GATT CASE AGAINST JAPAN A MODEL FOR U.S. - LYNG
  Agriculture Secretary Richard Lyng
  said the ruling of a GATT panel on a U.S. trade complaint
  against Japan, expected soon, may influence the U.S. stance in
  negotiations with Tokyo on beef and citrus import quotas.
      The ruling of a GATT tribunal on a U.S. demand that Japan
  end quotas on 12 categories of food items is expected by the
  end of the year. Lyng said he is optimistic the ruling will
  favor the U.S.
      "These are quota items, and the principles that apply to
  them, it seems to me, will have some bearing on the question of
  whether you would have quotas or not on beef and citrus," Lyng
  told Reuters in an interview.
      He repeated the U.S. demand that Japan lift the quotas on
  beef and citrus after March 31, next year.
      The Japanese quotas on 12 food categories which the United
  States has challenged include items such as tomato paste, some
  cheeses and specialty fruit juices.
      U.S. officials had hoped a ruling against the quotas would
  be issued earlier this year but the GATT panel decision has
  been delayed by the illness of the tribunal's chairman.
      The U.S. has taken a hardline stance on the beef and citrus
  quotas, which Tokyo says must remain in place to protect
  Japanese farmers.
      "We will not negotiate new quotas or accept new quotas (on
  beef and citrus). If they impose them we would consider that an
  illegal action in the GATT, Lyng said.
      He declined to say what action the U.S. would take next
  April if Japan continues to resist U.S. demands.
  

