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One of the important roles of New Zealand’s Ambassadors overseas is to look at how to maximise opportunities for New Zealanders doing business in other countries.
In February New Zealand’s four Ambassadors to Latin America (based in Mexico, Brazil, Chile and Argentina) met over four days to discuss ways to maximise business opportunities in the Latin America region.
During the meeting, which is a biennial event held in Wellington and Auckland, the Ambassadors talked with businesses active in Latin America, other government agencies, and academics about New Zealand’s approach to Latin America and opportunities for new investment.
Historically, New Zealand’s commercial relationship with Latin America was based on the export of commodities, in particular dairy products. That remains important but now New Zealand companies are also showing greater interest in investment and services trade opportunities
Today, exports of dairy products to Mexico, Venezuela and Cuba are still significant. In the year to June 2008, Venezuela was New Zealand’s second largest dairy market (worth NZ$619 million) and Mexico was the sixth largest dairy market (worth NZ$497 million).
Further south, in countries such as Chile, Uruguay and Brazil, New Zealand companies have more to gain from becoming players in domestic dairy production, processing and distribution.
In these countries, New Zealand’s expertise in efficient pasture-based dairy farming, combined with lower land and labour costs and stable macro-economic and political environments, has lead to significant New Zealand farming and processing investment.
Similar investments have been made by New Zealand meat processing companies in Brazil, which is a country with enormous potential as a global supplier of beef and food products.
New Zealand companies have also invested outside of agriculture including in the telecommunications sector in Brazil, the geothermal and energy sectors in Chile, and in sustainable waste management in Argentina. Investments in biotech, tourism and real estate have also grown in the region.
People-to-people links between New Zealand and Latin America have also been growing. New Zealand’s education opportunities, and reputation as an innovative country situated in the Asia-Pacific region, has meant many Latin Americans are interested in visiting, learning more about us - and from us.
Working Holiday Scheme visas for young Chileans, Argentineans, Uruguayans, and more recently Mexicans, Brazilians and from July this year, Peruvians, has had a huge influence on flows of young people between Latin America and New Zealand.
New Zealand’s Ambassadors in the region also engage closely with the governments in Mexico, Brazil, Chile and Argentina on international issues of mutual interest, such as World Trade Organisation negotiations, fisheries, climate change and other environment issues, fisheries, Antarctica, disarmament and human rights.
Latin America is New Zealand’s closest neighbour to the East, and thanks to increased air links and flows of business people, scientists, students and tourists, it’s getting that much closer.
New Zealand first opened a Latin American Embassy in Chile in 1972. Today we also have Embassies in Argentina, Brazil, and Mexico.
Six Latin American countries have Embassies in Wellington: Argentina, Brazil, Chile, Cuba, Mexico and Peru.
The Latin America region is an increasingly significant market for New Zealand trade (exports to the region were worth NZ$1.636 billion in the year to June 2008).
Mexico is New Zealand’s sixth largest dairy export market, buying $497 million worth of dairy products and $48 million worth of sheep meat in the year to June 2008.
New Zealand companies have also invested outside of agriculture including in the telecommunications sector in Brazil, the geothermal and energy sectors in Chile, and in sustainable waste management in Argentina. Investments in biotech, tourism and real estate have also grown in the region.
There were 25,628 visitors to New Zealand from Latin America in 2008 (12% average yearly growth in the five years 2004 - 2008). There were also 3,541 students studying in New Zealand from Latin in 2008.
