Fed: PM says govt will consider Labor FTA amendment

AAP General News (Australia)
08-06-2004
Fed: PM says govt will consider Labor FTA amendment

CANBERRA, Aug 6 AAP - The government appears closer to agreement with Labor over the
free trade deadlock with Prime Minister John Howard declaring he would consider the proposed
opposition amendment.

But Mr Howard said the government still believed no further change to the free trade
agreement was needed to protect the Pharmaceutical Benefits Scheme (PBS) from predatory
drug companies.

Speaking shortly before departing for the Pacific Islands Forum in Western Samoa, Mr
Howard said it was regrettable the free trade agreement (FTA) row was heading into its
second week.

"As far as Mr Latham is concerned it does seem to me that he has shifted his position,"

he told reporters.

"He is now talking about a different kind of amendment than he was on Tuesday. The
next step in this matter is for him to produce that amendment so we can have a look at
it."

Mr Howard said the government continued to believe the proposed Labor amendment - aimed
at penalising drug companies which take out unnecessary patents aimed at stopping cheap
generic drugs from from reaching the market - was unnecessary.

"However, if the Labor Party has an amendment that is not damaging to the patent law
of this country, and that would not be desirable, well let it bring it forward and let
us have a look at it," he said.

Mr Howard said it had to be kept in mind that the FTA had not harmed the PBS.

"We would not have signed the agreement if it had. So therefore any suggestion that
it has is just not right. The PBS is rock solid dead centre in our health policy and we
have not done anything to compromise the PBS," he said.

Mr Howard said securing the agreement with the United States was far more important
than any temporary political advantage that the government or the opposition might gain.

He said the national interest required both the government and opposition to deliver
on the free trade agreement.

"Political advantage for either side, certainly in the short term, is quite secondary
to the national interest that is involved in delivering the free trade agreement."

AAP mb/it/jlw

KEYWORD: TRADE US HOWARD LEAD

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