It will soon be easier for Kiwi companies to sell their products and services overseas, following New Zealand's accession to the Government Procurement Agreement.
Economic Development Minister Steven Joyce and Trade Minister Tim Groser have welcomed the World Trade Organisation's (WTO) decision on the terms for New Zealand to bea part of their Government Procurement Agreement (GPA).
Mr Joyce said a decision on the terms of New Zealand's accession was reached with GPA parties in Geneva overnight, following two years of negotiations.
"Accession to the GPA will provide New Zealand companies with guaranteed access to bid for approximately US $1.7 trillion in annual overseas government contracts across 43 WTO member countries including the US, Canada, Korea, Japan and 28 countries of the EU."
Mr Joyce said this would make it easier for kiwi businesses to sell their products and services overseas.
He said when the GPA was in place, Kiwi companies would be able to export and do business with the likes of the US Government from New Zealand, creating local jobs and growing New Zealand for all.
"There'll be no need for our top entrepreneurs and innovators to build offshore branches in order to do business.
"The GPA will let kiwi companies run their businesses the way they want to, rather than establish 'work arounds' like they have to now," Mr Joyce said.
"The GPA is another important step in opening up large overseas markets so New Zealand exporters can compete on equal terms with their international counterparts."
Mr Joyce said New Zealand would now need to complete standard constitutional processes, including final Cabinet approval and the parliamentary examination of the Agreement, for accession to occur.
