WELLINGTON (Reuters) - China and New Zealand signed a deal to upgrade their existing free trade pact on Tuesday, which will give commodities exports from the Pacific nation increased access to the world’s second-largest economy.
Here are some details of the agreement:
-- Reduced compliance costs for New Zealand exports, including simplified documentation requirements and dedicated contacts for New Zealand businesses at key ports in China.
-- Expanded market access for services exporters and most-favoured nation commitments to protect competitive advantage in China.
-- Commitments to promote environmental protection and not to lower standards for a trade or investment advantage. Commitments not to use environmental standards for trade protectionist purposes.
-- Tariff-free access for about 99% of New Zealand’s nearly NZ$3 billion ($2.15 billion) wood and paper trade to China, phased tariff elimination on additional wood and paper products worth NZ$35 million.
-- Benefits for exporters of perishable goods such as seafood, the forestry sector, and other primary sector industries.
-- Services sectors that will benefit from new or enhanced market access commitments include advertising, education and aviation-related services.
-- New market access for sectors such as audio visual and environmental services.
-- Existing conditions remains for dairy exports, with all safeguard tariffs to be eliminated within one year for most products, and three years for milk powder.
-- Rules on overseas investment and the Treaty of Waitangi exception, remain in place.
-- Increased visa quotas for Chinese language teachers and tour guides in New Zealand.
-- Parliament will now consider the agreement for ratification before it enters into force.
Reporting by Praveen Menon; Editing by Sam Holmes
Our Standards: The Thomson Reuters Trust Principles.