Canberra, 5 March 1981
The following is the text of a Joint Statement issued today by Mr J. W. Utz, President of the Australian arm of the Council and Mr W. J. R. Scollay, Chairman of the New Zealand arm of the Council:
‘The Australia — New Zealand Businessmen’s Councils in Australia and 1n New Zealand have re-examined the progress of discussions towards a closer economic relationship between Australia and New Zealand. The Councils on both sides of the Tasman have no doubt that there will continue to be a strong and growing economic relationship between Australia and New Zealand.
The question of the extent to which that continuing relationship should be subject to formal Government to Government agreement is ‘one which has been exhaustively examined in the last two years. There seems little doubt that a special relationship between Australia and New Zealand in economic matters should continue, based on mutual advantage.
Naturally, there are difficulties. If there were not, it would be a simple matter to form a customs union and full free trade agreement.
The Businessmen’s Councils in Australia and New Zealand issued a joint paper setting out the view that a closer economic relationship was desirable at the earliest possible time in the shape of an extended free trade agreement based on mutual advantage.
The mutual advantage must be an overall situation taking into account the total economies of the two countries and specific sensitive areas. It is impossible to foresee any arrangement being devised which is assured of advantages with no risks. Such risks must be identified as far as possible, their weight noted and decisions made accordingly on a balance of advantage.
Both Councils are completely of the view that at the earliest possible time the basis of the new economic relationship should be announced by the Australian and New Zealand Governments, such relationship should have as few reservations as possible.
Economic events are demanding positions being taken by Australia and New Zealand for development in the 1980s. There are hard facts to be faced by both countries in their competitive situations with the rest of the world.
The Businessmen’s Councils are concerned that Australia and New Zealand should define their relationship quickly so that they move ahead with international arrangements in the light of a regional grouping of two countries with an economic relationship as long as their trading histories.
Both Councils believe that the majority of businessmen favour a closer economic relationship between Australia and New Zealand, and urge Governments in both countries to clear with minimal delay the major remaining difficulties and formulate an agreed position which will give businessmen the confidence to make trading and investment decisions affecting relationships between Australia and New Zealand.’
[NAA: A1838, 370/1/19/18, xxi]