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US: Obama understands NZ interest in trade deal - Key


15 May 2009 2:09 AM

WELLINGTON, May 15 NZPA - US President Barack Obama has taken on board New Zealand's interest in a free trade agreement, Prime Minister John Key says.

Obama called Key on Thursday for a 15-minute chat which the prime minister said covered issues ranging from the international economy and Afghanistan to nuclear proliferation and the relationship between New Zealand and the US.

"It was a really good opportunity for me to express our desire to complete a free trade agreement with America and the president took that on board," Key said on Radio New Zealand on Thursday night.

"I think he understands the significance of that to New Zealand ... hopefully we can one day progress the trans-Pacific partnership and an FTA between New Zealand and the United States."

New Zealand governments have been trying for years to interest the US in a trade agreement, which would have huge benefits for exporters.

But although reassuring noises have come from Washington there has not been any real progress towards negotiations.

The phone call was the first Obama has made to Key since they both took office and the prime minister said it had started formally.

"But at the end he said `call me Barack' and as he had already called me John I felt very comfortable with that."

Key said he expected to meet Obama at the Apec summit in Singapore later this year but at this point he was not planning to visit Washington.

"He was very gracious with his comments about New Zealand," Key said.

"He has friends who have a house here ... and he would love to visit some day."

Key said the call had been "a really positive sign" that the US was engaged with New Zealand and wanted to further enhance the relationship.