Korea FTA worth million$

March 24, 2015

The signing of the Free Trade deal with Korea, singed by Trade Minister Tim Groser yesterday  has the potential to add millions of dollars in extra export earnings.

“Improving access to international markets through free trade agreements is a key component of the Government’s Business Growth Agenda. Supporting our exporters is crucial to creating new jobs and boosting incomes for New Zealanders,” says Mr Groser.

“This Agreement secures the long-term future of New Zealand exporters to Korea whose international competitors were benefiting from Korea’s other FTAs.

“It reduces barriers to trade and investment, provides greater certainty about the business environment and ensures our exporters remain competitive in each other’s market.”

On entry-into-force, tariffs on 48.3 percent or NZ$793.7 million of New Zealand’s current exports to Korea will be eliminated. The Agreement will progressively remove tariffs on 98 per cent of New Zealand’s exports to Korea.

“Particular success stories include the removal of wine tariffs of 15 percent on entry into force, and the removal of 45 percent tariffs on kiwifruit effectively five years after entry into force,” says Mr Groser.

“It will also make possible a new level of cooperation in areas like agriculture, the creative economy, the environment and education, and spur greater investment.”

The FTA will offer improved protections for New Zealand investors in the Korean market, and reinforce the attractiveness of New Zealand as a stable investment destination.

Prime Minister John Key and President Park Geun-hye of Korea witnessed the signing of the Agreement by Trade Ministers Tim Groser and Yoon Sang-jick in Seoul.

“The Agreement shows the strength of the relationship between New Zealand and Korea. It symbolises our countries’ commitment to economic openness and market integration in the Asia-Pacific region,” says Mr Key.

“Korea is one of New Zealand’s biggest and most important trading partners. This Agreement makes it easier for Koreans and Kiwis to do business with each other, and the removal of tariffs will benefit consumers in both countries.

“At the moment, New Zealand exports into Korea attract NZ$229 million a year in duties.  Tariff reductions in the first year of the FTA alone will save an estimated NZ$65 million.”

The Agreement now needs to be ratified by the New Zealand Parliament.

“We are keen for the Agreement to come into force this year,” says Mr Key.

“With a population of over 50 million and as the 13th largest economy in the world, Korea is an attractive market for New Zealand exporters.” . . .

Korea is New Zealand’s sixth largest export destination for goods and services and our eighth largest import source, with total two-way goods trade of NZ$4 billion.

Once ratified by parliament, the FTA will open the door to better business for Koreans and New Zealanders.

It makes the eggs in other trading baskets than China more valuable, will give better returns for our exporters and more choice and lower prices for consumers in both countries.


Rural round-up

December 23, 2014

New Zealand-Korea FTA initialled:

Trade Minister Tim Groser welcomed today’s initialling by Chief Negotiators of the Free Trade Agreement (FTA) between New Zealand and the Republic of Korea.

“Initialling marks the end of the text’s legal verification process. It’s another milestone as we progress towards bringing the FTA into force,” says Mr Groser.

“The next step is translation of the text into Korean, which will be completed early next year. Following translation, the FTA will be signed.

“This FTA will deliver real economic benefits to both our countries. It will secure our position in the Korean market and will create more opportunities for traders as tariffs are gradually removed.” . . .

 

Stay safe on the farm this summer:

On average, 850 people each year are injured riding quad bikes on farms. Five die.

It is because of these unacceptable statistics that Ministry of Business, Innovation and Employment inspectors will visit farms this summer to ensure key quad bike safety steps are recognised and understood.

Rural Women New Zealand joins the Ministry in urging farmers and their families to take extra care on the farm over summer, particularly when it comes to quad bike safety.

As it gets closer to the holiday season the pace of work picks up and more tasks are fitted into the longer days.

“Long hours can lead to fatigue and an increase in accidents,” says the Ministry of Business, Innovation and Employment’s General Manager – Central, Ona de Rooy.

There is also a real need for vigilance once the school holidays begin and children are spending more time around the farm. . .

Signs of new interest in soil science:

Soil scientists worried about a decline in the numbers working in that field have taken heart at signs that interest may be growing among a new generation of scientists.

Science Strategy Manager at Ballance Agri-Nutrients, Warwick Catto said a national soil science conference in Hamilton earlier this month was notable for the number of younger scientists attending.

And he was hoping that showed interest was on the rise, because as he pointed out, the soil and what it produces was the basis for much of the country’s economy .

“There were a lot of young people in the audience, which is either a reflection that I’m getting older, or that there are lot of people looking at careers in soil science and I think the latter is that there are issues going on with soil, be it nitrogen leaching, soil erosion into water water ways. . .

Scientists breed cattle to thrive in tropics:

Livestock improvement co-operative LIC sees South America, Asia and possibly Africa as potential markets for a new breed of heat tolerant dairy cattle it is developing.

LIC has started a breeding programme crossing the Senepol breed from the Caribbean with New Zealand Holstein-Friesian dairy cattle.

The programme came about, ironically, from scientists’ investigations into a genetic mutation in one of its breeding bulls that produced very hairy off-spring, prone to over-heating. . .

New Zealand’s Food Safety Regulations Are Not About Food Safety, But Rather International Trade & Politics – Milking on the Moove:

New Zealand’s food safety regulations are not simply about food safety. It’s also about international trade & politics.

Once I understood that, the regulations & procedures around dairy products begins to make sense to me.

I’m going to be quite charitable to the regulators in this post.

Biddys Story

Last night Seven Sharp did a follow up story on Biddy and her micro cheese making business. You can view the 7 minute video here. http://bit.ly/1xRsYT8

Biddys story is, she milks 3 cows and makes the milk into cheese. She has won international awards etc etc. 5 years ago she was featured on Country Calendar. This alerted the authorities to her small operation and she was required to meet the dairy regulations.    . .

Beef + Lamb New Zealand Director Elections:

Nominations have now closed for two farmer-elected positions on the Beef + Lamb New Zealand board.

A director election in the Northern North Island electorate will not be required. James Parsons (incumbent) is elected unopposed.

Two nominations have been received for the Northern South Island electorate. The candidates are Nigel Harwood of Takaka and Phil Smith of Culverden. . . .


NZ-Korea FTA completed

November 16, 2014

New Zealand and Korea have completed a Free Trade Agreement which will save our exporters $65m in the first year.

Prime Minister John Key today announced that New Zealand and the Republic of Korea have completed Free Trade Agreement negotiations.

“Korea is New Zealand’s sixth largest export destination for goods and services and eighth largest import source of goods and services, with total two-way trade of $4 billion in the year ending June 2014,” says Mr Key.

“The FTA will put New Zealand exporters back on a level playing field with competitors from Korea’s other FTA partners, such as the United States, Chile and the European Union.

“At the moment our exporters to Korea pay $229 million a year in duties. Under the FTA, New Zealand exporters will save an estimated $65 million in duties in the first year alone. . .

This is very good news for producers, manufacturers and consumers in both countries.

One of the messages from Rabobank’s F20, which we attended last week, was that protection threatens food security and hurts the poor most.

Free trade is fair trade.

 

 

 

 


Rural round-up

December 4, 2013

Govt stepping up on forestry safety:

The Government has stepped up its efforts to improve forestry safety and Labour Minister Simon Bridges is calling on those in the industry to do the same. 

“The Government is committed to implementing the major step change in workplace health and safety that we need to see in New Zealand, which will help bring down fatalities and serious injuries in the forestry sector,” Mr Bridges says. 

“WorkSafe NZ, the new Crown agency dedicated to workplace health and safety, will go live on 16 December.  It has a very clear mandate to bring down the death and injury toll – by 25 per cent by 2020 – in our workplaces.  The Government has allocated an additional $30 million to WorkSafe to strengthen education and enforcement. . .

The science behind white clover decline – Doug Edmeades:

I’m hearing a cacophony of denial out there in farm-land. I am not talking about the local sports teams or politicians. I am referring to my pet hobby-horse – white clover.

We give ourselves so many reasons to justify why white clover no longer thrives on our farms like it did back in Dad’s day – it must be the dreary droughts, or the fickle flea, the evil weevil, miss’s management or mister drug, fertiliser N. The list goes on.

I have no doubt that these events, practices and insects have some effect – sometimes all of them – but I’m not willing to concede that we should take an early shower, pack the kit and retire to our clover-less farms. . .

Minister welcomes resumption of trade negotiations with Korea:

Trade Minister Tim Groser welcomed Korea’s decision to resume formal negotiations toward a free trade agreement, following a meeting today in Bali with his Korean counterpart, Minister of Trade Yoon Sang-jick.

“The resumption of negotiations was discussed by Prime Minister John Key and Korean President Park Geun-hye during the Prime Minister’s recent visit to Korea in July. I am pleased that their shared determination to conclude a free trade agreement has led to this point,” Mr Groser says.

“This is an important step. Korea is one of New Zealand’s biggest and most important trading partners.” . . .

Shareholders welcome Synlait Milk plans for growth:

Synlait Milk’s performance for the 2013 financial year and its plans for the future were welcomed at its Annual Meeting of Shareholders, held today in Christchurch.

Managing Director Dr John Penno said FY13 had been a good year.

“The IPO was successful and we are very pleased to welcome all new shareholders. During the year product volumes and margins continued to grow. This helped the business deliver on its forecast which was a significant improvement over performance for the previous financial year.” . .

New pesticide approved for use:

The Environmental Protection Authority has approved an application for a new pesticide to control sucking insects including aphids and greenhouse whitefly.

Dow Agro Sciences Limited applied to import and manufacture GF-2032, a pesticide containing the chemical sulfoxaflor, for use on a variety of commercial crops.

GF-2032 provides a more effective and less toxic means of pest control compared to some other pesticides currently available, such as organophosphates. . .

Agria repays $5 million loan, interest owed to Livestock Improvement:

(BusinessDesk) – Livestock Improvement, the farmer-owned bull semen and dairy genetics company, said China’s Agria has made early repayment on the balance of a loan that allowed it to take control of PGG Wrightson.

LIC provided the loan as part of Agria’s $144 million partial takeover of Wrightson in 2011 and last year gave the Chinese company until March 2014 to repay the balance, extending an earlier deadline. The funding allowed Agria to take control of New Zealand’s biggest rural services company including its valuable portfolio of proprietary seeds. . .

The Sheep Deer and Cattle Report: Vote for your future meat Co-Op shareholders urged – Tony Chaston:

Lamb schedules continue to ease as the emphasis changes from chilled to frozen as processing volumes build, but prices are at least $10 a head better than last year and demand is good with low stocks on hand.

Pre Christmas weaning drafts are common and operators are keen to market all killable lambs while procurement premiums are still in place.

Demand for early cull ewes is strong at the saleyards with many yardings of good cutting animals averaging $90-$100 a head. . . .

 


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