Fran O'Sullivan: Labour’s tribalism far from rational

Aspirant National MP Tim Groser's bid to stay on as chairman of the World Trade Organisation's agriculture committee until December has sparked an inordinate amount of pique. Prime Minister Helen Clark and Trade Negotiations Minister Jim Sutton have over-reacted.

The trade diplomat had long ago foreshadowed an interest in pursuing a national political career to close circles in Geneva, which Sutton was privy to.

Trouble was, the Government all along thought Groser was a Labour man - not a Tory.

Given he had been a Labour Party member (a Trot, says Sutton) that is not surprising.

If he had wanted a political job he should have made his intentions known more directly to Labour's hierarchy not just banged on at length in private conversations so the story goes. Problem is it was National who came banging on Groser's door - not Labour.

But accusing Groser of betraying New Zealand is a step too far.

The diplomat had paid his dues in the previous Uruguay Round of trade negotiations, which delivered an excellent result for New Zealand farmers. He has carried the flag in Geneva during the Doha Round and is held in such high regard by his peers that he has chaired the key agriculture committee. He had National's blessing to stay on through to the December ministerial meeting in Hong Kong - his designated term in that job.

Groser and National Leader Don Brash clearly felt they had put together a deal which the Government would accept in the spirit of bipartisanship on trade negotiations.

Groser would resign his diplomatic posting rather than merely stepping down in accordance with the State Sector Act provisions for public servants who want to have a whirl at politics, but stay on (unpaid) as agriculture committee chairman until after the Hong Kong meeting.

But Brash and Groser did not reckon with Labour's essential tribalism. For such a key catch to end up on National's list ensured any degree of rationality would be lost.

Sutton admitted Groser had told him last Friday that he was retiring forthwith. The Ministry of Foreign Affairs and Trade had stood him down (not the Government) in accordance with the Act's provisions.

He was not sacked, said Sutton, who takes issue with the way Groser played the matter up on Monday's Holmes Show on Prime TV.

But any objective reader of Monday's headlines - largely informed by Sutton himself - would be left with the impression that Groser had been disciplined by the Government.

Sutton clearly felt betrayed by the diplomat's actions. An indiscreet revelation by one of Groser's personal friends that he had, in fact, been talking with National for about a year would have ramped up the issue.

But while Clark now says the Government has no confidence in Groser continuing to play out his WTO role, Sutton is now playing a more conciliatory hand.

The ministry is consulting WTO leaders on Groser's position, who has dug his toes in, saying he will stay on until a replacement is found - a difficult job as 148 countries have to agree.

Sutton maintains he has never cared what people's personal politics are. But he is clearly uncomfortable that he has been discussing policies with a senior official preparing for politics in the enemy's camp.

Sutton's public relations team had put it about that Groser said at their Friday meeting that he wanted to come back to New Zealand for personal reasons - to live in Auckland and be close to his daughter - which is why the minister reacted so strongly when Groser later said he intended to stay on in Geneva.

Trouble is Sutton's spin machine, which was not at the meeting, got it wrong. The diplomat had told the ministry and Sutton he wanted to stay on as agriculture chairman, which was a "personal" appointment.

Domestically, the political running has been with the Government's spin machine. But the rarefied atmosphere of Geneva politics is a world apart.

So too, the concerns of other countries who view the Government's response as petty given the high-stakes negotiations he is chairing.

As news of Groser's predicament filtered out, the phones started working.

Instead of expecting a complete departure from Geneva, Sutton now seems prepared to give his blessing to Groser to work out his leave through to the end of farm negotiations in July.

This position has been confirmed by WTO spokesman Keith Rockwell, who says the diplomat will remain as chairman of the negotiations "through July". This is the deadline the WTO has set for a series of outline agreements in the Doha Round of free trade talks, including farm goods, to create a negotiating platform for the Hong Kong meeting.

It is not yet clear whether Groser's ambassadorial colleagues in Geneva will play along with the Government's desires for him to leave the WTO after July or ask him to carry the agricultural negotiations forward to a critical December ministerial meeting in Hong Kong.

What is clear is that Groser had at least prepared the ground in Geneva, by talking through his predicament with incoming WTO director-general Pascal Lamy before Sunday's announcement of his intention to seek election to parliament.

Lamy does not owe the Government any particular favours, although he does think highly of Clark and Sutton.

New Zealand put its voting muscle behind the Uruguayan candidate in the contest for the top job, rather than Lamy. The Cairns Group of agricultural exporters, of which New Zealand is a prime player, took a block position.

But unless Lamy has a ready alternative in mind - he might for pragmatic reasons endeavour to persuade Sutton and Clark to let sleeping dogs lie. He might also opt for a Gallic response, shrug his shoulders and say there is not time to organise a new chairman.

To Lamy, the real issue is having an agricultural chairman in place who he has confidence in to carry negotiations forward. Given that Lamy, previously the EU's top trade tzar - agreed to Groser's appointment in the first place, he is unlikely to suddenly have a change of mind. His own goal is to get a clear outcome in December. If Groser can play a useful part in that - all to the good.

There's an element of farce about all this affair.

In the last term, Act MP Deborah Coddington took three months leave from Parliament to undertake a Wolfson Journalism Fellowship at Cambridge University. Other MPs have successfully sought leave in the past to undertake offshore study.

The ministry's immediate problem is how to fill the Geneva ambassador's post.

It does not have a strong depth of skills on the trade negotiations front despite an extraordinary statement by the New Zealand Trade Liberalisation Network that says New Zealand will weather the departure of Groser.

The network's executive director, Suse Reynolds, says there is plenty of talent to help New Zealand prepare for the key meetings in July and December.

But Reynolds misses the point. The ministry can draw on Crawford Falconer - who is highly experienced at the senior negotiating level.

Derek Leask - has overall charge of NZ's trade negotiations - but is not in the Falconer, Groser mould.

Other strong talent - such as Fonterra's Phil Turner - have left for the private sector.

Groser's key input is to get an overall outcome for agriculture, not just New Zealand's interests.

Groser's departure - on top of the earlier resignation by China free trade agreement negotiator Charles Finny - will raise eyebrows offshore.

More subtle observers will read the Government's politics for what they are - electioneering - and factor in that Finny was not publicly accused of betrayal when he left at a critical point in the China talks.