Trade Update - March 2014
Date Added: 17 Mar 2014 from BusinessNZ
Minister Groser was within 24 hours of concluding this negotiation. Agreement on goods had been achieved but services were still being completed. Then politics intervened. It is unclear how developments in the wider relationship with Russia will impact on this negotiation and whether it can be revived.
It is increasingly clear that there will be no conclusion to the TPP negotiations this side of the November mid-term elections in the US. There is some talk of Japan resuming its bilateral FTA negotiations with Australia in the meantime, as a means of putting pressure on the TPP process. This may not be good news for New Zealand exporters.
There has been very little progress since our last update.
There appears to be some momentum developing to have this stalled negotiations revived and finalised. New Zealand’s investment in a model farm in Saudi Arabia and the revival of live sheep exports (for breeding purposes only) seems to have helped turn Saudi Arabian attitudes around. Ministers McCully, Guy and Groser have all been active behind the scenes to seek the unblocking of this negotiation. There is talk of a Groser visit to the area in April.
Resumed negotiations are progressing well. There could be an outcome to this negotiation this year.
Minister Groser will be visiting Colombia next week. Work on this FTA possibility is awaiting the outcome of the Colombian election.