Chris Callen
Chairman of the Kiwi Chamber |
By Cathy Rose A. Garcia
Staff Reporter
The New Zealand Chamber of Commerce has high hopes for the free trade agreement (FTA), which is currently being negotiated by New Zealand and Korea.
"The Kiwi Chamber eagerly supports the proposed FTA. Opportunity abounds to deepen a great relationship that has been in place for many decades and to improve market access... Any free trade agreement would benefit the consumers ultimately,’’ Chris Callen, chairman of the Kiwi Chamber, told The Korea Times.
The fourth round of FTA negotiations was held in Wellington last month. The New Zealand Ministry of Foreign Affairs and Trade reported substantial progress on chapters on competition and consumer policy, labor and environment.
Korea is New Zealand’s sixth largest export market. In 2008, Korea exported about 1 trillion won ($839 million) of goods, mostly automobiles, home appliances, mobile phones and electronics goods. Korea imports roughly the same amount of value of goods from New Zealand, mostly timber, logs, aluminum, petroleum products and food products.
There are more opportunities for both countries to bring in more of their products, once the tariffs are removed through the FTA.
For example, New Zealand wines are slowly becoming more well known in Korea, but the current level of duties and taxes have significantly inflated prices.
"The taxes are ridiculous, it's 67 percent, plus there’s the VAT and the markups from the distributor and retailer. If you buy a 25,000 won bottle of wine here, it may be sold in shelves in New Zealand for something like 8,000 won... It drives me mad because for your money, you're not getting the best wine. Koreans are not getting access to great wines at the right price and that's suppressing demand and trade,’’ Callen said.
Callen, who is the country manager for DHL Express, noted how the two countries are ideal service partners because of complementary exports ― manufactured goods from Korea and raw materials, food and wine from New Zealand. "Removing the barriers to a broader trade relationship will result in a win-win,’’ he added.
The Kiwi Chamber was formed at the end of 2008, after the Australian New Zealand Chamber of Commerce in Korea (ANZCCK) decided to split up.
"Our job is to maintain the best possible trade relationships between our two countries, Korea and New Zealand... We try to assist New Zealanders who want to do business in Korea, and Koreans wanting to do business in New Zealand,’’ he said.
To differentiate itself from the other chambers, the Kiwi Chamber is trying to create a junior division to attract young New Zealanders, who are currently living and working in Korea.
"We want people whose careers are starting to emerge. We want to provide them with mentorship and advice on career building... They want to build their careers and the chamber can give them networking opportunities,’’ Callen said.
With 132 members, the Kiwi Chamber has organized several events such as a dinner with legendary rugby player John Kirwan. In early July, the chamber will hold a breakfast meeting with New Zealand Prime Minister John Key, during his visit to Korea.
"We’re less than a year and a half old. We’re young but we're pretty vibrant. We think we’ve added a lot of value in New Zealand and Korea relations,’’ Callen said.
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