Dean Jacqui: Tariff (New Zealand-Hong Kong China Closer Economic Partnership Agreement) Amendment Bill — First Reading 
Text is incorporated into the Bound Volume 
Dean Jacqui: Tariff (New Zealand-Hong Kong China Closer Economic Partnership Agreement) Amendment Bill — First Reading 
[Sitting date: 22 June 2010. Volume:664;Page:12100. Text is incorporated into the Bound Volume.] 
JACQUI DEAN (National—Waitaki) 
: 
 I rise to speak to the Tariff (New Zealand-Hong Kong China Closer Economic Partnership Agreement) Amendment Bill. I note that Hong Kong is New Zealand’s ninth-largest export destination and that New Zealand’s trade with Hong Kong is currently worth $823 million a year. The first reading of this bill is indeed exciting for New Zealand. 
I want to comment on the contribution of the previous speaker Rahui Katene. I note that nothing in this free-trade agreement supersedes the provisions of the Overseas Investment Office so the issue of the purchase of New Zealand dairy farms by Chinese companies is completely unrelated to the contents of this free-trade agreement. 
New Zealand farmers depend on trade particularly sheep and beef farmers. For example 90 percent of the Alliance Group’s product coming out of freezing works up and down the South Island is exported and a lot of it goes to Hong Kong and China. So this free-trade agreement is pretty crucial to the health of the New Zealand sheep and beef industry—not to neglect our dairy industry as well. 
This free-trade agreement is all about boosting innovation in New Zealand and improving export access to world markets which is one of the Government’s key policy drivers for New Zealand’s export performance. This closer economic partnership is Hong Kong’s first free-trade agreement aside from its closer economic partnership agreement with Mainland China and that is pretty significant. The closer economic partnership also complements New Zealand’s free-trade agreement with China and enhances the potential for Hong Kong to be used as a platform for trade with Mainland China—a point not lost on a speaker from across the House. That makes Hong Kong a strategically important trading partner for New Zealand—as if we did not know that already. This deal will help New Zealand businesses boost trade with Hong Kong and take further advantage of growing opportunities for New Zealand in the region. 
I briefly note that the closer economic partnership will ensure that New Zealand’s existing duty-free access is locked in by binding in place duty-free access for all New Zealand exports. The tariff reductions that New Zealand has provided Hong Kong with are the same tariff reductions in the New Zealand - China free-trade agreement. Tariffs are eliminated on 54 percent of exports upon the agreement’s entry into force and the remaining 46 percent will progressively become duty-free by 2016 which in export terms is not very long in the future. Longer tariff phase-out periods will apply for import-sensitive sectors such as textiles clothing and footwear and also on products such as steel and furniture. It is also worth noting that the closer economic partnership provides for 48-hour customs clearance of New Zealand exports. An easing of those provisions will make trade more possible and more timely with both Hong Kong and Mainland China. 
With those few comments I commend the bill to the House.