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The Honolulu Advertiser
Posted on: Saturday, July 26, 2003

Australian, U.S. officials work toward trade pact

By Sean Hao
Advertiser Staff Writer

A third round of negotiations aimed at freeing up trade between the United States and Australia wrapped up yesterday in Honolulu with officials for both sides hoping to sign an agreement by year's end.

A free-trade agreement between the United States and Australia, a key supporter of the war in Iraq, has become a top priority between the two countries.

This week, about 50 delegates from each side met at the East-West Center.

Delegates for both countries would not go into details of the agreement being negotiated, but in general the discussions have dealt with opening U.S. markets to Australian goods such as beef, sugar and macadamia nuts, which are important segments of Hawai'i's agriculture industry.

"The key focus of these negotiations on the agriculture side are market access," said Steve Deady, chief trade negotiator for the Australians. "There's gains to be made on both sides, and that's what we'll be seeking."

The meetings, which started July 17, involved the exchange of trade offers covering a wide range of goods and services. The two sides now head back to their respective countries in advance of the next round of meetings in Canberra, Australia, in late October. If all goes well, an agreement will be signed in Washington in December.

Hawai'i typically exports about $4 million to $5 million worth of goods to Australia each year, including military equipment, electronics and printed material, according to the Australian Consulate-General. Figures on Australian exports to Hawai'i were unavailable.

Talks also took place in Honolulu in May.

Hawai'i was chosen for trade discussions because of its location between the two countries and because negotiators can work free from political distractions.

"It's good to get both delegations out of their capitals," said Ralph Ives, lead negotiator for the American delegation.

"It also is a good time to get to know each other on an informal basis."

Reach Sean Hao at shao@honoluluadvertiser.com or 525-8093.