Opposition as New Zealand Joins the World’s Largest Free Trade Agreement

By RNZ

A lobby group concerned about a major trade deal New Zealand signed tonight says the Covid-19 pandemic provides a strong reason why such deals should be abandoned.

Fifteen countries in the Asia-Pacific region have signed the Regional Comprehensive Economic Partnership (RCEP) agreement.

It is the largest free trade agreement in the world, has been in the works for eight years and was finalized today through a virtual summit organized in Hanoi, Vietnam.

The agreement covers Japan, China, South Korea, the 10 members of the Association of Southeast Asian Nations (ASEAN), Australia and New Zealand, creating a free trade area, which covers almost a third of commercial and economic production. world.

The leaders of the 15 countries watched by video how the ministers signed the agreement: from Auckland, Trade Minister Damien O’Connor signed for New Zealand.

Speaking later, he told reporters that he would bring security and certainty to exporters.

One of the goals in the coming years is to progressively reduce rates in many areas.

The pact will enter into force once enough participating countries ratify the agreement at the national level within the next two years.

India, a major powerhouse, withdrew last year, claiming its major concerns about agriculture and domestic industry were not being addressed.

Business analyst Stephen Jacobi said the absence of India is disappointing for all participating nations and for India itself.

The Ministry of Foreign Affairs and Trade said RCEP remains a potential game changer for trade in the Asia-Pacific region.

Group says treaty won’t help New Zealand

But It’s Our Future’s Edward Miller fears New Zealanders won’t benefit.

“We are seeing that a big secret agreement is being negotiated in which we do not know what the risks are and, based on the economic model that we have seen, there are very little economic benefits to be obtained.

“So we don’t know why the government keeps making secret deals that go against our national interests.”

Miller said there was no effective public consultation on the deal, some parts of which attack New Zealand’s national interests.

“The economic crisis that has emerged as a result of Covid is the largest economic event we have had in New Zealand history.

“We need to preserve a political space that is capable of ensuring that we have a recovery that suits our people, our planet, our workers’ rights, etc. We cannot guarantee that under RCEP.”

Miller said It’s Our Future would continue to pressure the government to withdraw from international trade agreements.