Australia and New Zealand Trade Deals

Debate between Greg Hands and Paul Beresford

Monday 14th November 2022 Commons Chamber

[Greg Hands]

The right hon. Gentleman makes a strong point. We are all in favour of competition, and of consumers being able to make their choice, but I would add that meat exports from Australia and New Zealand are much more likely to go to the far eastern markets. A big percentage of the exports from Australia and New Zealand currently go to those far eastern markets that, frankly, we would like to access by joining the CPTPP trade agreement. We want to have a piece of that action. He is right that it is more likely that exports from Australia and New Zealand will displace those from the EU, giving choice to consumers.

These are more than just deals with like-minded and long-standing partners; they are part of the UK’s new strategic approach.

[Sir Paul Beresford (Mole Valley) (Con)]

Before we entered the common market, the Australia-New Zealand agricultural juggernaut centred on this country for its trade. As my right hon. Friend said, that trade is now going to 100 or more countries, so it has spread. Our farmers survived and did not complain before the common market, and that will continue.

[Greg Hands]

My hon. Friend is an expert on the connections between the United Kingdom and the continent of Australasia. He makes a good point about restoring trading connections that existed prior to this country’s membership of the European Union. We should treat these two trade deals as an opportunity not a threat, which is a point he makes well.

These deals are a key part of our Indo-Pacific tilt. The Indo-Pacific region matters to the UK, as it is critical to our economy, our security and our global ambition to support open societies. Rapid economic growth in the Indo-Pacific region is shifting the world’s centre of economic gravity eastwards. In the first two decades of this century, the Indo-Pacific region accounted for 50% of global economic growth in real terms; by 2050 that is expected to be 56%. The Indo-Pacific is home to half the world’s people, and there are significant economic opportunities for the UK in trading with the region. These deals are just the start.

These two agreements are a significant step towards our accession to the CPTPP, membership of which will further open up 11 Pacific markets across four continents worth £9 trillion of GDP in 2021. Joining the CPTPP will put the UK at the heart of a dynamic group of growing nations. We negotiate deals that are tailored to the UK’s strengths, such as our world-class service industries that employ 82% of our workforce and account for 80% of our economy. These deals will unlock new markets, create jobs and drive the growth that the UK, like many other countries, needs right now. They will provide real outcomes for real businesses.