Australia, New Zealand - and the poisoned apple?

Apples have been a source of friction in the trans-Tasman relationship for almost 90 years, but the dispute may be about to enter a new, more dangerous and more decisive phase.

Australia's WTO Appellant Body appeal was heard on 11 and 12 of October 2010 in Geneva and a ruling is expected before the end of the year. The most likely result is that (at least some aspects of) the WTO Panel's decision will be upheld and Australia will be instructed to come into compliance with the WTO Sanitary and Phyto-Sanitary Agreement (SPS Agreement). And it is then that the weapons of engagement may change.

But first, a little history.

Australia banned New Zealand apple imports in 1921 after the discovery in New Zealand of fire blight. Since 1986 New Zealand has been agitating against the ban after scientific studies failed to produce evidence that the disease can be transmitted through commercially traded apples.

In 2006 Australia moved from a blanket ban to the imposition of numerous stringent biosecurity provisions which achieved the same effect by proxy. The justification for the precautions was contained in a 600 page document, issued by Biosecurity Australia in November 2006, and was based on alleged risks from three diseases – fire blight, European canker and apple leaf curling midge.

New Zealand brought WTO proceedings in December 2007 contending that 16 of the restrictions were inconsistent with the SPS Agreement. These...

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