NZ-Korea Free Trade Agreement beneficial for farmers
Waitaki MP Jacqui Dean said a recently negotiated New Zealand-Korea Free Trade Agreement would benefit the dairy sector allowing farmers better access to the Korean market, and more opportunities to grow their presence there.
“The FTA came into force on 20 December 2015 and I believe it will provide positive benefits for the region’s dairy farmers into the future.
“Our dairy products are highly valued in Korea with NZ$220 million worth of dairy products exported there in the year ended June 2015.
“Korea is also the fourth largest export market for New Zealand cheese. $78 million worth was exported there in the year ended June 2015, with a 36 percent tariff.
“An 89 percent tariff on butter and a 176 percent on milk powder, will also be progressively phased out.
“The FTA will also provide new opportunities for dairy farmers to sell more products to Korea.
“Improving access to international markets is a key component of the Government’s Business Growth Agenda. This is part of National’s plan to create a stronger economy, with more jobs and higher incomes for New Zealanders.”
Under the FTA, tariffs will be progressively eliminated on 98 percent of New Zealand’s current exports, which will save New Zealand exporters an estimated $65 million in duties in the first year alone, Mrs Dean said.
Authorised by Jacqui Dean MP, 127 Thames Street, Oamaru