Media Release
1 December 2004
FONTERRA WELCOMES ASEAN FTA NEGOTIATIONS
Fonterra Co-operative Group today welcomed the announcement that New Zealand and Australia will begin free trade
negotiations with members of the Association of South East Asian Nations (ASEAN).
Director Government and Trade Philip Turner says the negotiations represent an opportunity for Fonterra to gain improved
access to a growing market that consumes more than 25% of all dairy products exported from New Zealand.
"Having a free trade agreement in place could reduce the tariff burden and remove the element of uncertainty around duty
rates that New Zealand and Australian exporters currently face."
Mr Turner says ASEAN member countries can potentially increase applied duty rates for non-ASEAN members thus impeding
trade.
"We would hope that an agreement between New Zealand, Australia, and ASEAN countries would remove that risk."
Mr Turner says negotiations could also address the complex regulatory systems and food safety measures used by some
ASEAN countries.
"There is also potential for New Zealand to use its world-class food safety standards to assist in improving regulatory
frameworks within those borders."
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