April 9, 2024
The Ministry of Foreign Affairs and Trade and the New Zealand Government have announced that the ratification of the European Union Free Trade Agreement (EU-FTA) will brings substantial benefits to New Zealand's export onion industry.
James Kuperus, Chief Executive Officer of Onions New Zealand, expressed enthusiasm about the potential impact of the (EU-FTA) for New Zealand growers. He recently stated, “The onion quality is excellent this season, and this announcement is great news for New Zealand Onion growers as we head into the last half of the export season” He also mentions that despite facing challenges such as rising costs, particularly in labour and disruptions in sea freight due to conflicts and droughts, the New Zealand onion industry is having a better season than last year. He highlighted the exceptional quality of this season's onions, emphasising their long shelf life and great taste.
The EU is New Zealand’s largest onion export market, and with the early removal of the 9.6% tariff from 1st May 2024, Onions New Zealand estimates that around 35,000 tonnes of onions could be exported to the EU, tariff-free, resulting in an additional $3 million value for local onion growers.
Trade Minister Todd McClay highlighted the importance of the final reading of the legislation for the Free Trade Agreement with the European Union, stating that it represented a pivotal moment and that the agreement would create substantial new opportunities for New Zealand businesses already engaged in trade with Europe, ensuring fair competition with their rivals.
Acknowledging the efforts of Government Ministers and officials in facilitating trade agreements and negotiations, James expressed gratitude for their support. As a highly traded commodity, the onion sector benefits greatly from the continued strong trade relationships and market access work.
You can read the official press release here
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