According to Export New Zealand, the Free Trade Agreement (FTA) signed with the European Union will deliver significant outcomes for selected sectors but falls short of the high-quality Agreement New Zealand signed with the United Kingdom.
Executive Director Josh Tan said the FTA opens up a market for goods previously obstructed by tariffs on products exported from New Zealand.
"The winning sectors on the day are the likes of horticulture, seafood, wine, and honey - who will be delighted with the outcomes. Our two largest goods export sectors, red meat and dairy, would have been hoping for more commercially meaningful outcomes for their exports," said Tan.
He continued that the European Union had not backed its farmers to compete with meat and dairy farmers in New Zealand and maintained tariff protection. This is not only to the detriment of New Zealand exporters from the meat and dairy sectors, but it means that European Union consumers will be paying more for our high-quality, sustainably produced food.
"On the bright side, our service exporters can now compete in the European market on a more level playing field alongside local offerings and others in markets like the UK and Singapore."
Tan added that negotiating with as many countries and interests within the European Union can be difficult without compromise.
While Export New Zealand could not call this FTA comprehensive, it acknowledged New Zealand's negotiators' hard work to secure this deal.
"We expect the FTA will come into force by this time next year and look forward to seeing our exports continue to grow in the European market."