APEC NEWS RELEASE: Issued by The APEC Business Advisory Council (ABAC) Ha Long, 29 July 2022 – Asia-Pacific business leaders in the APEC Business...
Once Were Tariffs: NTBs and “Trade Agenda 2030”

The Government’s new trade strategy, “Trade Agenda 2030”, identifies addressing non-tariff barriers as one of the four major planks for New Zealand trade policy efforts in the coming decade. This is welcome: like a giant global game of Whack-a-Mole, non-tariff barriers are increasingly popping up in key markets as tariffs come down. The Government seems determined to rectify this with new resources to assist exporters facing difficulties.
Trade Agenda 2030 (TA2030) was driven by a recognition that the global trade environment has changed (see our blog on ‘A Trade Policy for Our Times’ here). Getting rid of tariffs remains a priority, of course, particularly for some sectors – but trade is not only (and in many cases not really) about tariffs any more: restrictions outside of tariffs are increasingly coming to dictate how well trade can flow.[1] NZIER has estimated that, in the APEC region, the cost for New Zealand exporters to comply with non-tariff measures was $5.9 billion a year.[2]
Non tariff measures may be costly but they are not necessarily bad – it’s when they are more trade restrictive than necessary that they become non tariff barriers. Examples of trade-restrictive non-tariff barriers (NTBs) include opaque or burdensome regulatory requirements; slow, costly or downright mind-numbing administrative processes, or even measures that are not based in relevant science or international norms. NTBs can erode margins and make exporting unpredictable; can reduce competitiveness and obstruct supply, and can be magnified along global value chains, making participation in value-adding less feasible. In short, NTBs risk eroding New Zealand’s economic potential and undermining any other market access improvements that TA2030 might deliver.
NTBs are clearly the new frontier for protectionism, and immediate action is needed both to tackle current NTBs and to put in place frameworks that seek to prevent new NTBs, including via trade agreements. In that connection, the APEC Business Advisory Council (in an initiative launched by ABAC New Zealand) has come up with a set of “cross-cutting principles” to help prevent the creation of new non-tariff barriers – these can be found here.
Business should be a key partner for Government in this area as business is best placed to identify the worst NTBs and to help to develop solutions. We welcome the creation of a one-stop shop for exporters via the Exporter HelpLine on the MFAT website as well as new resources for agencies to tackle NTBs.
Finally, TA2030 talks about non-tariff measures, but NZIBF prefers to draw a distinction between “non-tariff measures” and “non-tariff barriers”. As noted above some NTMs may have legitimate objectives (for example by helping to protect biosecurity or health and safety), but NTBs act as grit in the wheels, and should be addressed. We think that the distinction is a useful one.
This blog was prepared by Associate Director Stephanie Honey.
[1] In recent years the major G20 economies have introduced on average around 20 new non-tariff trade-restrictive measures each month. https://www.wto.org/english/news_e/news16_e/trdev_09nov16_e.htm
[2] http://nzier.org.nz/static/media/filer_public/ac/2d/ac2d99f1-ac0f-4f53-86d3-e1d3d65e096a/wp2016-4_non-tariff_measures_in_apec.pdf
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...