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Home / Business / Companies / Agribusiness

ExportNZ election wishlist: trade and more trade

NZ Herald
3 Sep, 2017 05:00 PM3 mins to read

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Trade and the TTP-11 are crucial, says ExportNZ. Photo / 123rf

Trade and the TTP-11 are crucial, says ExportNZ. Photo / 123rf

Exporters have a simple demand for the government this election: trade and more trade.

The ExportNZ Election Manifesto said the "single biggest" thing exporters need from government is "unequivocal" support for TPP-11 and all the other trade deals lined up to be negotiated.

"The single biggest policy issue is whether there is support for TPP-11 and other key potential trade deals. These have the best practical ability to grow jobs and incomes," said ExportNZ executive director Catherine Beard.

ExportNZ is an industry body representing exporting firms around New Zealand.

According to the manifesto, the export trade sector directly and indirectly accounts for $85 billion, or 43 per cent, of New Zealand's GDP and contributes almost 750,000 jobs.

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TPP -11 - the TPPA without the US - was the biggest priority for ExportNZ.

"This is still the biggest and the best deal we are going to get and to be left out of TPP-11 if it comes together would make our biggest exporting sectors increasingly uncompetitive in the fast-growing Asia Pacific region," the organisation said.

"Given that the highest tariff barriers still tend to be on primary sector exports and these are our biggest export earners, New Zealand has a lot to gain if we get this right and a lot to lose if we do not."

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National is committed to pursuing the TPP-11, while Labour has reservations about clauses that mean foreigners could buy land in the country.

ExportNZ also stressed the importance of upcoming opportunities for free trade agreements with the EU, UK, and Pacific Alliance.

It also suggested a focus on emerging markets in Asia and Africa where long-term opportunities are "significant".

Population growth is another focus for ExportNZ, with the group arguing a larger domestic population would lead to larger local demand.

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"We are not a small country; we are a large country with a small population," it said.

"How big do we want to be by 2050 and are we planning for sustainable growth? Bigger populations lead to economies of scale and increased investment in infrastructure and logistics."

ExportNZ pointed to the Australia where the OECD suggested the scale of the country more than compensates for the adverse effects of distance from markets.

Finally, ExportNZ called for more collaboration in New Zealand in order to grow and compete offshore. It cited the examples of collaborations in the wine, avocado, marine and aviation industries producing strong results.

"While NZTE supports collaborations we can do more in this space with dedicated and ongoing facilitation."

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