Phil Taylor
New Zealand’s Forest Owners Association says the upgrade of the China Free Trade Agreement signed by New Zealand, is a much awaited and vital step for the future of New Zealand primary exports globally. Source: Timberbiz
Association President, Phil Taylor, says the forest and wood products industry exports NZ$3.3 billion of forest products a year to China. Like most of the other parts of the primary sector, forestry relies heavily on China.
“New Zealand signing the upgrade on the Free Trade Agreement, not only brings immediate benefits to our industry, but is a reminder of the value of mutually agreed rules-based trade agreements globally,” he said.
“The first impact in China will be through lower duties and streamlined documentation. In the longer term, it consolidates our trade access into China and opens the way for more processed timber exports going there and increasing our current 10% of imported market share in China of forest products.”
“Our industry participated in a major forest industry delegation to China in 2018, to play our role in improving our access to China, and this government led effort then is producing results now.”
Mr Taylor says the global significance of the Upgrade lies in the context of threats to free trade in the post-Covid trading world.
“Protectionism was gaining traction in so many countries before the pandemic, and it’s showing many signs of now getting worse in economies hit hard by Covid.”
“The New Zealand forest industry has been identified by the government as increasing further processed exports by NZ$2.6 billion in the next 10 years. Our government needs to make sure that the markets which have the potential to buy these exports are not closed to us.
“More rules-based trade deals to keep those doors open are vital.”
