Wednesday, 04 July 2018 09:55

Potential risk to NZ’s primary exports

Written by 
Mike Petersen. Mike Petersen.

Mike Petersen says the potential US-China trade war poses long term threats for NZ products.

If there is a tariff on a product from the US into China, you’d have to question where that product will go, he says. It could displace NZ product in other parts of the world or it could find its way to NZ.

“The whole displacement effect could have a big effect on NZ as a country that relies very much on exporting and access to markets,” Petersen says.

“While it is not an issue directly impacting NZ, the spillover effects could be significant. They are the ones we have got to watch very closely.”

Petersen says several people suggest NZ may be advantaged by a US-China trade war.

“There may be a short term opportunity for some products into these markets as a result of the tariffs but the long term risk of it impacting on NZ products is far greater,” he says.

In some ways NZ needs to keep its head down; it does not need to join sides on any of this, Petersen says. 

“We need to keep our head down – keep calm and carry on. But equally we need to make sure our voice is heard and that people understand the risks of the trade war that is looking increasingly likely.”

» Connect with Rural News

More like this

Four more years, mate

The NZ/China Free Trade Agreement (FTA) upgrade has brought little joy to the dairy industry.

Job hunting?

A mate of the Hound reckons outgoing special agricultural trade envoy Mike Petersen, who is due to finish his current role at the end of the year, is currying favour – and job prospects – with the Government by backing its moves to lump agriculture into the ETS.

US exports soar

US dairy exporters keep finding new markets for cheese and dairy ingredients despite facing trade tensions.

» The RNG Weather Report

Featured

Soil moisture: no more looking over the fence

Farm manager Bryan Mitchell describes as brilliant the SCADAfarm systems that allow him to remotely monitor and manage the irrigation of his 300ha of leased grazing land near Kirwee.

 

Separation gives constant result

Effluent separation offers a number of unique advantages, and opportunities that other systems don’t offer, says farm equipment manufacturer Rakaia Engineering Ltd (REL) Group.

Cultivating the right way

Cultivation of paddocks is common on farms at this time of year. It’s also a time when local storms may occur, adding substantial risk to an important farming practice.

» Connect with Rural News

» Connect with Rural News

» The RNG Weather Report

» Latest Print Issues Online

The Hound

Job hunting?

A mate of the Hound reckons outgoing special agricultural trade envoy Mike Petersen, who is due to finish his current…

Hot air?

With the Government wanting to implement huge costs on the livestock farming sector by making New Zealand the only country…

» Connect with Rural News