NZ-EU FTA enters into force
Trade Minister Todd McClay says Kiwi exporters will be $100 million better off today as the NZ-EU Free Trade Agreement (FTA) comes into force.
This ensures the agreement offers significant benefits for those in the Asia Pacific region, he says.
New Zealand sheep and beef farmers, meat processors and exporters are keen to Japan included in these free trade agreement negotiations because it is an important market for New Zealand meat.
MIA chairman, Bill Falconer says: "Japan's inclusion in the TPP rounds off an exciting grouping of 12 countries from the Asia Pacific region with common interests in improving our collective trade opportunities. Together these countries account for a third of global beef production.
"The TPP partners have committed to some ambitious outcomes for market access and the New Zealand red meat industry will not want to see any delay to the goal of completing the TPP deal this year," Falconer says.
The TPP partner countries include Australia, Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, Vietnam and the United States of America.
The TPP negotiations offer new opportunities for all red meat exporting countries through improved market access, the elimination of tariffs and non-tariff barriers, B+LNZ chairman Mike Petersen says.
Exports to Japan from the red meat sector last year were $338M which last year incurred approximately $93 million of tariff payments. Approximately $76 million of these payments were incurred on New Zealand's substantial beef trade, with New Zealand facing a 38.5% tariff rate, increasing to 50% in the event certain volumes are exceeded.
"We welcome Japan's entry into the TPP negotiations and their commitment to a high quality comprehensive agreement that acknowledges the importance of facilitating production and regional supply chains for all participating countries," Petersen says.
"Achieving that will create new opportunities for us all and will help us do business more easily and transparently."
