New Zealand is pleased to see the significant growth in relations between its companies and Chinese businesses, Trade and Agriculture Minister Todd McClay said in an interview during the 7th China International Import Expo (CIIE) in Shanghai on Wednesday.
The CIIE is the world's first national-level exposition dedicated to imports. This year's expo is scheduled to run from Nov 5 to 10.
Almost 70 New Zealand companies, including Manuka honey exporter Comvita, dairy giant Fonterra, New Zealand's largest red meat exporter Silver Fern Farms and Milk New Zealand Dairy, are participating in the event.
McClay praised the CIIE for providing a platform for New Zealand companies to build ties with Chinese businesses.
"It's a wonderful exhibition, one of the largest in the world when it comes to imports. And we're so pleased we have around 70 New Zealand companies, who have come here, either exhibiting, or they're just part of our business delegation. They're enjoying it. They're forming great relationships with Chinese businesses," he said.
New Zealand is the first developed country to sign a free trade agreement (FTA) with China. The China-New Zealand FTA entered into force in 2008 and was amended in 2022 to align it with the latest trade policies, and business practices in areas of e-commerce, government procurement, environment and trade, and competition.
McClay noted that bilateral complimentary trade has grown exponentially thanks to the FTA.
"Certainly there have been. The FTA is something that we can all be very proud of. It has a rules-based system, clear rules that business can rely upon. And we've seen trade between China and New Zealand grow exponentially as a result. We've gone for about 2 billion New Zealand dollars worth of trade when the FTA was first signed to almost 40 billion New Zealand dollars today, and it's very complimentary. The upgrade also has helped, and it's meant that there is a renewed momentum. So we should keep focusing on those clear rules. All sides should respect them. And it gives certainty to the businesses in China and New Zealand to decide they want to trade more with each other," he said.
Speaking of the performance and future of New Zealand products in the Chinese market, McClay said it's happy to see that Chinese customers have recognized New Zealand agricultural and food products as being high-quality and safe.
"New Zealand food are high in fiber, but our food has the highest quality in the world and it's safe. It has a very good environmental and climate change story behind it. All of the meat and dairy we've produced are grass fed. The animals are outside all year round eating natural grass as it grows. I think Chinese consumers recognize that. We've seen significant growth in the relationship with many of our large companies who produce meat and dairy. But we're pleased in the way the relationship has evolved. Chinese businesses now rely upon New Zealand for their growth and their future, just as the consumers were," he said.
China has been New Zealand's largest trading partner, export destination, and source of imports for many consecutive years. Trade is a crucial pillar of New Zealand's economy, providing one-quarter of the country's jobs.
Themed "New Era, Shared Future," the 7th CIIE has the participation of 77 countries and international organizations in national pavilions, and nearly 3,500 exhibitors from 129 countries and regions in the business exhibition.
The CIIE is held annually at the National Exhibition and Convention Center in Shanghai. Since its first edition in 2018, this expo has become an important stage spotlighting China's new development paradigm, a platform for high-level opening up and a public good for the whole world.
New Zealand pleased to see growing economic ties with China: trade minister
