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CNN World Report

U.S. Considering Lamb Options

Aired July 01, 2001 - 14:31   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
SHIHAB RATTANSI, CNN ANCHOR: The United States is considering options after the World Trade Organization upheld the ruling ordering it to lift tariffs on lamb imports from New Zealand and Australia. The U.S. imposed the tariffs two years ago after sheep farmers said they were being hurt by cheap imports from the two countries. The WTO found the tariffs were illegal under trade rules. As TV New Zealand reports, the ruling is a victory for farmers there, who way the tariffs had cost the lamb industry millions of dollars.

(BEGIN VIDEOTAPE)

MIKE JASPERS, TVNZ: Our lamb in American stores. Soon there could be more.

CHRIS PARR, SHEEP FARMER: The World Trade Organization is standing up for some of the lesser countries I think and it will be a kick in the ass for the Yanks, I think.

JASPERS: Farmers fought it all the way. Today's decision exhausts America's appeals. It lost an earlier one in October.

PARR: There's a big market and they certainly can't handle it, so I think they should let others in.

JASPERS: Bill Clinton champions free trade, but two years ago he tried to win the votes of 70,000 American sheep farmers who claimed they were losing sales to our cheaper meat. The president slapped 50 tariffs on quotas on all lamb imports, now they must go.

JIM SUTTON, TRADE MINISTER: The concerns that U.S. restrictions on our exports are unjustified and have to be removed.

JEFF GRANT, NEW ZEALAND MEAT CHAIRMAN: There is no proof that the New Zealand and Australia collectively were depriving the American sheep farmer of market access.

JASPERS: Wealthy Americans buy $180 million of our lamb a year. Not much, but it's a growing and lucrative market. Now the gates should open again.

GRANT: There is no limitation in terms of the volume that we could put into the American market.

JASPERS: American sheep farmers warn they won't give up their fight against cheap New Zealand lamb.

PETER DRWICK, AMERICAN SHEEP INDUSTRY SPOKESMAN: To get the value that there is in the American market I think to just return to the cut-rate pricing that was taking place before, I don't think that would be positive for the growers in any of the countries.

JASPERS: So your hope is that the tariffs remain in place?

DRWICK: America has until July to tell the World Trade Organization what it will do.

SUTTON: It is an opportunity for the new administration to discard a policy that has proved to be unsustainable.

GRANT: The whole integrity of WTO and the ability to trade internationally is based on countries accepting the rulings.

JASPERS: Farmers remain worried.

GRAEME CURRY, SHEEP FARMER: They are (UNINTELLIGIBLE) to themselves and as long as everything goes their way that's all that matters.

JASPERS: The final victory will still depend on Washington. From Television New Zealand, I'm Mike Jaspers reporting for the CNN WORLD REPORT.

(END VIDEOTAPE)

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