free trade agreement

1° of May 2024 free trade agreement EU and New Zealand will enter into force

Marzo 29, 2024 /

After some negotiations round, 1° of May 2024 free trade agreement EU and New Zealand will enter into force. Mr. Todd McClay (Trade and Agriculture Minister of New Zealand) said: “..I am pleased to announce that today, in a small ceremony at the Beehive, New Zealand notified the European Union of our ratification of the New Zealand European Union Free Trade Agreement (NZ-EUFTA). This enables the agreement to come into force earlier than expected, from 1 May 2024,” .

The European Council in its “Notice concerning the date of entry into force of the Free Trade Agreement between the European Union and New Zealand” on 25.03.2024 declared that “…The Free Trade Agreement between the European Union and New Zealand, signed in Brussels on 9 July 2023, will enter into force on 1 May 2024…”.

In other words, the negotiators agreed and finalized.

Why we are continuing to go deeper this free trade agreement (obviously based on the preferential origin concept, with specific rules of origin and customs formalities)? We think that it is very important to check and monitor all the points related to the sustainable food and sustainable development which are the key factors of the mentioned agreement. In the report “  Reconciling agricultural and sustainability objectives in the EU-New Zealand FTA…” published by  IEEP  it is stated that: “…Chapters 7 and 8 are dedicated to sustainable food systems (SFS) and animal welfare, which are newer additions to the EU’s FTAs. Each Chapter outlines their respective objectives and means for their achievement, primarily through cooperative efforts to contribute to the development of sustainable, inclusive, healthy and resilient food systems, and to promote the development and implementation of animal welfare standards (Blot & Li, 2023). The contents of the SFS Chapter apply to other food systems or sustainability Chapters of the FTA, specifically, the SPS Chapter, the TBT Chapter and the TSD Chapter (European Commission, 2022b). While applying the principles of SFS across these Chapters is positive, there are no explicit binding commitments for Parties to implement measures to further the achievement of more sustainable food systems…”.

The article 7.1 of the free trade agreement, indeed, lays down that the parties will ensure for the transition towards sustainable food systems:

  • Close cooperation;
  • Joint engagement.

Sustainable food system means a food system which ensures access to safe, nutritious and sufficient food all year round in such a way that the economic, social, cultural and environmental bases to generate food security and nutrition for future generations are not compromised.

However, the parties “… recognise that food systems are diverse and context-specific, encompassing a range of actors and their interlinked activities across all areas of the food system, including the production, harvesting, processing, manufacturing, transport, storage, distribution, sale, consumption and disposal of food products…” it is in line with  the FAO (Sustainable food systems. Concept and framework) definition for which “ A sustainable food system (SFS) is a food system that delivers food security and nutrition for all in such a way that the economic, social and environmental bases to generate food security and nutrition for future generations are not compromised. This means that: – It is profitable throughout (economic sustainability); – It has broad-based benefits for society (social sustainability); and – It has a positive or neutral impact on the natural environment (environmental sustainability)…”

The sustainable food security framework is based on the following principles:

  • food production methods and practices which aim to improve sustainability, including organic farming and regenerative agriculture, amongst others;
  • the efficient use of natural resources and agricultural inputs, including reducing the use and
  • risk of chemical pesticides and fertilisers, where appropriate;
  • the environmental and climate impacts of food production, including on agricultural;
  • greenhouse gas emissions, carbon sinks and biodiversity loss;
  • contingency plans to ensure the security and resilience of food supply chains and trade in times of international crisis;
  • sustainable food processing, transport, wholesale, retail and food services;
  • healthy, sustainable and nutritious diets;
  • the carbon footprint of consumption;
  • food loss and waste, in line with the United Nations Sustainable Development Goals, must be reduced in the perspective of decrease of the adverse environmental effects of policies and measures linked to the food system;
  • indigenous knowledge, participation and leadership in food systems, in line with the Parties’ respective circumstances.

From the European perspective, the proposal for a legislative framework for sustainable food systems (FSFS) is one of the flagship initiatives of the Farm to Fork Strategy. At this regard, it is interesting to take into consideration the concept letter “CONCEPTS FOR A SUSTAINABLE EU FOOD SYSTEM Reflections from a participatory process” where it is stated that “…The EU is one of the main importers and exporters of food and feed globally and strives to maintain lobal markets open. This close integration with the global food system is reflected in the EU’s ambition to support the ‘global transition to sustainable agri-food systems’, clearly spelled out in the Farm to Fork Strategy. Apart from ensuring food security in the long term, contributing to the protection of global public goods (e.g.rainforests) and addressing the negative social and environmental effects of EU food consumption outside the EU, taking such a global outlook is also necessary to understand the role of EU food system actors…”.

Finally, as already indicated in other pieces of news the mentioned guidelines, at their turn, are linked to the followings agreements: Agenda 21; Rio Declaration on Environment and Development; the Plan of Implementation of the World Summit on Sustainable Development of 2002; the ILO Declaration on Social Justice for a Fair Globalization, adopted at Geneva on 10 June 2008 by the International Labour Conference at its 97th Session (hereinafter referred to as the “ILO Declaration on Social Justice for a Fair Globalization”); the Outcome document of the United Nations Conference on Sustainable Development entitled “The Future We Want” endorsed by United Nations General Assembly Resolution A/RES/66/288, adopted on 27 July 2012; the United Nations Agenda “Transforming our world: the 2030 Agenda for Sustainable Development”, adopted on 25 September 2015 by United Nations General Assembly Resolution A/RES/70/1 (“2030 Agenda for Sustainable Development”) and its Sustainable Development Goals.

In other words, it seems that this agreement will boost the environmental compliance of the European Union with the European sustainability regulations. Maybe, it is possible to confirm that the free trade agreement can give a contribution for the promotion of the business relationships with a green and sustainable perspective.