Quote of the day:
. . .Don’t forget: the boundaries between trade in goods and trade in services are becoming increasingly porous. If you measure NZ exports of services conventionally, our services exports amount to around a quarter of our goods exports. If you use the new models being developed by the OECD working in close collaboration with the WTO – that is ‘Trade in Value Added’ – 46% of NZ exports are services exports. It is just that our services are incorporated in our exports of everything from milk powder to niche manufactured products. The trade policy implication is clear: you need liberal access to world priced and first world quality services to be competitive as an exporter of manufactured, agriculture or any goods. . . Trade Minister Tim Groser.
This is an extract from an address to the Latin American Business Council.
He began by saying there are some fundamental lessons to be derived from our long-term success in Asia that we can apply in Latin America.
He concluded by saying:
. . . The objective is, at least in my mind, clear: we want free trade with all Members of the Pacific Alliance. The precise means or pathways to achieve this are another matter. But clearly, having already been accepted as an ‘observer’, with TPP in a mature state of negotiation, with the existing FTA with Chile already in the bag, and our proposal for a separate bilateral FTA with Colombia, we are in exactly the right space as the Pacific Alliance strategy unfolds.
I think it is exciting and could become the next ‘new project’ for NZ trade policy strategy.
There are opportunities to our east as those countries develop and grow.
The key to unlocking them is free trade.