Better testing of imports needed - 14 March

Better testing of imports needed - 14 March

Today’s reports of low quality imports of plumbing products into New Zealand highlight a wider issue of lacking or insufficient standards, testing and enforcement of the quality of imported goods, say the New Zealand Manufacturers and Exporters Association (NZMEA).

NZMEA Chief Executive Dieter Adam says, “Free trade agreements are negotiated to create a level playing field between parties in the agreement, and the focus has been largely on access of our goods and services into export markets. This is a noble aim, but we can often ignore the impact of FTAs on our domestic market – with few import duties in place, FTAs increase trade and imports. If imports and domestically produced goods were treated the same way, this would be fine – however, there is increasing evidence that not only can imports undercut locally produced goods in price, they can also be at lower quality and not be compliant with standards or quality and safety expectations.

“Low quality or non-compliant goods are of particular concern in the building industry, with recent examples of plumbing goods as well as steel mesh for reinforced concrete structures.

“Allowing such goods into our domestic market undercuts New Zealand manufacturers who follow correct quality standards but lose out to sub-standard, non-compliant but low cost imports – we need a level playing field.

“Australia has faced similar issues, but has been far more proactive in addressing the issue and ensuring imports meet quality standards. Sub-standard goods are often visibly indistinguishable from their higher-quality alternatives - New Zealand consumers need to be protected by testing and enforcement regimes that ensure quality and safety of goods.

“We are pleased to see MBIE investigate the specific plumbing supplies case, but a wider view is needed. Central government is best placed to set and enforce standards, undertake testing and ensure the compliance of imported products. This needs to happen at the point of entry and considered during FTA negotiations – once goods enter supply and distribution chains enforcement becomes impractical and prohibitively expensive.” said Dieter.

ENDS

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