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From NAFTA to CER: trans-Tasman trade in forest products.
Authors: Wardana, D. WijePublication: New Zealand Journal of Forestry, Volume N.Z.J.For. 1984, Issue N.Z.J.For. 29(2) 1984, pp 201-224, Aug 1984
Publisher: New Zealand Institute of Forestry
Abstract: When the New Zealand and Australia Free Trade Agreement (NAFTA) was signed in 1965 it was hailed as the beginning of a period of vigorous growth of the New Zealand forestry trade.
Fenton who studied the progress of the forest products trade between the two countries at different stages of NAFTA found that these expectations had not been realised.
NAFTA has ended with the signing of the Closer Economic Relations Agreement (CER) which came into effect in 1982 Taking an approach different from Fenton, this paper attempts to assess the impact of NAFTA and prospect under CER.
Forest products trade data confirm Fenton*s view of NAFTA But NAFTA should not be dismissed as a failure for this reason The fact that the free access to a large market provided under the agreement helped the New Zealand industry to emerge from a predominantly domestic industry to a competitive export earner is, perhaps, far more important than the growth of exports to Australia itself.
CER is fundamentally different from NAFTA and arrived at a different stage in the development of the forest industry in the two countries. Properly used, it could be the catalyst for a major export growth in both Australia and New Zealand.