NZ-EU FTA could spell opportunity for NZ beef exporters
EU deforestation law could complicate exports
12 November 2024
1 minute read
By: New Zealand's free trade agreement with the European Union (NZ-EU FTA) entered into force on May 1, 2024. For beef products, this would start with a duty-free quota of 12,000 MT CWE on entry, growing to 38,820 MT CWE in equal annual instalments, according to a recent US Department of Agriculture (USDA) Global Agricultural Information Network (GAIN) report.
Recent focus by industry has been directed at beef and veal exports to the EU, which face a significant challenge with the introduction of the European Union Deforestation-free Supply Chain Regulations (EUDR), which was supposed to start on 31 December 2024. These regulations will apply to beef and leather products, requiring exporters to the EU to demonstrate that their products are sourced from deforestation-free supply chains.
New Zealand exporters must provide evidence that products from cattle are not linked to land deforested after 2020, spanning the entire lifespan of the animals. Although the EUDR aims to target at-risk exporting countries where deforestation occurs to expand cattle grazing, New Zealand faces a different issue, namely afforestation rather than deforestation. Nonetheless, the broad scope of the EUDR regulations impacts New Zealand exporters.
New Zealand imports a relatively small amount of beef, almost entirely from Australia. FAS/Wellington forecasts 2025 imports at 12,000 MT CWE, the same as 2024 volumes.
