THE ANNOUNCEMENT late last year of New Zealand successfully securing a Free Trade Agreement (FTA) with the United Kingdom marked a historic turning point for economic growth and relations in both countries.
With the removal of tariffs alone, New Zealand exporters are expected to save over NZD 37 million per year. Importers are also set to take full advantage. New Zealand is a key leisure marine market with some of the highest boat ownership per capita globally. Princess Yachts successfully lobbied the UK Department of International Trade. As a result, the FTA includes the removal of the 5% tariff (import duty) on UK-manufactured boats and ships imported into NZ.
Princess Yachts chief marketing officer Kiran Haslam has plans to double their unit sales in the New Zealand market thanks to the removal of the tariff. This increase in sales is estimated to create 32 new jobs directly and 140 more in the wider economy.
Scott Williamson of Princess Yachts New Zealand and Fiji said “We’re now on a level playing field with some competitors and have a new competitive advantage over others.”
The FTA is set to be ratified by both countries in 2022 and the Princess Yachts order book is filled through to late-2023.
