Thursday, 21 October 2021 10:38

Historic FTA deal struck

Written by  Sudesh Kissun
Trade and Export Minister Damien O'Connor. Trade and Export Minister Damien O'Connor.

Comprehensive, inclusive and high quality and providing fantastic opportunities for our exporters.

That’s how Trade and Export Growth Minister, Damien O’Connor is describing the announcement today that NZ and the UK have agreed ‘in principle’ to an historic Free Trade Agreement (FTA). This   means that the FTA deal has been done, with just the final text to be worked through by officials in the coming months.

O’Connor says he’s proud of what NZ has achieved in the negotiations with 97% of tariffs being eliminated on our products entering the UK.

“There will be a transition period for our butter, cheese, beef and sheep meat producers during which time they will enjoy significant tariff-free transitional quotas. This provides great opportunity to grow our trade through these periods. For instance, 7,000 tonnes of butter, and 24,000 tonnes of cheese can flow to the UK market tariff-free at commencement. That will grow to 15,000 for butter, and 48,000 for cheese by Year 5, after which point trade will be free,” he says.

O’Connor says 12,000 tonnes of beef at commencement will grow to 60,000 in Year 15, after which point beef trade will be free and 149,000 tonnes of sheepmeat at commencement will grow to 164,000 in Year 15. There are also new arrangements for other products such as apple and honey.

Prime Minister Jacinda Ardern described it as one of NZ best deals ever and says it’s secured at a crucial time in the Covid recovery. She says it will serve our economy and exporters well.

The deal comes just a week after O’Connor met with the UK’s Trade Secretary, Anne-Marie Trevelyan in Italy.

More like this

O'Connor attends WTO meeting

Trade Minister Damien O'Connor is currently in Geneva for the World Trade Organisation (WTO) 12th Ministerial Conference.

O'Connor heads to Europe, Canada

Trade and Export Minister Damien O’Connor is off to Europe, Canada and Australia with the aim of advancing New Zealand’s economic interests.

Food, fibre exports soaring

Export revenue from New Zealand's food and fibre sector is expected to reach a record $52.2 billion in the year to June 30, 2022.

National

Controversial changes for pigs

A controversial new welfare draft code is triggering vigorous debate between pig farmers and animal welfare advocated as to what…

MPI to monitor winter grazing

As Otago and Southland enters the winter grazing season, MPI says it will have inspectors on the ground ensuring things…

Machinery & Products

Making life easier

Many temporary sheep fencing systems can be troublesome, with reels jamming or breaking and the bugbear of silly hooks on…

Valtra's following grows

With the release of its N5 and T5 series of tractors, Valtra continues to expand its presence in the Australia-New…

» The RNG Weather Report

» Latest Print Issues Online

The Hound

No free ride!

OPINION: This old mutt is getting somewhat tired of multi-national, tax-dodging, fund-raising group Greenpeace always given front and centre mainstream…

How come?

OPINION: A mate of yours truly is questioning exactly why the Māori ag sector have been given special budget funding by…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter