New Zealand and UAE sign Free Trade Agreement
Comprehensive Economic Partnership Agreement (CEPA) to Enhance Trade and Investment, Targeting NZ$1.3 Billion in Annual Exchange
UAE and New Zealand Sign Historic Free Trade Agreement, Boosting Bilateral Trade
The United Arab Emirates (UAE), one of New Zealand’s biggest Middle Eastern markets, and the country have inked their first free trade agreement (FTA) in the Gulf.
According to Xinhua news agency, the Comprehensive Economic Partnership pact (CEPA), a trade pact, and a related investment accord were signed Tuesday in Abu Dhabi, the capital of the United Arab Emirates.
According to a recent website update released by the New Zealand Ministry of Foreign Affairs and Trade on Wednesday, the country’s top exports to the United Arab Emirates are beef, dairy, industrial items, horticulture products, and travel services.
“The UAE’s dynamic and high-value market offers significant opportunities for export growth and diversification for New Zealand companies,” said the press release.
When CEPA goes into effect later this year, the expected yearly two-way trade between New Zealand and the UAE would increase to NZ$1.3 billion ($730 million), according to New Zealand Prime Minister Christopher Luxon.
According to Luxon, the government of New Zealand wants to treble the value of its exports within ten years, and CEPA allows exporters in the kiwi primary sector priority access while fortifying supply networks with a vital Gulf partner.
Todd McClay, the trade minister for New Zealand, stated that once the deal is in effect, tariffs on 98.5 percent of kiwi exports to the United Arab Emirates will be lifted immediately. Within three years, that percentage will increase to 99 percent.
It was the quickest free trade deal ever negotiated between New Zealand and its trading partners, with the UAE and New Zealand concluding trade negotiations in September in less than four months.
