New trade deal ‘will cut the red tape’

The prospect of reduced red tape from a single set of trade rules for the Asia Pacific is amajor reason whyNewZealand producers and exporters will give theRCEPdeal the thumbs up, Federated Farmers says.

“Anything that takes us further along the path of ironing out border costs and delays, and reducing protectionist tariffs, for our exports has to be a good thing for farmers, and forNewZealand,” Feds president AndrewHoggard said.

There are questions abouthow quickly ourGDPwould be boosted by the estimated $2 billion from the Regional Comprehensive Economic Partnership agreement that accumulates over several years, signed at the weekend, givenwehave free trade agreements in one form or another with all the 14 other signatory nations. Butnewopportunities should eventually flow.

“This isnowthe largest free trade agreement in the world, covering nations with nearly one third of the world’s population. It includes clear mechanisms to us to address any non-tariff barriers put upagainst our exported goods by the other signatories,” Hoggard said.

RCEPdelivers additional tariff elimination on a numberofNew Zealand food products into Indonesia, including sheepmeat, beef, fish and fish products, liquid milk, grated or powdered cheese, honey, avocados and persimmons.