New Zealand Gains Duty Concessions for Apples from India
New Zealand recently made headlines as the first country to receive duty concessions for its apples under a free trade agreement (FTA) with India. Right now, India imposes a hefty 50% import duty on apples, making this news significant for both nations.
Under the new agreement, India will provide duty concessions for apples with specific quotas and a minimum import price (MIP). This measure aims to protect local farmers while allowing some imports.
Currently, India imports around 31,393 tonnes of apples from New Zealand, valued at about USD 32.4 million. This is just a small fraction of India’s total apple imports, which amount to 519,652 tonnes worth USD 424.6 million.
As part of the new deal, New Zealand will receive import duty concessions for 32,500 tonnes of apples in the first year. By the sixth year, this quota is set to rise to 45,000 tonnes, with a lower duty of 25% and a set MIP of USD 1.25 per kilogram. Beyond this limit, the standard 50% duty will apply.
This development is particularly notable because it comes at a time when the United States is also seeking duty concessions for its apples in ongoing trade discussions with India. According to experts, such trade agreements show how countries strategize to enhance their agricultural exports while balancing domestic interests.
The move has sparked discussions on social media, with some farmers expressing concern over the potential impact on local apple prices. Others see it as an opportunity for greater variety in the market, potentially benefiting consumers.
New Zealand’s trade ministry highlighted that this agreement marks a milestone in their trade relationship, not just for apples but also for kiwifruit, which will enjoy tariff-free access under the same agreement.
Overall, this arrangement may signal a broader trend in agricultural trade where countries leverage FTAs to gain competitive advantages. For more detailed insights on global trade agreements and their implications, you can check this report.
As this story unfolds, it will be interesting to see how it affects trade dynamics between India and other countries, and how it reshapes the local apple market.
Source link
DUTY CONCESSIONS FOR APPLES, INDIAN FTA, NEW ZEALAND DUTY CONCESSIONS, NEW ZEALAND FIRST COUNTRY TO GET DUTY CONCESSIONS FOR APPLES IN ANY INDIAN FTA: STATEMENT
