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National’s much-touted free trade deal with India featured in the Rural Issues Debate at Mystery Creek, Hamilton on Wednesday night.
Ironically, New Zealand First and the Greens found themselves on the same side of the debate on this issue.
NZ First MP Mark Patterson told about 300 farmers at the event that the NZ/India FTA was not a game changer.
“There’s no beef, no dairy, lamb is a tight deal and the tariff on wool is like 2%,” he says.
Pressed by debate host Heather du Plessis-Allan that India was one of the largest export markets in the world and have a growing middle class, Patterson says the FTA was “a pretty tight deal”.
He claimed under the FTA, New Zealand would provide uncapped student coming in with work rights.
He also claimed NZ had signed up to invest $35 billion into the Indian economy.
“If it was a free trade deal, we would have been all over it. But look at what we've had to trade off here.
“This is a massive trade off of actually very small gains.”
Green MP Steve Abel also chimed in, questioning why NZ got the China FTA across the line without investing $38b.
“We don't have a foreign direct investment clause in any other trade deal.
“I would say this is probably the worst trade deal ever negotiated.”
Agriculture and Trade Minister Todd McClay, who is credited with negotiating the deal with his Indian counterpart, Piyush Goyal jumped in to defend the FTA.
McClay reminded the audience that India has 1.4 billion people compared to five million in New Zealand.
He says the Indian FTA “is a better deal than most any other country that has signed an FTA with us.
“It's not perfect. We didn't get enough dairy.
“But for most other sectors, you will have an opportunity to go out there and beat the Australians and the level playing field will be better.”
McClay says he has a lot of respect for Patterson and NZ First leader Winston Peters.
“He's a very, very long-time family friend of mine. It's a good deal: it’s time to move on.”
With a general election under five weeks away, Rural News is asking major political parties about their policies and positions on key issues facing the primary sector. We will run their responses to each question over the next four weeks. The ACT Party and the Greens didn't respond in time.
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