Key seeks to boost trade with Vietnam

Increasing New Zealand's trade with Vietnam and maximising the value of aid to the southeast Asian nation were the priorities of Prime Minister John Key's just-completed trip here.

Mr Key also hopes that by improving the economic relationship and building on 35 years of diplomatic relations, New Zealand can help Vietnam overcome its appalling human rights record.

He left for New Zealand last night after a 10-day trip to South Korea, China and Vietnam.

In the two years since becoming Prime Minister, Mr Key has visited every country in Asia where New Zealand has an embassy or high commission, except Indonesia and India.

"That's a sign of the attention that we're paying to this part of the world," he said.

The only European country he has been to in that time is Britain.

"It's not that we don't want to spend more time there, but we have a limited amount of time and at the moment we see this [Asia] as the really big opportunity to grow our exports."

Asian countries had young and increasingly wealthy populations who wanted to buy New Zealand goods, he said.

He raised the Trans Pacific Partnership with the Vietnamese Government and Communist Party leadership, who said they wanted to be part of it.

"They see it as an important step forward, so all the signs are positive but this is a very difficult negotiation."

Two-way trade with Vietnam is worth about $500 million. Exports are worth about $315 million, 40 per cent of which is dairy products, while imports are mainly wood, furniture and clothing.

New Zealand effectively has a free trade agreement with Vietnam through the Asean-New Zealand-Australia agreement.

New Zealand gives about $10 million annually in aid, which goes mainly to education, including study visits for senior officials and co-operation with non-government organisations in Vietnam.

- NZPA