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

Anti co-operative?

OPINION: Agriculture Minister Damien O’Connor has thrown a spanner in the works as far as Fonterra’s proposed capital structure is concerned.

Body on the line!

OPINION: Your old mate has heard about rugby players putting their bodies on the line for their country, but not bureaucrats.

Rural license support

An extra $600,000 in funding to support driver licensing and education programmes in rural communities across NZ has been committed by the Government.

Independent report on M. bovis welcomed

Biosecurity and Agriculture Minister Damien O’Connor says he welcomes an independent review into the Mycoplasma bovis eradication programme, which has found it is on track to achieve eradication and made recommendations to boost biosecurity work.


Machinery & Products

New features on Case IH Optum

The latest Case IH Optum AFS Connect range features a new cab, interior and connectivity package designed to benefit both…

Sustainable battens and outriggers

A Christchurch based business has designed, developed, manufactured and released a modern alternative to the traditional wooden fencing batten.

» The RNG Weather Report

» Latest Print Issues Online

The Hound

No bull!

OPINION: Your canine crusader has had a wee bit of feedback about the new gender and sexual identity change being…


OPINION: This old mutt has questioned before the objectivity of research produced by Landcare Research on regenerative agriculture (RA).

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter