Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


Groser Welcomes new OECD-WTO Report On International Trade


Hon Tim Groser
Minister of Trade

17 January 2013
Media Statement

Groser Welcomes new OECD-WTO Report On International Trade

Trade Minister Tim Groser has welcomed the OECD-WTO’s estimates of “Trade in Value-Added” at the launch of the new database in Paris.

“This new data estimates trade in value-added terms, which helps convey the interdependencies of global value chains and reveal who ultimately benefits from trade,” Mr Groser says.

“Engaging internationally is crucial to all countries’ future prosperity. New Zealand is especially well connected to global value chains in the agriculture and food sectors.”

According to OECD estimates, 81 percent of New Zealand exports’ value is created domestically. This is higher than the OECD average of 72 percent, reflecting both our geographic distance and the importance of agricultural products to our exports.

Mr Groser says the database provides an important reminder that imports are vital to the production of exports. About a third of New Zealand’s imports of intermediate inputs are used to produce goods and services that are then exported.

“Now that we can quantify the contribution of imported inputs to value-added exports, there is no escaping the fact that any barriers to imports become barriers to our exports and to our firms engaging internationally.

“The data also shows that services are fundamentally more important to trade than previously acknowledged,” says Mr Groser. Services represent 46 percent of the value of New Zealand’s exports when you take into account that services contribute a significant share to the value added in manufacturing exports. This is double what traditional statistics indicate is the share of services in our exports.

“This reinforces just how critical an efficient services sector is to all export industries.

“Countries must ensure their businesses can access world class inputs at competitive prices if they are to be productive and reap the benefits from global trade and value chains.”

Building a more competitive and productive economy for New Zealand is one of the Government’s key priorities. As part of the Business Growth Agenda the Government has committed to the goal of lifting New Zealand’s exports to 40 percent of GDP by 2025, from the current 30 percent.

Further information:

Traditional trade statistics measure the total (gross) value of goods and services traded, every time they cross borders, rather than the value that has been added within that country’s borders. The OECD-WTO Trade in Value-Added database is the first time that the value-added contribution to trade has been estimated on a consistent basis across countries. This is useful because increasingly different parts of the process of producing a good – from design, production, assembly, through to its delivery to the end consumer - take place in different countries, a phenomenon referred to as “Global Value Chains”.

In March 2012 the OECD and World Trade Organisation (WTO) launched a joint initiative to measure trade in terms of the value that is added by a country in the production of any good or service that is exported. Using a model, the OECD (lead) and WTO estimate how exports of a country feed into intermediate inputs or final consumption in the importing country, in order to estimate trade flows in value-added terms. The database currently covers 40 countries and 18 industries.

More information and the Trade in Value-Added database is available at www.oecd.org/trade/valueadded

The OECD/WTO Trade in Value-Added country note on New Zealand is attached.

Click here to read: NZ__Main_findings_from_the_TiVA_database.pdf

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Also, Loan Interest: Productivity Commission On Tertiary Education

Key recommendations include better quality control; making it easier for students to transfer between courses; abolishing University Entrance; enabling tertiary institutions to own and control their assets; making it easier for new providers to enter the system; and facilitating more and faster innovation by tertiary education providers... More>>

ALSO:

Higher Payments: Wellington Regional Council Becomes A Living Wage Employer

Councillor Sue Kedgley said she was delighted that the Wellington Regional Council unanimously adopted her motion to become a Living Wage employer, making it the first regional council in New Zealand to do so. More>>

ALSO:

Scoop Images:
Dame Patsy Reddy Sworn In As Governor-General

This morning Dame Patsy Reddy was sworn in as the New Zealand Realm’s 21st Governor-General. The ceremony began with a pōwhiri to welcome Dame Patsy and her husband Sir David Gascoigne to Parliament. More>>

ALSO:

Ruataniwha: DOC, Hawke's Bay Council Developer Take Supreme Court Appeal

The Department of Conservation and Hawke's Bay Regional Investment Company (HBRIC) are appealing to the Supreme Court over a conservation land swap which the Court of Appeal halted. More>>

ALSO:

With NZ's Marama Davidson: Women’s Flotilla Leaves Sicily – Heading For Gaza

Women representing 13 countries spanning five continents began their journey yesterday on Zaytouna-Oliva to the shores of Gaza, which has been under blockade since 2007. On board are a Nobel Peace Laureate, three parliamentarians, a decorated US diplomat, journalists, an Olympic athlete, and a physician. A list of the women with their background can be found here. More>>

Gordon Campbell: On The Key Style Of Crisis Management

At Monday’s post Cabinet press conference Key was in his finest wide- eyed “Problem? What problem?” mode. No, there wasn’t really a problem that top MPI officials had been at odds with each other over the meaning of the fisheries policy and how that policy should be pursued... More>>

ALSO:

Mt Roskill: Greens Will Not Stand In Likely Post-Goff By-Election

“The Green Party’s priority is changing the Government in 2017, and as part of that we’ve decided that we won’t stand a candidate in the probable Mt Roskill by-election... This decision shows the Memorandum of Understanding between Labour and the Green Party is working." More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news