Post by : Meena Ariff

New Zealand's Foreign Minister Winston Peters has voiced strong opposition against the recently unveiled India-New Zealand Free Trade Agreement (FTA), declaring it to be “unjust and lacking fairness” and vowing to challenge it in Parliament. Leading the New Zealand First party, Peters raised alarms over the detrimental implications for crucial New Zealand industries, specifically expressing concern over immigration concessions and the omission of key dairy exports from negotiations.

Peters emphasized that while the FTA provides Indian goods access to New Zealand's markets, it does not ensure meaningful tariff reductions for New Zealand’s vital dairy sector. This industry is a cornerstone of the economy, accounting for nearly 30% of total exports, with a value nearing $14 billion. Alarmingly, crucial products like milk, cheese, and butter have been left out of any tariff reductions—a first for New Zealand’s trade accords. This exclusion has led to significant unease among farmers and rural areas, who are worried about their livelihoods being jeopardized.

Furthermore, Peters took issue with the extensive labor market access afforded to India, indicating that New Zealand is offering more in comparison to Australia or the UK regarding their trade pacts. He flagged the introduction of a specific visa for Indian workers as a major concern, citing that lenient work rights for Indian students—both while studying and after—could diminish future governments' capacity to adapt immigration and labor policies in response to evolving economic situations.

The Minister expressed dissatisfaction with his coalition partner, the National Party, for hastily pushing through a deal that fails to secure superior terms for New Zealand. He called on lawmakers to take the full parliamentary term to pursue a more beneficial agreement that serves tangible interests. Peters also voiced skepticism regarding the agreement’s ability to earn majority backing in Parliament.

Despite his opposition, Peters underlined the significance of fostering the strategic partnership with India. He reminded that India marked his maiden overseas visit as Foreign Minister beyond the Pacific region and emphasized the need for ongoing diplomatic initiatives to bolster relations. He clarified that his party’s stance is rooted in internal coalition dynamics and does not serve as criticism against India or its negotiators.

“Our approach to trade agreements remains steadfast and principled,” Peters stated. “We will endorse agreements that unequivocally benefit New Zealanders while opposing those that do not.”

#Business News #World News #Trade