increase font size
New Zealand Trade and Export Minister Damien O'Connor with then-UK Secretary of State for International Trade Anne-Marie Trevelyan at the signing of the free trade deal in 2022.
The Government says that, from today, New Zealand businesses will start reaping the benefits of the country's free trade agreement with the United Kingdom.
The deal signed in 2022 and approved by the New Zealand Government last year and the UK Government earlier this month, on the eve of the coronation of King Charles III, comes into effect today.
This means that from today, tariffs and duties will be eliminated on numerous products, including dairy, honey, and wine.
Prime Minister Chris Hipkins says the FTA will provide a sizeable boost to the New Zealand economy, bringing up to a $1 billion increase in the annual GDP.
“Our earlier-than-expected implementation means that from today New Zealand businesses will immediately save around $37 million, with the instant elimination of tariffs and new duty-free quotas covering 99.5% of current exports,” Hipkins says.
Trade and Export Minister Damien O’Connor says that while trade agreements can at times appear more academic than tangible, but that changes when they come into effect and the benefits can be seen.
“Our wine industry is New Zealand’s biggest export to the UK – and will see at least $25 million in tariffs disappear overnight,” O’Connor says. “Honey producers will no longer face a 16% duty and our dairy and red meat sectors will transition to duty and quota-free access for the first time in 50 years.”
“This is a major delivery milestone and sits alongside the seven new or upgraded FTAs secured since 2017, which is helping to contribute to record earnings for our exporters,” O’Connor says.
He says the proportion of New Zealand export goods covered by a FTA have expanded from 52.5% to 73.5% since 2017, something O’Connor says proves the importance of the agreements to growing exports.
“In a cost of living crisis, the UK FTA cuts costs for exporters, boosts opportunities for small businesses, and will protect and create more jobs for New Zealanders,” he says. “One in four jobs depend on trade – showing the importance of trade to our nation’s growing economy.”
“As the first FTA launched and concluded under New Zealand’s Trade for All agenda, this agreement sets high ambition commitments in inclusive and sustainable trade with outcomes on environment, gender, and a dedicated chapter on Māori Trade and Economic Cooperation,” O’Connor says.
OPINION: Labour leader Chris 'Chippy' Hipkins is carrying on the world-class gaslighting of the nation that he and his cohorts started after their disastrous Covid response; now trying to undermine the Covid inquiry to protect his own backside.
OPINION: At the recent NZ Dairy Industry Awards, opposition leader Chris Hipkins made a surprise appearance.
Did you know that nearly 90% of total New Zealand wine sales occur offshore? That simple number means our wine businesses are the most export oriented of all the global wine industries. It also makes our sector especially sensitive to any changes in the trade rules that govern the access of our wines into international markets.
OPINION: Your old mate isn't really a fan of the recent trend toward collective whinging, otherwise known as an 'open letter'.
OPINION: Leader of the Labour Party and His Majesty's Loyal Opposition, Chris Hipkins, has formulated a bold strategy to regain power that his rivals won't have predicted.
An independent report, prepared for Alliance farmer shareholders is backing the proposed $250 million joint venture investment by Irish company Dawn Meats Group.
Whangarei field service technician, Bryce Dickson has cemented his place in John Deere’s history, becoming the first ever person to win an award for the third time at the annual Australian and New Zealand Technician of the Year Awards, announced at a gala dinner in Brisbane last night.
NZPork has appointed Auckland-based Paul Bucknell as its new chair.
The Government claims to have delivered on its election promise to protect productive farmland from emissions trading scheme (ETS) but red meat farmers aren’t happy.
Foot and Mouth Disease outbreaks could have a detrimental impact on any country's rural sector, as seen in the United Kingdom's 2000 outbreak that saw the compulsory slaughter of over six million animals.
The Ministry for the Environment is joining as a national award sponsor in the Ballance Farm Environment Awards (BFEA from next year).
OPINION: For years, the ironically named Dr Mike Joy has used his position at Victoria University to wage an activist-style…
OPINION: A mate of yours truly has had an absolute gutsful of the activist group SAFE.
