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New Zealand and EU trade agreement to take effect on May 1

Published 25/03/2024, 06:37
© Reuters.

SYDNEY (Reuters) - New Zealand said on Monday a free trade agreement with the European Union would come into effect on May 1, after the country's parliament ratified the deal.

New Zealand notified the European Union it ratified the agreement earlier on Monday, Trade and Agriculture Minister Todd McClay said in a statement.

Wellington and Brussels signed the deal in July 2023, with the European Parliament ratifying its side of the agreement in November.

New Zealand expects the deal to benefit its beef, lamb, butter and cheese industries, as well as removing tariffs on other exports like its iconic kiwi fruit.

The EU will see tariffs lifted on its exports including clothing, chemicals, pharmaceuticals and cars, as well as wine and confectionary.

The EU is New Zealand's fourth-largest trade partner, according to government data, with two-way goods and services trade worth NZ$20.2 billion ($12.10 billion) in 2022.

($1 = 1.6689 New Zealand dollars)

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