New Zealand's free-trade agreement with the United Arab Emirates (UAE) has officially come into effect.
Agriculture, Trade and Investment Minister Todd McClay confirmed that the New Zealand-United Arab Emirates Comprehensive Economic Partnership Agreement (CEPA) entered into force on Thursday. He stated that the agreement would provide an estimated US$42 million in tariff savings annually for New Zealand exporters and the wider economy.
"The NZ-UAE CEPA is New Zealand's fastest-ever trade agreement," McClay said, noting it was concluded in just over four months. "From today, 98.5 percent of New Zealand's exports to the UAE will enter duty-free, rising to 99 percent by the start of 2027. This is one of the best goods market access packages we have ever secured."
Produce exports covered under the agreement include apples and kiwifruit, which will now enter the UAE duty-free alongside dairy, red meat, seafood, timber, and honey. According to McClay, the UAE imports 90 percent of its food, providing strong opportunities for New Zealand producers.
He noted that the UAE is already one of New Zealand's largest markets in the Middle East and functions as a gateway into a US$853 billion economy that continues to expand and diversify. Two-way trade between the two countries currently stands at US$1.44 billion per year.
"Beyond goods, this agreement creates a platform for two-way investment, digital trade, and services opportunities that will generate jobs, lift incomes, and boost the economy for all New Zealanders. The CEPA strengthens our relationship with a key Gulf partner and takes us a step closer to the Government's goal of doubling the value of New Zealand's exports in 10 years," McClay added.
Source: RNZ
