NZ told: Push for US deal

By LIAM DANN

New Zealand needs to push hard for a free trade agreement with the US before the presidential election or it risks losing the momentum gained through the Australian deal, says American Australian Association chairman Malcolm Binks.

"I think the Government and business of New Zealand needs to keep knocking on the US door to let them know they want that agreement," Binks said.

"Because if it slides off the table it will be hard to get it back on again."

Binks, who is visiting the country this month, said it should now be easier for New Zealand to get to get a trade deal.

Most of the precedents had been set, he said.

"The Australian and New Zealand economies share some of the same ingredients," he said.

"Other than for sugar most of the agricultural issues have been solved - albeit with long lead times."

Binks believes the US will not want to see the trading balance in the Australasian region distorted by the agreement with Australia.

"You're close to a single market down here so for one part of that market to have access to a free trade deal, and the other not, just doesn't make any sense," he said

"It may affect investments and trade flows and that kind of thing."

The Iraq issue was fading now and our lack of involvement in the initial stages of the conflict was unlikely to count against us, Binks said.

The nuclear issue would probably be more of a question mark than Iraq now, he said.

The AAA was a keen supporter of the Australian bilateral trade deal with the US.

It was established by Rupert Murdoch's father Sir Keith Murdoch 57 years ago.

While New Zealand is not in the association's name, it is covered in the charter.

Binks is British but has lived in New York for almost 30 years.

As merchant banker with Merrill Lynch he looked after the Australasia region and that led to his involvement with the AAA.

During the 1980s he worked with Roger Douglas and the New Zealand Ministry of Finance.