TPP good news for orchardists

Tim Jones.
Tim Jones.
A trade deal which will make New Zealand summerfruit more competitively priced for Japanese and Vietnamese consumers is good news for Central Otago orchardists, growers say.

Horticulture New Zealand yesterday welcomed the news of the Trans Pacific Partnership (TPP) being signed.

It meant New Zealand horticulture was given a ''big push in the right direction for market access in 11 countries'', most notably Japan, Horticulture NZ president Julian Raine said.

''The most critical result in the deal for New Zealand horticulture exporters is the reduction of tariffs to Japan,'' he said.

Japan was the third-largest market for this country's horticulture industry and the removal of tariffs would benefit New Zealand producers by about $28 million a year.

Trade Minister Tim Groser said tariffs on New Zealand products including fruit, vegetables and wine to TPP countries would be eliminated..

The Summerfruit New Zealand (Summerfruit NZ) website said Vietnam, a signatory to the TPP, was the market with the most potential for New Zealand cherries.

Export volumes to Vietnam had been increasing rapidly and removal of the 15% tariff which now existed would be welcomed.

During the 2014-15 season, 224,091kg of New Zealand cherries were exported to Vietnam, compared with 65,351kg the previous year.

Summerfruit NZ vice-chairman Tim Jones, of Cromwell, said the removal of tariffs would make this country's cherries more competitively priced for the Japanese market.

News of the TPP was positive and followed Taiwan removing tariffs on New Zealand cherries.

The Taiwanese market took up to 50% of this country's export cherries, Mr Jones said.

The Japanese market was not as big but had the potential to grow once the tariff was lifted.

Summerfruit NZ chairman Gary Bennetts, of Roxburgh, said any removal of tariffs was good news and something growers could capitalise on.

Central Otago Winegrowers Association president James Dicey said the US, also a signatory to the TPP, was a major market for this country's wine producers.

It had overtaken Australia to become New Zealand wine's largest export market by value.

Central Otago pinot noir would benefit from the flow-on effect of the TPP, he said.

''It's insanely fantastic, fantabulous news for our wine industry.''

lynda.van.kempen@odt.co.nz

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