An upgrade to New Zealand's Free Trade Agreement with China comes into force in April, with new rules making exporting to China easier and reducing compliance costs by millions of dollars a year, says Trade and Export Growth Minister Damien O'Connor.
Highlights of the upgrade include tariff-free access for 99 per cent of New Zealand's $4 billion wood and paper trade to China, once fully implemented.
From January 1 most New Zealand dairy products to China were entitled to duty-free access for the first time as a result of ongoing implementation of the 2008 FTA, O'Connor said.
New Zealand and China had last week ratified an upgrade protocol and the activation date, after the signing of the FTA upgrade last month. The update modernises the original 2008 FTA. New Zealand was the first developed country in the world to sign an FTA with China, now its biggest export market.
The upgrade was part of work helping to drive New Zealand's economic recovery from Covid, said O'Connor, noting FTA negotiations with the UK would also soon be concluded, removing tariffs on New Zealand exports and creating new market opportunities.