Key at the G20 Trade Minister Tim Groser welcomed the announcement on the successful conclusion of negotiations with the Republic of Korea on a Free Trade Agreement.
“Korea is one of New Zealand’s biggest and most important trading partners,” says Groser. “The FTA will deliver real economic benefits for both our countries. It will create more opportunities for our business and will deliver cheaper products to consumers. It’s a win-win agreement.
“There are positive outcomes for agricultural exports, as well as the forestry sector, the fisheries industry and exporters of all industrial goods. Government procurement, trade in services and investment are all subject to high quality commitments.”
On entry into force, tariffs will be eliminated on 48 per cent of current New Zealand exports. Tariff cuts under this FTA will create an estimated duty saving of $65 million in the first year alone. Duties on New Zealand’s current exports will largely be eliminated within 15 years of entry into force.
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.
Improving access to international markets through FTAs 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