Group 1: Australia New Zealand; Group 2: The ASEAN 6 ; Brunei Darussalam, Indonesia, Malaysia, Philippines, Singapore, and Thailand Group 3: Newer ASEAN Member States ; Cambodia, Lao PDR, Myanmar, and Viet Nam
INTERNATI ONAL TRADE P OLI CY EXPORTING VIETNAMESE AGRICULTURAL PRODUCTS TO AUSTRALIA & NEW ZEALAND IN THE CONTEXT OF AANZFTA Presented by: Framework of presentation ASEAN - AUSTRALIA - NEW ZEALAND FREE TRADE AGREMENT THE SITUATION OF VIETNAM'S AGRICULTURAL EXPORT INDUSTRY TO AUSTRALIA AND NEW ZEALAND BEFORE AND AFTER AANZFTA CAME INTO EFFECT OPPORTUNITIES AND CHALLENGES OF VIETNAM'S AGRICULTURAL EXPORT INDUSTRY IN THE CONTEXT AANZFTA ASEAN - AUSTRALIA - NEW ZEALAND FREE TRADE AGREEMENTS Signed in 2009 Australia Officially came into effect in 2010 ASEAN New Zealand TARIFF MEASURES TRADE OF GOODS • Group 1: Australia & New Zealand; • Group 2: The ASEAN ; Brunei Darussalam, Indonesia, Malaysia, Philippines, Singapore, and Thailand • Group 3: Newer ASEAN Member States ; Cambodia, Lao PDR, Myanmar, and Viet Nam Group A more gradual phasing and longer gestation for the elimination of tariffs TARIFF MEASURES COMMITMENT ON TARIFFS • Australia and New Zealand's commitment on tariff for Vietnam Since 2015: Australia eliminate about 97% of tax lines Since 2015: New Zealand eliminate about 91% of tax lines By 2020: Australia and New Zealand eliminate all tariff • Commitment of Vietnam Since 2018: eliminate 86% tax lines By 2020: eliminate 92% of tax lines NON-TARIFF MEASURES Rule of origin Commitment on Services and Investment Customs procedure Sanitary and Phytosanitary Measures Safeguard Measures alia in the per iod 20 1020 22 rea ch es 14 %/ ye ar Overview of Vietnam’s agriculture in the context of AANZFTA Vie tna m is Au str por ts bet we en Vie tna m an d Ne w Ze ala nd in 20 21 rea ch ed ap pro Overview of Vietnam’s agriculture in the context of AANZFTA Vietnamese agricultural export before AANZFTA came into effect 5.27 % 5.5% average HS tariff rate across imports from Vietnam average MFN tariff rate on import from Vietnam top 10 with the highest number of agricultural imports rejected by Australia during 2003 - 2010 > > trade barriers Primary reasons for the rejection of Vietnamese agricultural exports to Australia: • labeling issues (265 times) • contamination (129 times) • residue of veterinary drugs (44 times) • food additives and ingredients (14 times) trade barriers are eliminated AUSTRALIA 90% 2018 >> NEW ZEALAND 100 % 99 % 2020 2020 Vietnam's agricultural export value to Australia (20102015) vegetables fruits coffee and tea Source: Trademap, Unit: thousand USD live trees cereals 150,000 100,000 50,000 201 201 201 201 201 201 Vietnam's agricultural export value to Australia (20162021) vegetables fruits coffee and tea Source: Trademap, Unit: thousand USD live trees cereals 200,000 150,000 100,000 50,000 201 201 201 201 202 202 vegetables fruits coffee and tea Source: Trademap, Unit: thousand USD cocoa cereals Vietnam's agricultural export value to New Zealand (20102015) 25,000 20,000 15,000 10,000 5,000 201 201 201 201 201 201 vegetables fruits coffee and tea Source: Trademap, Unit: thousand USD cocoa cereals Vietnam's agricultural export value to New Zealand (20162021) 30,000 20,000 10,000 201 201 201 201 202 202 exports to Australia during AANZFTA fruits & nuts crustaceans fresh & frozen fish 176 119 79 million AUD million AUD coffee preserved seafood 52 115 million AUD million AUD million AUD mango lychee longan dragon fruit + development in export to New Zealand during AANZFTA 16th largest trade partner of New Zealand bilateral trade value + pomelo + lime besides mango, dragon fruit and rambutan unit: million USD 2009 2020 500 1,000 1,50