Following an agreement in principle last October, the UK has today (Monday, February 28) signed a post-Brexit free trade deal with New Zealand (NZ).
International Trade Secretary Anne-Marie Trevelyan and NZ’s Minister for Trade and Export Growth, Damien O’Connor, signed the deal in London.
Although now agreed and signed, the deal will come into force after both countries complete their respective domestic procedures. Once approved by both parliaments, businesses will be able to trade under its terms.
Commenting on the deal, Secretary Trevelyan said:
“This deal will slash red tape, remove all tariffs and make it easier for our services companies to set up and prosper in New Zealand.
“Our trade with New Zealand will soar, benefiting businesses and consumers throughout the UK and helping level up the whole country,” she added.
“Like all our new trade deals, it is part of a plan to build a network of trade alliances with the most dynamic parts of the world economy, so we set the UK on a path to future prosperity.”
The deal was also welcomed by Mike Cherry, national chairman of the Federation of Small Businesses (FSB), who said:
“New Zealand is a key market for UK small businesses – close to a third of smaller exporters already have ties to the nation. As such, this deal marks a great step forward, and we are pleased to see inclusion of a dedicated SME chapter that will help more small businesses from both countries to take part in international trade and, in doing so, spur our global economic recovery.
“We also welcome the important additional measures outlined as part of the agreement, not least around the streamlining of self-declaration of origin procedures and bringing more small businesses into government supply chains.”
However, back in October when agreed in principle between country leaders Boris Johnson and Jacinda Ardern, the reaction by agricultural and rural community was quite different.
At that time, president of the National Farmers’ Union (NFU) Minette Batters said “we should all be worried” and that there could be a “huge downside” to the deal.
“They [speaking on the NZ and Australia trade deals] involve significant upsides for farmers on the other side of the world who can now access our hugely valuable market but contain little discernible benefit for UK producers, either at home or overseas,” she said.
This sentiment was echoed across the NFU branches, as well as the Country Land and Business Association (CLA).
CLA president – then deputy president – Mark Tufnell said:
“We see the opportunity for New Zealand farmers in this deal, but aren’t so sure what the opportunity is for those of us in the UK.”
