The UK agreement
A new free trade agreement with the UK allows New Zealand to remove export tariffs during the next 15 years. This deal promises a GDP boost of up to $1 billion.
On top of the economic elements, the agreement includes conditions for the environment, tackling climate change and creating equity in economic advancement. According to New Zealand Prime Minister, Jacinda Ardern, it is the country’s “first bilateral trade agreement to include a specific article on climate change”.
Another unique point of that agreement is a separate Māori trade chapter featuring the acknowledgement of the relationships between the Māori people and the British, who colonised the country. In addition, the chapter included the protection of Ka Mate haka, in which the UK promises to protect the famous ceremonial dance.
The EU agreement
New Zealand expects to grow its exports by 1.8 billion a year by 2035, thanks to the new deal with the EU. Initially, 91% of tariffs will be eliminated, followed by 97% of all tariffs being removed by 2031. It is estimated that New Zealand will get $1.8 billion after the seventh year of the deal.
There are several provisions to protect the authenticity of the EU produce. For instance, cheese makers in New Zealand will no longer be able to use the names feta and port, meaning that only manufacturers in Greece and Portugal can name their cheeses so.
Continue reading: New Zealand signs free trade agreement with United Kingdom
