31 March 2005
FTA Negotiations with Malaysia welcomed by the New Zealand Meat Industry
Meat Industry Association Press Release
The Meat Industry Association welcomes the launch of FTA negotiations with Malaysia as a further positive step in
enhancing trade relations between long-standing trading partners.
“Malaysia is an important market for New Zealand’s high quality beef, sheepmeat and offal products earning approximately
NZ$68million FOB in the year ending May 2004”, Chief Executive of the Meat Industry Association, Caryll Shailer, said
today. “It is currently New Zealand’s 8th largest beef market with exports earning approximately $28million in the year
ending May 2004. Sheepmeat export receipts contributed a further $25million while the trade in offals (predominantly
beef) returned a further $15million.”
“New Zealand’s meat products exported to Malaysia comply with strict Halal requirements through a well established and
recognised halal certification programme. There is potential for New Zealand’s meat exporters to enhance their status as
preferred suppliers of halal meat, matching demand growth, and assisting Malaysia in its efforts to become a regional
hub for producing and processing halal products for the world’s 1.8 billion Muslims”, Caryll Shailer said.
“Like New Zealand, Malaysia is a strong supporter of multilateral liberalisation, and whilst Malaysia’s trade policy is
characterised by relatively low applied tariff rates, barriers have been raised “temporarily” in the past in response to
economic shocks”, Shailer noted. “This has contributed to a degree of uncertainty for business that could usefully be
resolved during the FTA negotiations.”
A bilateral trade agreement between New Zealand and Malaysia entered into force on 1 January 1998. It aimed to
facilitate and promote trade and foster economic cooperation, and encourage enterprises to explore scope for increased
trade and investment. It established a Joint Trade Committee to discuss measures for expansion of trade in goods,
services and investment. Prime Ministers Clark and Badawi announced today that New Zealand and Malaysia would soon
commence negotiation of an FTA. The Government released its study into the benefits of an FTA with Malaysia earlier this
month.
“The proposed FTA will complement these existing arrangements as well as providing opportunities to develop new
mechanisms where warranted. The creation of a framework for pursuing bilateral concerns, enabling identified barriers to
trade (such as import licensing and establishment listing processes), to be constructively addressed in a timely manner
is welcomed by the industry”, Shailer concluded.
ENDS