Singapore, New Zealand sign agreement to keep essential supplies flowing even during crises

Singapore, New Zealand sign agreement to keep essential supplies flowing even during crises


SINGAPORE – Singapore and New Zealand pledged on May 4 to keep essential goods such as food, fuel and other critical supplies flowing, even in times of crisis, through a legally binding agreement.

Both prime ministers witnessed the signing of the pact and also committed to more cooperation in areas such as defence and security as well as healthcare and food supply.

“We will not shut each other out. Instead, we will work actively to keep trade moving,” said Prime Minister Lawrence Wong at a joint press conference with his New Zealand counterpart Christopher Luxon, who is in Singapore on a three-day official visit.

“This is the first agreement of its kind for both our countries – and also globally. It marks another breakthrough, and it sends a very clear signal: Even under strain, trusted partners will keep faith with one another.”

The Agreement on Trade in Essential Supplies applies to trade in food, fuel, healthcare, chemical and construction products during crises and supply chain disruptions. These are areas where both countries will not impose unnecessary export restrictions.

Singapore’s Ministry of Trade and Industry said this is meant to provide businesses and consumers on both sides with greater confidence and stability during supply chain disruptions.

It also establishes a framework for both countries to facilitate the movement of goods, share information and engage in consultations before or during supply chain disruptions, said the ministry.

PM Wong noted that in difficult times, countries will be tempted to look inward. In doing so, supply chains break down – the agreement is both countries’ answer to this, he said.

“It’s a commitment that we will do things differently – that we will keep markets open, keep essential goods flowing, and stand by one another, especially when it matters most,” he said.

New Zealand receives about a third of its fuel needs from Singapore refineries, including diesel, which is critical for freight, farming and food production, while New Zealand provides around 14 per cent of Singapore’s food imports, according to New Zealand’s Ministry of Foreign Affairs and Trade.

Dairy is the Pacific country’s top export to Singapore, at about 31.6 per cent of its total exports, alongside other top food exports including fruits and nuts, fats and oils, as well as meat and edible offal.

Both prime ministers welcomed interest from other countries in setting up similar agreements.

PM Wong said: “It is between us, but it’s not exclusive. It’s not meant to be exclusive.”

He likened it to the Trans-Pacific Strategic Economic Partnership, or P4, an initiative that New Zealand and Singapore pioneered and later brought other countries on to.

“We welcome other countries to join us, and if they are able to meet the same standards, then it will start to expand a network of trusted partners who can provide similar assurances to one another.”

Mr Luxon agreed: “If this is something of value to you and that you can meet the standards and are prepared to… have each other’s backs in the way that we’ve modelled that out, we would welcome that as well.”



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