NZ’s last comprehensive trade strategy was released 30 years ago in 1993. We think it’s high time for a new one that recognises the challenges of the modern trading environment and directs scarce negotiating resources to where they will make the biggest difference for Kiwi firms and households.
Amongst our ten recommendations are:
Re-evaluate whether NZ needs to retain its existing tariffs any longer, given the costs they impose on households and businesses.
Beyond existing FTA targets, just say 'no' to potential partners unless they come forward with an ambitious, comprehensive and quick deal.
Use the expansion of CPTPP as the main way to access new markets.
Devote more resources to 'open plurilaterals', which can test novel approaches to modern trade issues with coalitions of the willing. Inititaives on non-tariff measures, mutual recognition, carbon border adjustment mechanisms and a refreshed digital agreement might be good starting points.
We hope this paper will spark greater discussion between businesses, researchers, politicians, officials and other stakeholders as we look towards shaping NZ's trade policy over the next 30 years.