Wednesday, 06 March 2019 12:11

Optimism over EU/NZ FTA

Written by 
Phil Hogan. Phil Hogan.

EU Agriculture Commissioner Phil Hogan is optimistic that a quality free trade agreement (FTA) between the EU and NZ can be negotiated before the end of 2019.

Hogan is responsible for the agricultural dimension of the FTA from a EU perspective.

He says good progress is being made in the negotiations, of which there are three more formal rounds scheduled before mid 2019.

“I am optimistic that not only can we do a deal, but a quality deal,” he told Rural News.

Hogan, who grew up on the family farm in Ireland before moving into politics, says agriculture will always be a sticking point with NZ because it is a sensitive issue with European farmers. But he’s confident that a deal can be negotiated and that 98% of the tariffs and other impediments to trade can be lifted, leading to greater trade liberalisation.

Two major issues are of concern to NZ: tariff rate quotas (TRQs) which affect access of sheep-meat to the EU, and geographic indicators (GIs) which mainly affect the dairy industry. 

Hogan says the TRQs are more related to Brexit and are an issue for the World Trade Organisation (WTO) to deal with. 

However, he believes the issues on GIs can be resolved. An example of a GI is the name given to a particular cheese such as Gouda, which is linked to a specific town or region in a country. 

“Geographic indicators I suppose can be described as rural intellectual property in the EU,” he said. “They are well accepted [in NZ] in the wine industry, but now there are one or two names in the dairy sector that we are worried about. But I think we can resolve those.” 

The positive side is the great deal of good will around the FTA negotiating table.

“It would be unthinkable, in an era when there is so much global disturbance on many issues, that the same values and objectives of like-minded countries like NZ and the EU couldn’t do a deal. 

“If Mr Trump wants to remain protectionist we have to remain open for business and we are very strong supporters of the multilateral trading system,” he adds. “As a result of this, I think NZ and the EU will come to an agreement.”

More like this

NZ dairy industry needs FTAs quickly

OPINION: New Zealand's dairy exports have been the backbone of the country's economy for several decades, and exports remain buoyant despite pandemic-era disruptions and impending downturns in East Asia in the next few years.

Editorial: Passage to India

OPINION: Even before the National-led coalition came into power, India was very much at the fore of its trade agenda.

NZ-UAE trade talks

A trade deal with the United Arab Emirates has moved a step close following a meeting between NZ's Trade Minister Todd McClay and UAE Trade Minister Dr Thani bin Ahmed Al Zeyoudi.

FTA good for Aussies and for us – Groser

ANYTHING GOOD for Australia is in the long run good for New Zealand. That’s the reaction of Trade Minister Tim Groser to the news that Australia has signed a free trade agreement with China, and to speculation that their FTA with China is better than NZ’s, especially regarding dairy products.

Featured

Massey Research Field Day attracts huge interest

More than 200 people turned out on Thursday, November 21 to see what progress has been made on one of NZ's biggest and most comprehensive agriculture research programmes on regenerative agriculture.

Expo set to wow again

Stellar speakers, top-notch trade sites, innovation, technology and connections are all on offer at the 2025 East Coast Farming Expo being once again hosted in Wairoa in February.

A year of global challenges

As a guest of the Italian Trade Association, Rural News Group Machinery Editor Mark Daniel took the opportunity to make an early November dash to Bologna to the 46th EIMA exhibition.

National

Winter grazing warning

Every time people from overseas see photographs of cows up to their hocks in mud it's bad for New Zealand.

ANZ defends farm lending rates

The country's largest lender to the agriculture sector says it's not favouring home loans over farm and business lending.

Machinery & Products

Expo set to wow again

Stellar speakers, top-notch trade sites, innovation, technology and connections are all on offer at the 2025 East Coast Farming Expo…

A year of global challenges

As a guest of the Italian Trade Association, Rural News Group Machinery Editor Mark Daniel took the opportunity to make…

» Latest Print Issues Online

The Hound

Review SOEs!

OPINION: NIWA has long weathered complaints about alleged stifling of competition in forecasting, and more recently, claims of lack of…

Bank reset

OPINION: Adding to calls to get banks to 'back off', NZ Agri Brokers director Andrew Laming has revealed that the…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter