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Appendix 6 - International Music Council

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quite specifically limited by the Australian US Free Trade Agreement. The<br />

game with existing media is mostly forfeited. The only regulations that can<br />

obtain are those already in existence and they are mostly<br />

capped at their<br />

present level.<br />

The challenge therefore moves to ‘new media’, described in the agreement<br />

as ‘interactive media’, by which it is supposed that ‘interactive’ means simple<br />

customer choice of titles from media on demand offerings but could in future<br />

be something much more elaborate. There is in theory a possibility that the<br />

Australian government can<br />

act to ensure that Australian product is<br />

adequately provided and accessible on such services, but the prerogative is<br />

so extraordinarily<br />

hedged about that it is difficult to see how any government<br />

would even dare consider<br />

such an initiative.<br />

The lack of availability of Australian content on new media has not so far<br />

presented as a problem and may never do so; but if it should, it may well be<br />

that the difficulties appear in 5, 10, 15 years, long after the present law-<br />

makers have gone fishing.<br />

The other challenge that may arise is that because the US trade agreement is<br />

a negative<br />

list agreement, unlike the positive list GATS agreement,<br />

transactions<br />

in every possible class of goods and services must be free of<br />

regulation<br />

in favour of one or other of the parties, unless the parties have<br />

specified<br />

otherwise. So all trade in cultural goods and services must be ‘free’<br />

unless otherwise stated. The regulations concerning audio and audiovisual<br />

services<br />

may be unsatisfactory to Australians, but if they were not included<br />

in the agreement, no regulation would be possible at all. At some time, it may<br />

emerge<br />

that some other form of Australian cultural activity would newly<br />

benefit from government protection or promotion (other than by subsidy,<br />

which is permitted by the agreement), but the US agreement will prohibit<br />

such government<br />

action.<br />

It appears<br />

that the US agreement will not threaten the national broadcasters or other state<br />

cultural<br />

institutions, although opinions about this vary. Foreign corporations already are<br />

permitted<br />

to hold radio licences but their ownership of television and newspapers is limited<br />

by regulation.<br />

Of course, radio mostly programs music and we all know that that is not very<br />

important<br />

in the scheme of things. To be fair, the foreign owned networks are no less<br />

supportive of Australian music than the locally owned ones, and all have<br />

to meet the local<br />

content requirements under their industry self-regulatory regime.<br />

Domestic issues<br />

There is a natural process in which new musical genres emerge and others face extinction.<br />

<strong>Music</strong> hall songs were popular in the early decades of last century but now re-appear only<br />

as a curiosity. Popular electronica appeared in the 90s, because new technology made it<br />

possible and musicians took the opportunity.<br />

Extinctions reduce musical diversity. No doubt some are underway at this very moment,<br />

and probably can be prevented only by public policy initiatives. And such initiatives will<br />

appear only because some decision makers decide that despite the natural processes that are<br />

removing support for these genres, they have a value that argues for their survival.<br />

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