'No clarity' in NZ-India trade

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New Zealand and India have made «some progress» towards a free trade agreement, but negotiations are «not in the space we want to be», Trade Minister Tim Groser says.

Groser spoke in Auckland today at an event marking the 25th anniversary of the India New Zealand Business Council.

The potential benefits of a trade agreement with India would be of the same magnitude as New Zealand’s FTA with China or even greater, he said.

New Zealand trade officials had had «friendly conversations» with the new Indian government since Prime Minister Narendra Modi’s landslide election win in May, Groser said.

The discussions had covered the long-running talks over an FTA between the two countries, but Groser said he was «not expecting clarity soon».

Fonterra director John Monaghan said the dairy giant had been a long-term supporter of an FTA with India as it would benefit the dairy industries in both countries.

India was the world’s largest milk producer, accounting for 130 million tons a year, or 17 per cent of world production, Monaghan said.

New Zealand by comparison, produced 20 millions of milk or less than 3 per cent of world production.

But India’s demand for milk was growing every 10 months by more than New Zealand’s demand was projected to grow in 10 years. By 2030 India would have the largest and youngest population in the world, Monaghan said.

Fonterra could help India meet its future demand for milk both by exports from New Zealand and helping local industries to grow, he said.

When Fonterra collaborated with dairy farms in Sri Lanka, production had increased by 42 per cent and average incomes rose by 50 per cent in the first year, Monaghan said.

«We would envisage a similar approach in India,» he said.

India’s high commissioner to New Zealand, Ravi Thapar, said India would be interested in a deeper economic co-operation with New Zealand, of which trade was just one aspect.

India wanted more «exposure» to technology developed by New Zealand’s «smart companies» such as Fisher & Paykel Healthcare, Pacific Aerospace, Tait Communications and Xero, Thapar said.

While many New Zealand companies found it hard to scale internationally, Indian partners could help to promote them in India and in the wider region, he said.

«We have the right numbers, we have the population.»

India was not concerned about losing market share in the dairy and fruit industries as New Zealand’s exports were «not going to cause a dent in the market» and «competition would be desirable.»

Source: Stuff

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Así lo expresó Domingo Possetto, secretario de la seccional Rafaela, quien además, afirmó que a los productores «habitualmente los ignoran los gobiernos». Además, reconoció la labor de los empresarios de las firmas locales y aseguró que están «esperanzados» con la negociación entre SanCor y Adecoagro.

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