APEC NEWS RELEASE: Issued by The APEC Business Advisory Council (ABAC) Ha Long, 29 July 2022 – Asia-Pacific business leaders in the APEC Business...
An Open Letter to Trade Minister O’Connor

22 November 2021
Hon Damien O’Connor
Minister of Trade and Export Growth
WELLINGTON
Dear Minister
As you and your colleagues prepare to gather in Geneva, we write this open letter to express the strong support of the New Zealand business community for ambitious outcomes at the Twelfth World Trade Organization (WTO) Ministerial Conference (“MC12”).
The WTO has been the foundation for decades of dynamic economic growth in New Zealand’s Asia-Pacific neighbourhood and around the world. For businesses, WTO rules, commitments and mechanisms have created new opportunities by reducing tariffs and non-tariff barriers; enhancing transparency and predictability; creating a more level playing field; and laying the foundation for innovative business models and more and better jobs and higher living standards for all our people and their communities.
The world currently faces an array of daunting challenges, including most immediately the health and economic impacts of the COVID-19 pandemic, along with divergent economic growth, rising protectionism and inequality, climate change, food insecurity and digital disruption. We believe that the WTO can and should play a key role in addressing all of these challenges. Trade should not be seen as part of the problem – but instead as key to finding smart solutions.
In addition, twenty years after the launch of the Doha Development Agenda, as a matter of basic credibility, the WTO membership must tackle the unfinished business from the Doha Round, in particular on fish subsidies and agriculture domestic support. In both cases, substantive outcomes will be a win-win, serving to advance not only trade reform, but also food security, economic development and environmental sustainability.
Specifically on agriculture, New Zealand producers have benefited significantly from the liberalisation process that was begun in the Uruguay Round. However, those outcomes were only a first step in reform. Significant work remains to be done to achieve the “fair and market-oriented global agricultural trading system” that was envisaged in the Uruguay Round and affirmed as our collective vision at the launch of the Doha Round. Analysis by the Cairns Group shows that, left unchecked, trade- and production-distorting domestic agricultural support entitlements will reach USD$2 trillion by 2030. Such subsidies are inequitable, distort markets, discourage innovation, and lead to environmental harm. There is a compelling case for meaningful disciplines, including a reduction by at least half of all such entitlements, to be agreed at MC12.
In order to make progress across these complex issues, we recognise that WTO members themselves must engage constructively and collaboratively. In particular we call on WTO members to agree:
- a package of strong and effective responses to the pandemic: these could include measures to ensure that supply chains continue to function smoothly, to achieve the elimination of tariff and non-tariff barriers to trade in essential medical supplies, services and food, and to support the increased production and equitable distribution of vaccines, including through the removal of export restrictions on vaccines and their inputs. In addition, pragmatic solutions need to be found to address the proposed TRIPs waiver for vaccines, while respecting core intellectual property disciplines
- to resolve urgently the current impasse over the appointment of Appellate Body members; and agree reforms to the dispute settlement system, such as those developed in the consultative process led by the New Zealand Ambassador in 2019
- to complete the unfinished business from the Doha Development Agenda including on fish subsidies and agriculture domestic support, as noted above
- to make permanent the moratorium on Customs duties on electronic transmissions in order to support the ongoing development of the digital economy
- to affirm the valuable work underway in smaller groupings, including the Joint Statement Initiatives on e-commerce, domestic regulation of services and investment facilitation; and
- to support other initiatives on both sustainability and inclusion, including liberalisation of environmental goods and services, fossil fuel subsidy elimination and the Trade and Environmental Sustainability Structured Discussion as well as seeking to create a more enabling environment for small businesses and women in trade.
We believe that, going forward, greater engagement by the international business community, including NZIBF, the APEC Business Advisory Council (ABAC) and other overseas partners, will contribute significantly to the transparency and the relevance of the WTO system.
The international community must take this chance, at this critical time, to make the decisions that will reinforce the contribution of the multilateral trading system to global prosperity, sustainability and inclusion. For too long, members have neglected the WTO: we must again find the energy to make it the vital organisation it needs to be. We stand ready and eager to support this process and wish you every success for the Ministerial Conference.
Yours sincerely,
Philip Gregan
Chair
REGISTER WITH TRADE WORKS
Register to stay up to date with latest news, as well as saving and discussing articles you’re interested in.
Latest News
Asia-Pacific Business Leaders to APEC Leaders: Speed up economic recovery and regain growth momentum
APEC NEWS RELEASE: Issued by The APEC Business Advisory Council (ABAC) Ha Long, 29 July 2022 – Asia-Pacific business leaders in the APEC Business Advisory Council (ABAC), meeting this week in Ha Long, Viet Nam, expressed deep concern about the unprecedented crises...
TradeWindow: Digital trade provides hope through challenging times
It won’t come as a surprise to many people to hear that we remain in a very challenging situation when it comes to global business. Our exporters are operating in an environment that is difficult to navigate due to continuing uncertainties – the seemingly endless...
TRADE AND CLIMATE POLICIES NEED TO WORK TOGETHER – BUSINESS FORUM
A new report, commissioned by the NZ International Business Forum (NZIBF) and prepared by Adrian Macey, former Climate Change Ambassador and World Trade Organization (WTO) Lead Negotiator, shows that trade policy and actions to address climate change can be...
Trade and Climate Change: State of Play
TRADE AND CLIMATE CHANGE: STATE OF PLAY. A discussion paper prepared for the NZIBF by Adrian Macey, June 2022. Download here.
THE NZ/EU FTA IS LIKE THE CURATE’S EGG
In which we like the good parts of the NZ EU FTA…. Who remembers the curate’s egg? It’s when the nervous Curate, asked by the Bishop, if everything is ok with his boiled egg, replies “It’s good in parts, my Lord”. So too the recently concluded NZ/EU FTA, which has...
ADDRESS TO THE FONTERRA ALUMNI GOVERNANCE DEVELOPMENT WORKSHOP
ADDRESS TO THE FONTERRA ALUMNI GOVERNANCE DEVELOPMENT WORKSHOP AUCKLAND, 29 JUNE 2022 STEPHEN JACOBI EXECUTIVE DIRECTOR NZ INTERNATIONAL BUSINESS FORUM THE GLOBAL GOVERNANCE CHALLENGE Thanks to my friend Janine Smith for inviting me to speak to you today....
NZ EU FTA – A MIXED BAG, SAYS BUSINESS FORUM
Reacting to the overnight conclusion of negotiations for a free trade agreement between New Zealand and the European Union, the NZ International Business Forum (NZIBF), which brings together a cross section of major exporters, said the outcome was mixed in terms of...
NZ EU FTA COMING DOWN TO THE WIRE – HOLD THE LINE, SAYS BUSINESS FORUM
As negotiations accelerate to conclude an ambitious free trade agreement between New Zealand and the European Union, the NZ International Business Forum (NZIBF), representing a cross section of major exporters, urges the Government and its negotiators to hold out for...
WTO BACK IN BUSINESS – INTERNATIONAL BUSINESS FORUM
Media release, 19 June 2022 The NZ International Business Forum (NZIBF) welcomes the outcome of the World Trade Organization (WTO) 12th Ministerial Council meeting in Geneva and congratulates Trade Minister O’Connor and officials. “It’s great to see the WTO back in...
Address to the 50th One Stop Update for the Accountant in Business
ADDRESS TO THE 50TH ONE STOP UPDATE FOR THE ACCOUNTANT IN BUSINESS CHRISTCHURCH, WELLINGTON, AUCKLAND, MAY 2022 STEPHEN JACOBI EXECUTIVE DIRECTOR NZ INTERNATIONAL BUSINESS FORUM ONE STOP GLOBAL ECONOMIC UPDATE Thanks to Brightstar for once again inviting me to...
Remarks by Rachel Taulelei to APEC Ministers Responsible for Trade, 21 May 2022
ABAC NEW ZEALAND REMARKS TO ABAC-MINISTERS RESPONSIBLE FOR TRADE DIALOGUE 21 MAY 2022 RACHEL TAULELEI ABAC NZ Chair, Ministers The Free Trade Area of the Asia Pacific (FTAAP) remains the preeminent economic priority for the Asia-Pacific business community. It...
Deepening ECONOMIC INTEGRATION and EQUIPPING BUSINESS FOR DYNAMIC, INCLUSIVE and SUSTAINABLE GROWTH ARE KEY to ECONOMIC RECOVERY, say business leaders
Vancouver, 28 April 2022 –Asia-Pacific business leaders in the APEC Business Advisory Council (ABAC), meeting this week in Vancouver, affirmed their determination to continue to work closely together to respond to the challenge of sustaining the region’s growth...
FROM APEC AND CPTPP TO IPEF – SMALL STEP OR GIANT LEAP?
The US idea of an Indo Pacific Framework (IPEF) continues to gain traction but is not without complication. Aotearoa-New Zealand is a great joiner - from the very beginning of the United Nations to the important economic institutions like the WTO, APEC, CPTPP and...
Remarks to Foreign Affairs, Defence and Trade Committee
NZ INTERNATIONAL BUSINESS FORUM REMARKS TO THE FOREIGN AFFAIRS, DEFENCE AND TRADE COMMITTEE INTERNATIONAL TREATY EXAMINATION OF THE NZ/UK FREE TRADE AGREEMENT 17 MARCH 2022 STEPHEN JACOBI EXECUTIVE DIRECTOR Madam Chair, Members of the Committee Thank you for the...
Submission to the Parliamentary Foreign Affairs, Defence and Trade Committee
INTERNATIONAL TREATY EXAMINATION OF THENEW ZEALAND UNITED KINGDOM FREE TRADE AGREEMENT MARCH 2022 Introduction and Summary 1. This submission is made on behalf of the New Zealand International Business Forum (NZIBF) whose members are listed at Annex A 1 . NZIBF is a...