Wednesday, 06 March 2019 12:11

Optimism over EU/NZ FTA

Written by 
Phil Hogan. Phil Hogan.

EU Agriculture Commissioner Phil Hogan is optimistic that a quality free trade agreement (FTA) between the EU and NZ can be negotiated before the end of 2019.

Hogan is responsible for the agricultural dimension of the FTA from a EU perspective.

He says good progress is being made in the negotiations, of which there are three more formal rounds scheduled before mid 2019.

“I am optimistic that not only can we do a deal, but a quality deal,” he told Rural News.

Hogan, who grew up on the family farm in Ireland before moving into politics, says agriculture will always be a sticking point with NZ because it is a sensitive issue with European farmers. But he’s confident that a deal can be negotiated and that 98% of the tariffs and other impediments to trade can be lifted, leading to greater trade liberalisation.

Two major issues are of concern to NZ: tariff rate quotas (TRQs) which affect access of sheep-meat to the EU, and geographic indicators (GIs) which mainly affect the dairy industry. 

Hogan says the TRQs are more related to Brexit and are an issue for the World Trade Organisation (WTO) to deal with. 

However, he believes the issues on GIs can be resolved. An example of a GI is the name given to a particular cheese such as Gouda, which is linked to a specific town or region in a country. 

“Geographic indicators I suppose can be described as rural intellectual property in the EU,” he said. “They are well accepted [in NZ] in the wine industry, but now there are one or two names in the dairy sector that we are worried about. But I think we can resolve those.” 

The positive side is the great deal of good will around the FTA negotiating table.

“It would be unthinkable, in an era when there is so much global disturbance on many issues, that the same values and objectives of like-minded countries like NZ and the EU couldn’t do a deal. 

“If Mr Trump wants to remain protectionist we have to remain open for business and we are very strong supporters of the multilateral trading system,” he adds. “As a result of this, I think NZ and the EU will come to an agreement.”

More like this

NZ dairy industry needs FTAs quickly

OPINION: New Zealand's dairy exports have been the backbone of the country's economy for several decades, and exports remain buoyant despite pandemic-era disruptions and impending downturns in East Asia in the next few years.

Editorial: Passage to India

OPINION: Even before the National-led coalition came into power, India was very much at the fore of its trade agenda.

NZ-UAE trade talks

A trade deal with the United Arab Emirates has moved a step close following a meeting between NZ's Trade Minister Todd McClay and UAE Trade Minister Dr Thani bin Ahmed Al Zeyoudi.

FTA good for Aussies and for us – Groser

ANYTHING GOOD for Australia is in the long run good for New Zealand. That’s the reaction of Trade Minister Tim Groser to the news that Australia has signed a free trade agreement with China, and to speculation that their FTA with China is better than NZ’s, especially regarding dairy products.

Featured

Being a rural vet is ‘fantastic’

Everyone from experienced veterinarians and young professionals to the Wormwise programme and outstanding clinics have been recognised in this year’s New Zealand Veterinary Association Te Pae Kīrehe (NZVA) awards.

National

Helping protect sheep from parasites

Everyone from experienced veterinarians and young professionals to the Wormwise programme and outstanding clinics have been recognised in this year’s…

Machinery & Products

Farmer-led group buys Novag

While the name and technology remain unchanged and new machines will continue to carry the Novag name, all the assets,…

Buhler name to go

Shareholders at a special meeting have approved a proposed deal that will see Buhler Industries, the publicly traded Versatile and…

» Latest Print Issues Online

The Hound

Make it 1000%!

OPINION: The appendage swinging contest between the US and China continues, with China hitting back with a new rate of…

Own goal

OPINION: The irony of President Trump’s tariff obsession is that the worst damage may be done to his own people.

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter