New Zealand and Mexico welcome outcome on kiwifruit cooperation

Sunday 13 November 2011, 7:18PM
By Tim Groser

New Zealand Trade Minister, Tim Groser, welcomed the announcement by Mexican Secretary of the Economy, Bruno Ferrari, that Mexico will eliminate its 20% tariff on kiwifruit imports.

Both New Zealand and Mexico are likeminded economies that share the principles of APEC of free and open trade and investment. Both work closely to advance APEC’s agenda, particularly to enhance the competitiveness of both economies. Likewise, Mexico and New Zealand work towards a stronger multilateral trading system.

Mr Groser said the removal of the tariff was the result of a two–year dialogue with New Zealand and demonstrated the strength of the relationship between the two countries. The elimination of Mexico’s tariff on kiwifruit will level the playing field for New Zealand, which had been at a disadvantage against its major competitors in the market which profited from trade preferences with Mexico.

“This has been a tough time for New Zealand growers as they grapple with the effects of PSA on production and this is a little bit of good news for them,” Mr Groser said.

“This outcome will represent an immediate saving of $1 million a year to the New Zealand industry, and will clear away a major hurdle in their efforts to expand the market.”

“I’d like to thank Secretary Ferrari for his commitment today and look forward to ongoing cooperation between our two countries,” Mr Groser said.

The elimination of the Mexican tariff will open up new possibilities for commercial relationships between Mexico and New Zealand. Zespri, the world’s largest exporter of kiwifruit, will travel to the State of Jalisco this month to discuss the potential for the establishment of kiwifruit production there.

Welcoming developments, Secretary Ferrari said, “cooperation with New Zealand could open up an important new industry to Mexico. There is real potential for Mexico to establish a high-quality and viable kiwifruit industry in conjunction with New Zealand that could yield benefits to both countries well into the future.”