Exports of livestock by sea will cease from April next year, following a 2019 review of the trade in response to concerns around the ongoing risk to New Zealand's reputation.
The Bill, which passed in Parliament today, does not cover the export of live animals by air, for which the travel times are much shorter.
Minister of Agriculture Damien O'Connor said the move will protect the country's reputation for world-leading animal welfare standards.
"The Animal Welfare Amendment Bill future-proofs our economic security amid increasing consumer scrutiny across the board on production practices."
O'Connor said the objective of that review was to provide New Zealanders with an opportunity "to reflect on how we can improve the welfare of livestock being exported".
"Our primary sector exports hit a record $53 billion last year, delivering us economic security.
"That result is built on our hard-earned reputation and this is something we want to protect."
O'Connor acknowledged input from written and oral submitters during the Review and Select Committee process, and the considerable support the Bill received from the public.
He said New Zealand's remoteness meant animals were at sea for extended periods, which heightened their susceptibility to heat stress and other welfare-associated risks.