New Zealand’s trade agreement with the Gulf Cooperation Council (GCC) will boost the country’s red meat sector.
The deal has eliminated tariffs on red meat exports to several countries within ten years, including Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE.
In the year to September, New Zealand’s red meat exports to this region were worth $245 million, with current tariff costs of $7.5 million.
Kate Acland, Chair of Beef + Lamb New Zealand (B+LNZ), said the region had been a high-value market, so improving access to farmers’ products was excellent news.
“The GCC is forecast to be one of the fastest-growing regions for beef and sheepmeat consumption due to its population growth, rising incomes, and rapidly developing tourism sector,” said Acland.
“This agreement comes hard on the heels of a trade deal with the UAE. Trade is the lifeblood of our sector, and any move to make it easier to export is welcome.”
Nathan Guy, Independent Chair of the Meat Industry Association (MIA), said exporters would also be delighted since the GCC is one of New Zealand’s largest halal markets, and the agreement has provided new avenues for growth and cooperation.
“New Zealand has an internationally recognised halal system that adds tremendous value. Halal-certified exports account for almost $4 billion annually,” said Guy.
“This agreement has been talked about for over a decade, and we acknowledge Minister McClay and his officials for their hard work and perseverance to get this deal across the line.”
This deal has also given New Zealand a competitive advantage as no other major red meat exporters to the GCC have secured such an agreement.
The remaining tariffs, including on frozen beef, frozen lamb half carcasses, sausages, and some tanned beef hides, will be phased out over 10 years. The agreement provides new avenues for engagement on halal via the Trade and Food Products committee.
