New EU-New Zealand Trade Deal Opens Door for European Businesses
The new EU-New Zealand trade agreement that entered into force today ushers in a wealth of new export opportunities for EU businesses, producers, and farmers. The landmark deal is expected to cut €140 million per year in duties for European companies exporting to New Zealand.
Booming Bilateral Trade
Projections show that thanks to this deal, trade between the EU and New Zealand could grow by up to 30% within a decade, with a potential increase of EU exports of €4.5 billion annually. European investment into New Zealand also has the potential to surge by up to 80%.
Agricultural Benefits for European Farmers
A major win for the EU agricultural sector is the elimination of tariffs on key exports like pig meat, wine, sparkling wine, chocolate, sugar confectionery, and biscuits. The agreement protects the extensive list of around 2,000 EU wines and spirits, such as Prosecco and Champagne. It also safeguards 163 prominent EU regional food products like Feta cheese, Istarski pršut ham, and Lübecker Marzipan by recognizing them as protected Geographical Indications (GIs) in New Zealand.
Sustainability and Labour Rights
This trade pact is being hailed as a first-of-its-kind sustainable agreement, with unprecedented commitments to respect the Paris Climate Agreement and core labour rights. It includes chapters dedicated to sustainable food systems and animal welfare.
New Zealand Market Access for EU Businesses
European businesses can now take advantage of a range of benefits in the New Zealand market:
- Zero tariffs on EU exports to New Zealand
- A more open services market in key sectors like finance, telecoms, and maritime transport
- Non-discriminatory treatment for EU investors
- Better access to government procurement contracts
- Measures to assist small business exports
- Reduced compliance burdens and streamlined procedures
Protecting Intellectual Property
The agreement ensures robust protection for EU intellectual property rights in New Zealand. This includes extending copyright terms, establishing resale royalty rights for artists, and enabling border enforcement of GIs.
With this new comprehensive trade agreement, European companies across sectors are well-positioned to capitalise on the openings in the New Zealand market. The deal promises to be having significant economic benefits and advance sustainability and labour goals – as well as further cement the EU’s trade relationship with New Zealand.
