New Zealand and the Republic of Korea have entered into a free trade agreement, which will provide the former's wine producers tariff-free access into South Korean wine industry.
The agreement is expected to boost New Zealand's export goals in one of the key Asian markets.
This follows another major agreement that saw Australia secure tariff-free access to China's agricultural sector.
NZ Winegrowers CEO Philip Gregan said: "Until this deal our competitive position in South Korea has been really handicapped because a number of our competitors have enjoyed tariff free access into the market.
"We saw the negotiations with South Korea as the opportunity to correct this imbalance. Duty free access under the agreement will level the playing field and will be a sign that the Korean market is open for business for New Zealand wine exporters."
Currently, wine exports to South Korea are valued at $2m for the June year end 2014, while total wine exports of New Zealand stands at more than $1.3bn.
Image: Currently, wine exports to South Korea are currently valued $2m for the June year end 2014. Photo: courtesy of Simon Howden / FreeDigitalPhotos.net.
