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If you want to develop your listening skills, try these tasks as you listen to the text. The answers are at the bottom of this page, after the Vocabulary. Thanks to Natasha Groves for preparing the tasks.

If you want to listen and read, just scroll down to the text.

1. Listening for main ideas

First, just listen to the text, taking notes if you wish. What information can you catch during this first listening?

2. Now listen again and answer the following questions:

1. What was recently announced?





2. How should the CPTPP free trade agreement benefit dairy companies in NZ?





3. Why was there a trade dispute between New Zealand and Canada?





4. Note two benefits of the new agreement.





5. What happened in May 2022? And in September 2023?





6. How much in export value will the agreement deliver each year?





7. What happened almost a year ago?





8. Which products exported to the EU from New Zealand are tariff-free?





9. How did a European Parliament spokesperson recently describe free trade agreements?

Text

Recently it was announced that New Zealand and Canada have reached an agreement in a trade dispute that lasted for just over three years.

New Zealand and Canada are both signatories to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) free trade agreement. As part of that agreement, dairy companies in New Zealand have quotas of dairy products that they can send to Canada with fewer tariffs. However, Canada was not filling all the quotas, thereby blocking New Zealand exports and protecting its own dairy industry. It was estimated that New Zealand dairy exporters lost $120 million worth of trade opportunities in three years. In May 2022, New Zealand therefore started dispute settlement proceedings against Canada and won the case in September 2023. However, it has taken until now for Canada to agree to make the changes required.

On 18 July, Trade and Investment Minister Todd McClay announced the agreement between New Zealand and Canada. There will now be faster and more efficient access to quotas for New Zealand dairy exporters, reallocation of underused quotas, and penalties for Canadian importers who misuse quotas. The Minister said that the Government is pleased that this dispute has now been settled and that New Zealand exporters are guaranteed better access to the Canadian market. He says it will deliver up to $157 million per year in export value for these exporters.

In other trade news, it has been just over a year since the free trade agreement between New Zealand and the European Union came into effect, on 1 May 2024. Under this agreement, nearly all of New Zealand’s horticulture products, such as kiwifruit and apples, became tariff-free, as well as wine, seafood, and manufactured products (including plastics and machinery). Access for dairy and meat exports improved, with quota volumes increasing. In the past year, New Zealand goods exports to the EU have increased by 28 percent, or more than $1 billion. For example, exports of sheep meat were up 29 percent, adding $216 million, kiwifruit exports increased by 69 percent, adding $316 million, and machinery (especially agricultural machinery) was up 104 percent, adding $173 million. Although EU imports into New Zealand have not grown yet, it is expected that there will be more opportunities for European businesses to sell products here too. As a European Parliament spokesperson visiting New Zealand said last week, “you summarise free trade agreements with two words: win-win”.

Vocabulary

announce – to officially tell people something, especially a plan or decision

dispute – a serious argument or disagreement

signatory – one of the people, organisations, or countries that signs an official agreement

dairy – relating to milk and milk products

quota – an official limit on the number or amount of something that is allowed in a particular period

tariff – a tax on goods going into or coming out of a country

proceedings – when someone uses a court of law to deal with a legal case

dispute settlement proceedings – using a court of law to try to settle a dispute

horticulture – the practice or science of growing flowers, fruit, and vegetables

win-win – a win-win situation or solution is one in which there is a good result for everyone involved

Note there are four useful prefixes in this story:

trans – between, across, beyond – in Trans-Pacific

re – again – in reallocation

under – less than is correct, needed or desired – in underused

mis – bad or badly, wrong or wrongly – in misused

Answers – you don’t have to write a complete sentence as long as you have the key idea in your answer

a. What was recently announced?

New Zealand and Canada have reached an agreement in a trade dispute

b. How should the CPTPP free trade agreement benefit dairy companies in NZ?

Dairy companies have quotas of dairy products that they can send to Canada with fewer tariffs

c. Why was there a trade dispute between New Zealand and Canada?

Because Canada was not filling all the quotas, thereby blocking New Zealand exports and protecting its own dairy industry

d. Note two benefits of the new agreement.

Faster and more efficient access to quotas for New Zealand dairy exporters; reallocation of underused quotas; penalties for Canadian importers who misuse quotas

e. What happened in May 2022? And in September 2023?

May 2022: New Zealand started dispute settlement proceedings against Canada; September 2023: New Zealand won the case

f. How much in export value will the agreement deliver each year?

up to $157 million

g. What happened almost a year ago?

The free trade agreement between New Zealand and the European Union came into effect

h. Which products exported to the EU from New Zealand are tariff-free?

Nearly all of New Zealand’s horticulture products, such as kiwifruit and apples, plus wine, seafood, and manufactured products (including plastics and machinery)

i. How did a European Parliament spokesperson recently describe free trade agreements?

Win-win.