Updated
Updated · farmersweekly.co.nz · May 24
DCANZ Flags 3.8% Dairy Coverage Gap in India FTA, Backs Ratification
Updated
Updated · farmersweekly.co.nz · May 24

DCANZ Flags 3.8% Dairy Coverage Gap in India FTA, Backs Ratification

1 articles · Updated · farmersweekly.co.nz · May 24
  • DCANZ told Parliament the India FTA’s dairy side agreement leaves major gaps, with tariff cuts covering only three product categories worth 3.8% of New Zealand’s current global dairy trade.
  • The industry group said the side letter cannot reopen talks on infant formula, casein and high-value whey products, even though India has already cut or removed tariffs on those items for Australia and the UK.
  • It also warned any future renegotiation is triggered only if India signs a full WTO-recognized FTA with a comparable dairy exporter, potentially excluding narrower sectoral or managed-trade deals now favored by the US and others.
  • DCANZ said promised tariff-free access for ingredients re-exported by Indian processors may deliver little unless New Zealand secures simpler rules, because India’s existing import-for-re-export scheme is seen as largely unworkable.
  • Despite calling the dairy outcome disappointing, DCANZ supports ratification on balance and wants the government to use future annual and biennial reviews to press for better access.
Is New Zealand's dairy sector the sacrificial lamb in a trade deal favouring kiwifruit and forestry exporters?
Are promised annual reviews a realistic path to better dairy access or just wishful thinking against India's powerful farm lobby?