EU AND NEW ZEALAND CONCLUDE TRADE DEAL
On 30 June, the EU and New Zealand concluded negotiations for a Trade Agreement, which is set to open significant economic opportunities for companies and consumers on both sides. Bilateral trade is expected to grow by up to 30%, with EU annual exports potentially growing by up to €4.5 billion. EU investment into New Zealand has a potential to grow by up to 80%. The deal can cut some €140 million a year in duties for EU companies from the first year of application.
The agreement will provide new opportunities for businesses by eliminating all tariffs on EU exports to New Zealand, opening the New Zealand services market in key sectors such as financial services, telecommunications, maritime transport and delivery services. The agreement will also contain provisions facilitating data flows, predictable and transparent rules for digital trade and a secure online environment for consumers. It will help small businesses export more through a dedicated chapter on small and medium enterprises and reduce compliance requirement and procedures to allow for quicker flow of goods
Concerning specifically agri-food trade, EU farmers will have much better opportunities to sell their produce in New Zealand immediately upon application of the agreement. Tariffs will be eliminated as of day one on key EU exports such as pigmeat, wine and sparkling wine, chocolate, sugar confectionary and biscuits. The agreement also contains the most ambitious sustainability commitments in a trade agreement to date.
The negotiated draft texts will be published shortly. These texts will go through legal revision (‘legal scrubbing') and will be translated into all official EU languages. The European Commission will submit the agreement for signature and conclusion to the Council. Once adopted by the Council, the EU and New Zealand can sign the agreement. Following the signature, the text will be transmitted to the European Parliament for consent. After the consent by the Parliament, and once New Zealand also ratifies it, the agreement can enter into force.
Source: European Commission