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Taiwan signs the Economic Cooperation Agreement with New Zealand
2014-04-22
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Hwang-Jaw Lee

Board Director, Taiwan Flowers Development Association

 

Taiwan signed the Agreement between New Zealand and the Separate Customs Territory of Taiwan, Penghu, Kinmen, and Matsu on Economic Cooperation (ANZTEC) with New Zealand on July 10 th, 2013 which not only will bring significance of economic development, but will also fully promote the exchanges and cooperation in investment in agriculture, agricultural trade and field of animal and plant inspection and quarantine between Taiwan and New Zealand. On account of New Zealand is the important member of “Trans-Pacific Partnership” (TPP) and “Regional Comprehensive Economic Partnership” (RCEP), so the agreement will help Taiwan to further participate in the relevant regional economic integration, and Taiwan’s agricultural department can also adjust the industrial structure to enhancing their products competitiveness, to boost the agricultural products in export markets in response to the challenges in joining the TPP in the future.

The content related to agriculture of the ANZTEC comprises three portions of market liberalization, Product Specific Rules for agricultural products, norms of animal and plant inspection and quarantine, in which regarding market liberalization, Taiwan has fought for excluding the rice from the tariff reduction list, and adopting tariff quotas to velvet and liquid milk; as for the other principal agricultural products, the country has also taken a yearly tariff reduction methods to reduce the possible impact on Taiwan’s industry.  New Zealand is committed to the other items and tariffs for agricultural products. These will be cancelled after the agreement takes effect.

In addition to market liberalization, for the sake of avoiding the products of a third country which can directly benefit from the preferential tariff of ANZTEC through transportation, the two sides have established the Product Specific Rules for the products which are adequate to preferential tariff; take kiwifruits for example, the fruits must be planted and harvested in New Zealand, so that it gets the benefit from the preferential tariff when exported to Taiwan. In addition, Taiwan and New Zealand both also agree to strengthen the cooperation of their animal and plant inspection and quarantine, including building cooperation, notification, emergency measures and information exchange and the relevant mechanisms, as well as enhancing the implementation of the agreement and establishing joint management committee to reinforce the epidemic prevention and quarantine management between both countries along with the agricultural trade exchanges and industrial interests, having Taiwan products in a more advantageous position, including inspection and quarantine, reaching to international standards and the establishment of norms of relevant international organizations.

(Data Source: Council of Agricuture)

Date submitted: April 21, 2014

Reviewed, edited and uploaded: April 22, 2014

 

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