Dairy Industry Ready to Benefit from Thai FTA
New Zealand Dairy Industry Ready to Benefit from FTA with Thailand
New Zealand dairy exporters are looking forward to reaping the benefits of tariff reductions upon implementation of the Closer Economic Partnership (CEP) with Thailand, says the Dairy Companies Association of New Zealand (DCANZ).
Chairman Earl Rattray said that from today (July 1 2005) there would be immediate duty savings on whole milk powder and infant powders, two of New Zealand’s most important dairy product exports to Thailand.
Duties for whole milk and skim milk powder would be reduced from 18 percent to 15 percent and then progressively phased out, making New Zealand dairy exports more competitive in the growing Thai dairy market.
“We are also looking forward to improvements in the Thai regulatory environment.
“The CEP includes agreements on sanitary and phyto-sanitary and customs matters, which are yet to be finalised, but which will lead to greater harmonisation of New Zealand and Thai dairy food regulatory requirements and customs administration practices. This will help to increase certainty for New Zealand’s export trade to Thailand.”
Thailand ranks in New Zealand’s top ten dairy export markets. Dairy exports to Thailand totalled more than $200 million last year. Key export products included whole milk powder, skim milk powder and infant powders.
Mr Rattray said the trade agreement would bring substantial tangible long-term benefits for New Zealand's largest export industry.