Export New Zealand is welcoming the new Free Trade Agreement with Malaysia as an important opportunity for New Zealand businesses.
Catherine Beard, executive director at Export New Zealand, says the fact that Malaysia has South East Asia’s second largest GDP and is forecast to grow around 6.5 percent this year means the potential business gains afforded by the new agreement are significant.
“Now that 95 percent of our current exports to Malaysia are duty free, it’s an opportune time for Kiwi businesses to focus on developing their Malaysian trade.
“We have a good relationship with Malaysia, and English is widely spoken there. As well as our service exports, which include private tertiary education, Malaysia is an important export destination for New Zealand dairy, fruit and manufactured products.
“Within the next seven years, the amount of duty savings on New Zealand exports will amount to over $10 million p.a. as the new agreement is fully implemented to eliminate tariffs on 99.5 percent if our current exports. This is 9 years quicker than the ASEAN-Australia-New Zealand FTA.
“It shows that by building on multi-lateral deals, we can get even higher quality outcomes by pursuing bi-lateral FTAs,” says Beard.