MIA and B+LNZ oppose EU quota proposal

New Zealand’s Meat Industry Association (MIA) and Beef + Lamb New Zealand (B+LNZ) have opposed the European Union (EU) and UK’s proposal to split and share the EU’s World Trade Organisation (WTO) tariff rate quotas, which allow access for the country’s sheepmeat and beef exports.

The draft tariff schedules proposing the split were originally submitted to the WTO.

B+LNZ  is a farmer-owned industry organisation that represents New Zealand’s sheep and beef farmers.

B+LNZ chief executive Sam McIvor said: “Our sector will not accept any proposal that erodes the quality and quantity of our WTO quotas.

“The tariff rate quotas form part of the EU and UK’s WTO commitments and are legally binding rights and obligations.

“We expect both the EU and the UK to honour their legal obligations and commitments.”

McIvor further noted that the sector has remained firm in its position since the Brexit referendum result and that the New Zealand sheep and beef industry is not seeking windfall gains from the Brexit process.

MIA and B+LNZ have already registered their absolute opposition to the EU’s proposal in Brussels, Geneva and London, as well as through a joint written submission to the EU Commission.

The two organisations plan to work together with the government to ensure the sector is not negatively affected by the Brexit process.

MIA chief executive Tim Ritchie said: “Markets are dynamic, domestic production and consumer demand continues to evolve, and it is important for market stability that New Zealand’s sheep meat and beef exporters are able to factor that into their marketing plans.

“The ability to respond to market conditions, and the resulting market stability, is in the interests of both EU and UK producers and consumers.

“New Zealand has operated with this ability since the establishment of the WTO quotas and has proven its credentials as a responsible participant in the EU market.”

Ritchie added that the sector is not in a position to accept the split proposal as New Zealand would lose its ability to adjust the destination of its exports to respond to the market conditions of individual countries within the current EU.