Trade update – March
March 2022 Trade Update
With the Agreement signed New Zealand has moved fast towards ratifying the FTA. The process begins with consideration of the Agreement at Select Committee. The submissions are worth a read, particularly the focus of many on intellectual property issues. Intellectual property is going to be a big issue in the final stages of the EU negotiation – see below.
We are not envisaging any problems with the ratification of the NZ-UK FTA at the New Zealand end.
The latest round of negotiations with the EU are underway and will continue until early April.
The timing of these negotiations is interesting as it is hard to see any progress being achieved at anything other than a very technical level. Difficult issues just cannot be discussed. The EU has yet to finalise its new FTA environment mandate. When they do some big issues loom there – eg “green” subsidies, particularly as they apply to agriculture.
The Waitangi Tribunal’s findings on digital trade are having an impact with New Zealand negotiators deep in negotiation with Iwi before a position for the EU negotiation can be finalised.
Outstanding market access issues are essentially too sensitive to discuss in advance of key elections in member states.
We will report on full outcomes from the negotiation once they conclude in April.
Supply chain disruptions continue and prices increase as a result of oil price increases impacting throughout the supply chain.
There are nervous eyes being cast China’s way as China continues to pursue its elimination strategy. Big areas are being locked down. Should major ports be impacted there are likely to be further delays. This could well have global impact.
On the positive side, New Zealand exporters are able to travel again and reconnect with their offshore customers. Tourism is about to resume and attracting good numbers of international students is once again a real prospect.