EU pact boost for NZ trade

New Zealand and the European Union have finalised an agreement putting their food safety requirements and animal health assurances on equal footing.

The Veterinary Agreement, simplifying the sanitary measures for the trade of animal products between New Zealand and the EU, takes effect on Saturday after six years as a provisional agreement.

Agriculture and Trade Negotiations Minister Jim Sutton said the agreement strengthened New Zealand's trading relationship with the EU.

Europe is New Zealand's largest market for agricultural exports. Sheepmeat exports alone earned New Zealand more than $1.4 billion in the year to last June. Dairy exports earned $725 million.

Meat Industry Association executive director Brian Lynch said European consumers liked New Zealand meat products but were sensitive about food safety issues, and their loyalty could not be taken for granted.

"That's where the Vet Agreement has such promise for the future," he said. "European hygiene requirements are among the most rigorous anywhere.

"The fact that the EU authorities have recognised our food safety systems as giving levels of protection that match their own will be a huge advantage in strengthening the appeal of New Zealand meat products in that fastidious market."

Under the agreement, areas of potential regulatory duplication can be eliminated.

New Zealand meat processors and exporters can expect fewer inspection visits and faster border clearing times, which are especially important for the premium chilled lamb that now makes up more than 15 per cent of the trade.