Ardern talks up trade and economic policy on return

Prime Minister Jacinda Ardern marked her return to public life by formally launching a national consultation process intended to improve public support for the pursuit of new international trade agreements and tackling headon the mounting political fallout of declining business confidence.

Flanked by International Trade Minister David Parker, Ardern announced the yearlong “Trade for All: have your say” consultation at her first post-Cabinet press conference since taking leave to give birth to her first child six weeks ago. The trade policy consultation, to be led by a newly created Trade For All advisory board, was signed off by the Cabinet Economic Development Committee six weeks ago, on June 27.

“We said after the negotiations for the CPTPP that we were determined to avoid a future backlash against globalisation while delivering improvements in employment, in incomes, and trade is a key driver in that,” said Ardern, referring to one of her government’s first acts after being formed last October: completing negotiations for the controversial Pacific Rim trade pact now known as the Comprehensive and Progressive Trans-Pacific Partnership.

“Trade policy is obviously integral to our work to support businesses and exporters as we modernise our economy to be sustainable, but also to be inclusive.” Borrowing the tagline Trade For All from a similar initiative conducted by the European Union, the announcement allowed Ardern to set a pro-business economic agenda at a time when declining levels of business confidence have become a major political issue, especially as PM Jacinda Ardern at her post-Cabinet press conference yesterday.

trade policy has so far provided some of her administration’s best opportunities to demonstrate mainstream economic policy credentials. Heading the advisory board will be retired former diplomat David Pine, who served as head of mission in both Malaysia and the Philippines among a string of international postings during his 21 years with the Ministry of Foreign Affairs and Trade.

Asked whether there would be room for critics on the advisory board such as Auckland University law professor Jane Kelsey, one of the country’s fiercest critics of free trade agreements, Pine said: “Yes. The Prime Minister made the point that a significant group of New Zealanders have lost confidence. We’ve got to hear them. We’ve got to really understand what their concerns are and there’s no point in the process if it doesn’t engage with people who are critical.” Public submissions will be sought by the end of next month for development of policy recommendations by April next year and recommendations to Cabinet in June 2019.

Issues singled out for consultation include environmental issues, labour rights, gender equity, the rights of indigenous people, protecting traditional knowledge, and “preserving the right of governments to regulate in the public interest, including for national land markets, taxation of multinational business, and public services”.

However, free trade negotiations already under way would continue in the meantime.

It is not feasible to “pause negotiations” while the consultation process occurs, the Cabinet paper says.