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Kate MacNamara: Trade talks between New Zealand and the UK get tougher
11 Feb, 2021 04:00 PM
4 minutes to read
How much market access will be offered to New Zealand exporters? Photo / 123RF
NZ Herald
OPINION: For years now, New Zealand and the UK have swapped flattery, neither one losing an opportunity to publicly coo about the promise of closer trading relations with the other. But in New Zealand, the warmth of that praise is starting to cool.
Last week, Trade Minister Damien O Connor welcomed British International Trade Secretary Liz Truss confirmation that she would formally seek admission to the Pacific Rim trading group, the CPTPP.
Press Release – DCANZ – Dairy Companies Association New Zealand In welcoming the UKs application to join the CPTPP agreement, the Dairy Companies Association of New Zealand (DCANZ) is stressing the need for the UK to convert its statements of commitment to leadership in global trade liberalisation to meaningful …
In welcoming the UK’s application to join the CPTPP agreement, the Dairy Companies Association of New Zealand (DCANZ) is stressing the need for the UK to convert its statements of commitment to leadership in global trade liberalisation to meaningful action.
“The UK’s application to join CPTPP is another great sign of its interest in advancing global trade liberalisation. However, the real test of UK trade leadership comes from how it honours its existing commitments and what it is prepared to put on the table in negotiations” says DCANZ Chairman Malcolm Bailey.
The dairy industry wants export tariffs scrapped as it tries to get the best bang for its buck overseas - and doesn t think the new post-Brexit trade deal will help.
Kiwi exporters have battled tariffs as they try to find their way in the market.
Photo: RNZ/Carol Stiles
New Zealand is in the throes of sorting out trade agreements with the UK and the European bloc, after the two sides finally put a deal on the table just days before the deadline.
Dairy Companies Association of New Zealand executive director Kimberly Crewther said Kiwi exporters had battled tariffs as they tried to find their way in the market. This even happened when the UK was part of the EU.
There was also a new EU-UK split quota for butter and cheese - roughly 60/40 in favour of the EU. For dairy, it diminishes the trade opportunities. I think what it significantly means is that removing the tariffs and the quota restrictions that we face into the markets becomes even more important, Crewther said.
The strict quotas meant there would be less ability to switch between markets if one country was not performing well. The loss of flexibility means we are worse off . we support the NZ Government efforts to maintain flexibility, Crewther said.
The New Zealand Government is negotiating free trade deals with the EU and UK.