Day 067 - 15 Dec 94 - Page 58
1 governments because we believe in free trade.
2
3 Also they have a big disadvantage in distribution. If you
4 want to move a small product it will cost you a lot. We
5 move a lot of product from the US that goes to a lot of the
6 countries that we have restaurants in too. If we add up a
7 small part that added cost is very small as compared to
8 when the only product you can export is beef. So,
9 competitively it is very difficult for them to be
10 competitive and logistic-wise it is also difficult.
11
12 MR. JUSTICE BELL: On N, McDonald's to Costa Rica, that is
13 Hamburglar, is it, with burgers falling all over the place
14 in a burger tie? If you look at tab N, the reply to you,
15 the one you had difficulty with yesterday. I was so
16 gripped by the Spanish I did not look at the picture. If
17 you turn back to the beginning of tab N, is that
18 Hamburglar?
19 A. No, it is one of our characters.
20
21 MR. JUSTICE BELL: Are you specifically going to ask him about
22 the answer on N?
23
24 MR. MORRIS: We sort of jumped ahead. I cannot remember why we
25 jumped ahead now.
26
27 MR. JUSTICE BELL: It is just while you are on Costa Rica at the
28 moment if you are going to ask about that I wondered if
29 this was the moment.
30
31 MR. MORRIS: Yes. Did you say it was not economic to import
32 from Costa Rica?
33 A. I said part of the reason in importing into Costa Rica,
34 we cannot by law import beef or chicken.
35
36 Q. But I am saying import from Costa Rica, if Costa Rica wants
37 to export to you, you said you could not do that for
38 economic reasons?
39 A. I said that was one of the reasons to be considered.
40
41 Q. You said they are export capable?
42 A. Yes.
43
44 Q. But there would be economic considerations?
45 A. No. When we define "export capable" is when the
46 supplier is capable of meeting our specifications and
47 requirements, they have the right attitude and we want to
48 develop that supplier for other reasons as a zone supplier
49 as opposed to a local supplier; they have proven through
50 time that they are a reliable supplier that would
51 consistently meet our specs. That is when we define them as
52 a capable supplier. It has nothing to do with the
53 economics.
54
55 Q. So why do you not take beef from Costa Rica then in the
56 USA?
57 A. Why do I not right now? Because we do not need to,
58 there is no need.
59
60 Q. Or in other countries? On this one it says it is exporting
