Agriculture industry representatives lobbied the Government to support former trade ambassador Tim Groser continuing part of his work at the World Trade Organisation, which he will do in the short term.
But Prime Minister Helen Clark rejected reports she had backed down in the light of the Government's offer of
support for Mr Groser, and last night sought to minimise the extent of the support.
Mr Groser shocked the Government by his decision to stand as a list MP for for National.
He immediately vacated his post as ambassador to the WTO, but as chairman of the agriculture negotiating group he had further work and hoped to stay for a crucial meeting of officials in July and a more important ministerial meeting in Hong Kong in December.
It appeared on Monday that there was no support from Helen Clark for Mr Groser to continue his chairman's role - conferred on him by the WTO - even in the run-up to the important July meeting.
"It's up to him what he does with his long-service leave and his holiday pay and clearing the desk of the duties that he's had," she said.
But on Tuesday it was disclosed that on Monday night the Government, through acting WTO ambassador Tony Lynch, said in a letter it "would be prepared to consider facilitating Tim's availability to continue a chairing role, should that be the wish of the membership, by resourcing him separately for a transitional period".
It is understood that dairy giant Fonterra was among those who contacted senior Government members to plead for support for Mr Groser staying on as chairman of the agriculture negotiating group in the current Doha Development Round.
Meat and Wool New Zealand is thought to have lobbied too, for support in keeping him on as chairman.
Stung by reports she had backed down on her Monday position, Helen Clark yesterday insisted there had been no inconsistency.
A spokesman said last night that Mr Groser was not being paid by New Zealand but was using leave entitlements.
Mr Groser is back in Geneva preparing a first draft of a deal on agriculture for the July meeting.
