Day 064 - 08 Dec 94 - Page 33

     
     1        that policy?
     2        A.  It does not apply to us here.
     3
     4   Q.   Your policy is on buying finished products in the host
     5        country but the actual raw material could be from anywhere,
     6        yes?  Does that apply to your beef supplies?
     7        A.  In the UK, no.  Are we talking UK?
     8
     9   Q.   It does not apply to the UK, does it?
    10        A.  We buy in the European Union, as I have told you.
    11
    12   Q.   What about other countries in Europe?  Does that policy
    13        apply?  Other McDonald's branches in Europe, do they have
    14        exactly the same policy as the UK?
    15        A.  If they are in the European Union, they buy in the
    16        European Union, but there are other countries in Europe
    17        that are not in the European Union.
    18
    19   Q.   But do they have the some policy -----
    20
    MR. JUSTICE BELL:  I think you are being asked whether, for
    22        instance, German McDonald's might take the same view of
    23        Botzwana beef as you have taken ---
    24        A.  Yes, they would.
    25
    26   Q.   -- do you see?
    27        A.  If they are in the European European, as Germany is,
    28        then they would buy in the European Union.
    29
    30   Q.   Yes, but they would do that even though the Botzwana beef
    31        has come from an EC approved abattoir ---
    32        A.  Yes.
    33
    34   Q.   -- there?
    35        A.  That is correct.
    36
    37   Q.   That is what you say.
    38
    39   MR. MORRIS:  So all the other countries in Europe would not buy
    40        the Botzwana beef even though it was within Europe?  Or is
         it they would not go directly to the Botzwana abattoir?  If
    42        the Botzwana beef was in Europe, EC approved now, whatever,
    43        it would be available for McDonald's to buy?
    44        A.  The Botzwana beef is not in Europe.  If you were a meat
    45        plant operating in Europe you would have to buy directly
    46        from the Botzwana plant.  It is not something you can buy
    47        in Europe.  It just does not come into a central point you
    48        can buy it from.  You would have to have an arrangement
    49        directly with that Botzwana plant.
    50 
    51   MR. JUSTICE BELL:  Even though it is an EC approved abattoir it 
    52        would still have to meet the quota limitations? 
    53        A.  Yes, it would.  There would be a quota available.  We
    54        could buy it today; we choose not to.  That is not our
    55        policy.
    56
    57   MR. MORRIS:  If a supplier buys Botzwana beef, would it be
    58        bought by an abattoir or would it be bought by a process
    59        plant?
    60        A.  It would be a process plant.