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Environmental Groups Express Concerns Over Government’s Environmental Policies Within Free Trade Agreement Framework

by Daisy Mae D.
02/16/2024
in Global Trade

A coalition of environmental groups has raised concerns over New Zealand’s adherence to its free trade agreement with the United Kingdom, alleging that recent changes in environmental legislation constitute a breach of the agreement.

The World Wildlife Fund (WWF), Environmental Defence Society (EDS), Greenpeace, Forest and Bird, and Pure Advantage jointly submitted their grievances to officials at the Ministry for Foreign Affairs and Trade, claiming that the government’s recent environmental policy changes amount to a “war on nature” and unfairly favor New Zealand exporters, thus violating the terms of the UK deal.

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The free trade agreement (FTA) includes a robust environmental chapter, which stipulates that signatory countries must refrain from promoting trade by weakening environmental regulations.

Trade Minister Todd McClay responded to the submission, affirming that the ministry will address the concerns raised. However, he vehemently denied the allegations, emphasizing that New Zealand upholds its commitments under trade agreements and that the FTA grants both parties the autonomy to establish their own environmental laws.

Kayla Kingdon-Bebb, CEO of WWF, cautioned that diluting environmental protections could ultimately harm the very industries they aim to support, noting that global consumers increasingly demand sustainably produced goods.

The joint submission by the environmental groups outlined various government actions that they perceive as detrimental to environmental conservation, including the repeal of key environmental legislation and the introduction of policies that compromise nature preservation efforts.

Moreover, the submission criticized plans to expedite development projects with uncertain environmental safeguards, abolish clean energy initiatives and carbon reduction strategies, redirect emissions reduction funding towards tax cuts, and expand ocean exploitation activities.

The coalition argued that these measures serve to unfairly advantage New Zealand exporters at the expense of environmental conservation and climate protection, effectively providing an implicit subsidy to local exports.

While acknowledging criticism of the UK government’s environmental policies domestically, Kingdon-Bebb suggested that the European Union (EU) may exert greater influence in enforcing its FTA, which contains even more stringent climate provisions, upon ratification later this year.

Legal and trade experts have noted the challenges associated with enforcing environmental clauses in trade agreements, particularly in the EU deal, which requires extensive mediation before sanctions can be imposed.

Nevertheless, the Ministry for Foreign Affairs and Trade retains the authority to advise other government entities on compliance with international agreements, underscoring the importance of upholding environmental commitments within the framework of free trade agreements.

Catch the latest in supply chain news on The Supply Chain Report. Visit ADAMftd.com for free international trade tools.

#NewZealandTrade #UKFTA #EnvironmentalConcerns #WWF #Greenpeace #EnvironmentalDefense #ForestAndBird #PureAdvantage #TradePolicy #NatureConservation #SustainableGoods #ClimateProtection #EnvironmentalRegulations #FreeTradeAgreement #EcoAdvocacy

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