE BEEF IMPORT QUOTAS. BUT
WHILE THEY EXIST OUR POSITION IS THAT AUSTRALIAN BEEF SALES
TO JAPAN SHOULD BE ALLOWED TO EXPAND AS RAPIDLY AS ANY OTHER
COUNTRY'S. JOURNALIST: I RELAISE YOU'VE BEEN ASKED THIS QUESTION A FEW
TIMES IN RECENT DAYS. BUT IF I COULD ASK IT ONCE MORE THERE'S
BEEN SOME DISCUSSION THAT AUSTRALIA MAY BE SACRIFICED IN THESE
AGREEMENTS THAT ARE BEIN4G MADE BETWEEN JAPAN AND) THE U. S.
REGARDING BEEF IMPORTS. COULD YOU COMMENT
ON THIS ONCE MORE AND A SECOND AND SEPARATE QUESTION DO YOU
HAVE ANY FEELINGS ABOUT PRESIDENT REAGAN'S PLANS TO RUN FOR REELECTION.
P M: I'VE OBVIOUSLY JUST ANSWERED THE FIRST QUESTION AND
THERE'S NO POINT IN REPEATING IT AGAIN. IN REGARD TO THE
SECOND THAT DESPITE THE FACT THAT SOME PEOPLE MIGHT THINK THAT
THERE IS SUCH A THING AS AN INCUMBENTS' UNION I REFRAIN, OF
COURSE, FROM INTERVENING IN ANY WAY IN THE INTERNAL POLITICAL
AFFAIRS OF ANOTHER COUNTRY. I SIMPLY SAY AS A FACT THAT I
HAVE ENJOYED GOOD PERSONAL RELATIONS WITH PRESIDENT REAGAN.
THAT IS A FACT. BUT, OF COURSE, THE INTERNAL AFFAIRS OF
THAT GREAT DEMOCRACY, THE UNITED STATES, ARE FOR THE UNITED
STATES AND NEITHER PRESIDENT REAGAN NOR HIS DEMOCRATIC
OPPONENTS WOULD WELCOME MY INTERVENTION IN THEIR INTERNAL
AFFAIRS ANY MORE THAN I WOULD WELCOME THEIRS IN OURS.
JOURNALIST WOULD YOU CONCEDE THAT THE NUCLEAR DUMPING ISSUE IS
AT A DELICATE POINT BETWEEN AUSTRALIA AND JAPAN. AND
SECONDLY, HOW CONCERNED ARE YOU THAT THAT COULD DEVELOP INTO
A PROBLEM THAT COULD ERODE THE GOOD RELATIONS AUSTRALIA AND
JAPAN HAVE DEVELOPED IN THE POST-WAR PERIOD?
PM: WHETHER IT IS A DELICATE ISSUE IS A MATTER OF CHOICE OF
WORDS. IT'S A SIGNIFICANT ISSUE. AND I AM CONFIDENT THAT
THE JAPANESE GOVERNMENT AND PEOPLE ATTACH4 SUCH IMPORTANCE TO THEIR
RELATIONS WITH NOT MERELY AUSTRALIA BUT THE LARGE
NUMBER OF INDPENDENT NATIONS IN THE PACIFIC REGION THAT
THEY WIL TAKE INTO ACCOUNT OUR CONCERNS. I'M SURE THAT
THEY WILL DISCUSS THIS ISSUE WITH US AND I AM H4OPEFUL THAT
IT CAN BE RESOLVED IN A WAY WHICH WILL NOT LEAD TO THE
COMPLICATIONS WHICH YOU ALLUDE TO IN YOUR QUESTION.
JOURNALIST: I WOULD LIKE TO HAVE YOUR COMMENTS CONCERNING
THE RECENT RISE OF EXPANSION OF JAPANESE MILITARY AND DEFENCE
EPXPENDITURE WITH REGARD. TO PEACE AND STABILITY OR SECURITY...
PM: THIS WAS A MATTER THAT WAS DISCUSSED BETWEEN PRIME
MINISTER NAKASONE AND MYSELF. I THINK THERE WERE TWO OR THREE
POINTS THAT OUGHT TO BE MADE AND WHAT I WOULD SAY IS CONSISTENT
WITH THE DISCUSSIONS THAT MY FOREIGN MINISTER, MR HAYDEN, HAD,
WHEN HE WAS HERE IN JAPAN. FIRSTLY, I WOULD SAY THAT JAPAN IS
A SOVEREIGN NATION AND IT CAN'T BE TREATED AS A LESS THAN
SOVEREIGN NATION, A SECOND CLASS COUNTRY. IT HAS THE RIGHT
TO MAKE ITS DECISIONS IN THESE MATTERS. HAVING SAID THAT WE
HAVE CONVEYED TO TH4E JAPANESE GOVERNMENT, BOTH MR HAYDEN AND
MYSELF, OUR INDICATION OF THE SENSITIVITIES THAT EXIST BOTH WITHIN
JAPAN ITSELF AND IN THE REGION ABOUT ANY SUGGESTION
THAT THERE SHOULD BE SUCH AN EXTENSION OF JAPANESE EXPENDITURE
IN THE DEFENCE AREA THAT JAPAN COULD BE SEEN TO BE ADOPTING
ANY STANCE WHICH WAS OTHER THAN WHAT WAS NECESSARY FOR THE
PURPOSES OF ITS OWN DEFENCE AND ( BL) FOR THE PROPER GIVING
EFFECT TO ITS DEFENCE RELATIONSHIP AND MUTUAL SECURITY
RELATIONSHIP AND UNDER THE OBLIGATIONS OF THE MUTUAL SECURITY
TREATY WITH THE UNITED STATES. WE HAVE INDICATED THAT WE
BELIEVE THAT TH4E OBLIGATIONS WH4ICH JAPAN IS BEGINNING
ACCEPT IN RESPECT TO THE DEFENCE OF THE SOUTH4 WEST AND THE
SOUTH EAST ARE CONSISTENT WITH THAT DEFENCE STANCE.
THOSE ARE THE CONSIDERATIONS THA-r BOTH MR HAYDEN, MY
FOREIGN MINISTER, AND I PUT TO THE JAPANESE GOVERNMENT.
JOURNALIST WOULD YOU ACCEPT THAT IF AUSTRALIA IS TO DEVELOP
ITS ECONOMIC AND TRADING RELATIONS WITHIN THE REGION, THAT IT
NEEDS TO SCALE DOWN QUITE SIGNIFICANTLY THE LEVEL OF INDUSTRY
PROTECTION WHICH CURRENTLY EXISTS TO GIVE NATIONS IN THE AREA
ACCESS TO THE AUSTRALIAN MARKET. IF YOU DO COULD YOU TELL US
BY HOW MUCH AND WHICH INDUSTRIES AND WHERE.
PM: LET ME MAKE THESE POINTS IN RESPONSE TO THAT. IT'S
AN IMPORTANT QUESTION. YOU WILL KNOW THAT PRIOR TO THIS VISIT
THAT I'M UNDERTAKING TO JAPAN AND OTHER ASIAN COUNTRIES THAT
WE HAVE SENT AHEAD AN ECONOMIC EXPERT FROM MY OWN STAFF AND
ALSO FROM THE DEPARTMENT OF TRADE. AND WHAT HAS BEEN CONVEYED
NOT MERELY FROM THEM BUT FROM OTHER SOURCES IS THAT THE ATTITUDE
IN THE ASIAN COUNTRIES TO OUR LEVEL OF PROTECTION IS NOW NOT
ONE WHERE THAT HAS BEEN POINTED OUT OF ITSELF AS A CURRENT
CAUSE FOR CONCERN. THERE IS A PERCEPTION AS IT'S REPORTE
TO ME OF AN UNDERSTANDING THAT AUSTRALIA IS SERIOUS ABOUT
APPROACHING THE QUESTION OF RESTRUCTURING IT'S INDUSTRY
IN A W4AY WHICH TAKES ACCOUNT OF THOSE FACTORS THAT I REFERRED
TO IN MY EARLIER ANSWER ABOUT BEING PART OF THIS REGION.
AND INDEED WE CAN POINT TO ACTION UNDER OUR GOVERNMENT WHICH
GIVES WEIGHT TO THAT PERCEPTION. TO BE PRECISE THE NATURE
OF OUR STEEL INDUSTRY PLAN, AS YOU KNOW, WAS SUCH AS TO
BE ACCEPTABLE NOT ONLY WITHIN AUSTRALIA BUT UNDERSTOOD BY
COUNTRIES IN THE REGION. THERE IS A PERCEPTION THAT WE ARE
SERIOUS ABOUT OUR APPROACH TO RESTRUCTURING AUSTRALIAN
INDUSTRY. THAT LEADS ME SECONDLY TO SAY THAT IN THAT
SENSE IT'S NOT IMPORTANT OR INDEED HELPFUL FOR ME TO SAY
NOW THAT WE ARE TALKING ABOUT PERCENT REDUCTION IN OUR
TARIFF LEVELS OR TO AT-THIS POINT IDENTIFY THAT PARTICULAR
INDUSTRY AND TO SAY IT WILL BE DONE BY SUCH AND SUCH A DATE.
WHAT IS IMPORTANT IS THAT WE NEED NOW WITHIN AUSTRALIA TO
EXTEND A DISCUSSION WITH INDUSTRY BY WHICH, OF COURSE, AS YOU
KNOW, I ALWAYS INCLUDE THE TRADE UNION MOVEMENT SO THAT
THERE WILL BE AN UNDERSTANDING. BUT AS WE CONTINUE NOW WITH
THE SIGNIFICANT ECONOMIC RECOVERY THAT IS TAKING PLACE THAT
WE TOGETHER ADOPT A RANGE OF MECHANISMS WHICH IS GOING TO
GIVE EMPHASIS TO THOSE INDUSTRIES WHICH HAVE THE GREATEST
OPPORTUNITY FOR GROWTH WITHIN AUSTRALIA AND WH4ICH ALSO
ARE OF A SORT THAT FIT IN WITH WHAT I'VE BEEN TALKING ABOUT
IN REGARD TO ATTEMPT TO EXPAND OUR LEVEL OF MANUFACTURED
EXPORTS AND SERVICES TO THE ASIAN PACIFIC REGION. SO WHAT
I'M SAYING GREG IS AND THIS IS NOT AVOIDING YOUR QUESTION,
I'M SIMPLY SAYING THAT THE IMPORTANT THING IS THAT THE AREA
UNDERSTAND THAT WE ARE SERIOUS AND THAT WE HAVE GIVEN EVIDENCE
OF IT. THAT THE AUSTRALIAN COM4MUNITY UNDERSTANDS THAT THE
GOVERNMENT IS SERIOUS AND THAT NOW WE UNDERTAKE THE PROCESSES
OF DISCUSSION. * AND ALSO START THE PROCESSES OF ASSISTANCE WHICH
WE HAVE, OF ENCOURAGEMENT FOR NEW INDUSTRIES THAT W4E HAVE, AND
MY VIEW THEREFORE IS THAT WE WILL GIVE PRIORITY TO THE DISCUSSIONS,
WE WILL GIVE PRIORITY IN THE DECISIONS WE TAKE, TO SUPPORTIVE
MECHANISM AND MEASURES WHICH WE'LL ENCOURAGE RELEVANT
INDUSTRIES EXISTING AND NEW. AND AS TO TIMETABLE I CAN'T
SAY THEREFORE THAT WITHIN 12 MONTH4S YOU 14ILL BE ABLE TO POINT
TO SOME SIGNIFICANTLY RESTRUCTURED, BUT I DO BELIEVE THAT YOU
WILL BE ABLE TO SAY WTTHTN THAT SORT OF TIMETABLE T1HAT THERE
WILL BE AN ACCEPTANCE WITHIN AUSTRALIA OF T14E SERIOUSNESS OF
GOVERNMENT AND OF INDUSTRY AND OF TH4E TRADE UNIONS TO ADOPT THIS NEW
APPROACH. MAY I FINALLY MAKE THIS POINT THAT I DON'T THINK IT'S
FAIR TO EXISTING AUSTRALIAN EMPLOYER AND TRADE UN4ION INTEREST TO
ASSUME THAT THEY ARE IMPLACABLY OPPOSED TO THESE NEW SORTS OF
INITIATIVES. I THINK THAT THERE IS EVIDENCE WITHIN THE TRADE UNIONS
AND WITHIN INDUSTRY THAT THERE IS AN UNDERSTANDING OF THE NEED TO
CHANGE. AS I WILL BE SAYING IN MORE DETAIL TOM4ORROW WHEN I
ADDRESS THIS SUBECT, IT IS NOT GOOD ENOUGH FOR US IN AUSTRALIA NOW
TO POINT TO AN EXISTING SITUATION AND SAY THAT MUST BE KEPT BECAUSE
IT WILL PROVIDE EMPLOYMENT FOR PEOPLE AT THIS POINT OF TIME.
WHAT WE'VE GOT TO HAVE IS A LONGER RANGE VISION AND SAY NOT
WHAT IS JUST IMPORTANT FOR PART OF THIS GENERATION BUT WHAT
IS MOST LIKELY TO BE SIGNIFICANT FOR A BETTER STANDARD OF
LIVING FOR THE NEXT GENERATION.
JOURNALIST: I UNDERSTAND FROM YOUR DISCUSSION WITH PRIME
MINISTER NAKASONE THAT YOU HAVE TALKED ON THE PROBLEM OF THE
MIDDLE EAST. IF IT IS POSSIBLE I WOULD LIKE TO HAVE THE
CONTENT OF THAT DISCUSSION. I ALSO WOULD LIKE TO KNOW YOUR
BASIC POLICY AND BASIC THINKING TOWARDS THE MIDDLE EAST,
IN PARTICULAR CONCERNING LEBANON...
PM: PRIME MINISTER NAKASONE AND I AGREED AS IS OBVIOUS
THAT THE MIDDLE EAST CONTINUES TO BE ONE OF THE TENSION AND
POSSIBLE FLASHPOINTS IN THE WORLD. AS FAR AS OUR ASSESSMENT
OF THE PRESENT POSITION IS CONCERNED TH4ERE IS NOT A GREAT
DEAL OF GROUND IT SEEMS TO ME FOR ' OPTIMISM. AS FAR AS THE
PRINCIPLES ARE CONCERNED THAT UNDERLINE THE APPROACH OF MY
GOVERNMENT, THEY ARE AT ONE AND THE SAME TIME EASY OF
STATEMENT BUT VERY DIFFICULT OF ACHIEVEMENT. THE BASIC
PRINCIPLES WHICH UNDERLINE OUR APPROACH TO THE MIDDLE EAST
ARE THE RIGHT ISRAEL TO EXIST AS A SOVEREIGN STATE BEHIND
SECURE AND RECOGNISED BORDERS AND ALSO A RECOGNITION OF
THE RIGHT OF THE PALESTINIAN PEOPLE. IF NECESSARY OUT OF
NEGOTIATIONS ( INAUDIBLE) IF THAT IS WHAT IS WANTED, IT'S
A MATTER FOR DECISION -QVT OF THE NEGOTIATION PROCESSES.
BUT TO GET TO THE STAGE: OF NEGOTIATION OF COURSE IS A GREAT
PROBLEM. SO WITH ALL THAT WE, WITH OUR LIMITED CAPACITIES
TO MOVE IN INTERNATIONAL FORA, WE PRESS THAT THERE BE ACTION
TO RESOLVE THE CONFLICT IN LEBANON. WE BELIEVE THERE SHOULD
BE A WITHDRAWAL OF ALL FOREIGN FORCES FROM THE LEBANON AND
THAT QONLY THOSE FORCES SHOULD BE THERE WHICH ARE AT THE
REQUEST OF THE GOVERNMENT OF LEBANON. NOW CLEARLY, AS YOUR
QUESTION IMPLIES, THERE ARE GOWING DIFFICULTIES OVER THE
COMPOSITION OF THE FOREIGN FORCES THAT ARE THERE AT THE REUQEST OF
THE LEBANESE GOVERNMENT AND INDEED IT IS ARGUABLE THAT IT MAY BE
A BETTER SITUATION IF YOU COULD HAVE A
UNITED NATIONS SPONSORED FORCE THERE. BUT YOU MAY GIVEN THE
COMPOSITION OF THE UNITED NATIONS, THE DIFFICULTIES THAT
1WOULD INTRINSICALLY BE INVOLVED IN ACHIEVING THAT POSITION
( TAPE BREAK) I AN M4Y GOVERNMENT SAY THAT WE WILL DO WHAT
WE CAN IN OUR LIMITED WAY TO CONTRIBUTE TO TH4E DISCUSSIONS
THERE. NOW IF YOU'RE BEING OBJECTIVE ABO3UT YOUR ASSESSMENTS
OF THE PRESENT POSITION I WOULD THINK YOU W4OULD HAVE TO SAY THAT
IT'S A VERY PESSIMISTIC SITUATION PESSIMISTIC IN REGARD TO
THE LEBANON AND IN REGARD TO THE WIDER CONFLICT BECAUSE YOU
CAN'T IDENTIFY GROUPS, ONE GROUP HERE AND ANOTHER GROUP
THERE. YOU CAN SAY TH4ERE IS ISRAEL,.,' IN RESPECT OF THE ARAB SITATE'S
YOU CAN SAY THEREIS ISRAEL.\ IN RESPECT OF THE ARAB STATES
THERE IS CONFLICT' THERE BETWEEN THEMb! WITHIN THE PLO NOW THERE
IS CONFJACI IN REGARD TO THAT'. ORGANLSATION AND YOU HAVE TWO
OF THE ABUTTING INATIONS TO ISRAEL SYRIA AND JORDAN
DIAMETRICALLY OP~ POSED IN PHEIR APPROACH ' BOTH TO THE BORDE-R ISSUES
AND TOWARDS THE PLO ITSELF. ; SO YOU'VE ; GOT A CONFLICT OF DIFFICULTIES
AND I; WISH I COULD SAY OTHER THAN THIS# BUT I HAVE A CONSIDERABLE
DEGREE OF PESSIMISM IN TH4E IMMEDIATE SENSE ABOUT THE POSITION IN
THE MIDDLE EAST.
PMH: WOULD I JUST ADD VERY BRIEFLY THIS OVSERVATION TH4AT
OF COURSE ONE OTHER ELEMENT IN TH4E AREA WHICH IS I KNOW OF
VERY CONSIDERABLE CONCERN TO JAPAN IS THE
CONTINUING CONFLICT BETWEEN IRAN AND IRAQ. YOU ARE SO DEPENDENT
UPON THE OIL SUPPLIES THAT COME THROUGH THE STRAIT OF HORMUZ AND
WE DID DISCUSS THIS, PRIME MINISTER NAKASONE AND MYSELF, AND I
UST WOULD INDICATE IN THIS CONTEXT THAT WE APPRECIATE THE
FACT THAT JAPAN IS THE ONLY COUNTRY IN THE NON-COMMUNIST
AREA, OR IF NOT IN ANY PART OF THE WORLD, WHICH HAS THE
CAPACITY TO TALK TO BOTH IRAN AND IRAQ. THEY. HAVE BEEN
TALKING AND WE CERTAINLY ENCOURAGE AND WELCOME ANY EFFORT
THAT JAPAN CAN MAKE TO TRY AND GET SOME RESOLUTION TO WHAT
HAS BEEN INTRINSICALLY A DISASTROUS CONFLICT FOR THE PEOPLE
OF THE AREA AND POTENTIALLY SUCH A DISASTROUS CONFLICT FOR
THE REST OF THE WORLD.
PM: I'M ALWAYS RELUCTANT TO SAY AN ADDITIONAL WORD AS THE
AUSTRALIAN PRESS CONTINGENT WILL TELL YOU. I SIMPLY SAY THAT
WE ATTACH FUNDAMENTAL IMPORTANCE TO THE RELATIONS BETWEEN OUR
TWO COUNTRIES. WE HAVE SO MANY THINGS IN COMMON AN
IMPORTANT ECONOMIC AND TRADING RELATIONSHIP, COMMON PERCEPTIONS OF
THE SECURITY INTERESTS OF THE AREA, A SHARED ALLIANCE RELATIONSHIP
WITH THE UNITED STATES, AND ASSURED COMMITMENT TO TH4E PROCESSES
OF PARLIAMENTARY DEMOCRACY. THERE ARE FEW COUNTRIES IN OUR
REGION WHICH SHARED SUCH FUNDAMENTALS AND MY GOVERNMENT WILL
BE WORKING TO SEE THAT IIN THE MOST CONSTRUCTIVE WE CAN, WE
BUILD UPON THO0SE IMPORTANT FUNDAMENTALS THAT BOND US TOGETHER.
( GIFT PRESENTED)
PH: COULD I JUST MAKE THIS POINT AND SAY THANK YOU. I
READ SOME FASCINATING FIGURES ABOUT KOALAS. IT WAS SUGGESTED THAT
ONCE A KOALA STAYED IN THE ZOO THERE WOUL-D BE AN INCREASE IN VI$ IuTORS
TO THE ZOO FROM 6 MILLION TO ABOUT 10 MILLION. I THOUGH4T IF
WE COULD PERHAPS GET A PERCENTAGE OF THE ENTRANCE FEES WE COULD
DO A LOT TO STRENGTHEN THE TRADE BALANCE BETWEEN OUR TWO
COUNTRIES.