The target is to reach $2 billion by 2020
Philip Gregan
Auckland, January 27, 2018
New Zealand wine exports will receive a boost following the imminent signing of the Comprehensive and Progressive Agreement on the Trans-Pacific Partnership (CPTPP).
‘New Zealand Winegrowers’ warmly welcomes the news that the 11 nations negotiating the CPTPP have completed talks and are set to sign the agreement in Chile on March 8, 2018.
This is very good news for the 20,000 people in our regions whose livelihood depends on the wine sector.
Testament to hard work
It’s also a testament to the intensely hard work that Trade Minister David Parker and his negotiating team have put in over the past few months and the years of determined effort that went into TPP under former ministers Tim Groser and Todd McClay.
New Zealand’s wine exports to CPTPP countries were valued at $515 million in the year- ended June 2017.
The CPTPP will be New Zealand’s first trade agreement with Japan, Mexico, Canada and Peru.
Reduced Tariff
This agreement will immediately begin to make our products more competitive in CPTPP markets such as Canada Japan and Malaysia by reducing import tariffs.
This is a win that is ultimately worth several million dollars a year.
Without this Agreement, we would slip behind other wine producers like Australia who have already negotiated much cheaper access for their wine to important markets like Japan.
Importantly, ‘New Zealand Winegrowers’ also expects the signing of the agreement to act as a signal for increased investment and trade between the signatory countries.
That has been our experience with other trade deals – it is like the governments put up a shiny new ‘open for business’ sign so people look afresh at doing business with those economies.
‘New Zealand Winegrowers’ provides strategic leadership for the New Zealand wine industry and is the body that represents the interests of all New Zealand’s grape growers and winemakers.
New Zealand wine exports have reached a record high and now stand at $1.675 billion up 5% for the year-ended November 2017.
New Zealand wine is exported to more than 90 countries and is the country’s fifth largest export item.
The industry is working towards a goal of $2 billion of exports by 2020.
Philip Gregan is Chief Executive Officer of ‘New Zealand Winegrowers.’
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Photo Caption: New Zealand Wine cheers people around the world.
(Picture Courtesy: New Zealand Wine)
