Police cars are seen outside the New Lynn supermarket in Auckland, New Zealand, Sept. 3, 2021. New Zealand Prime Minister Jacinda Ardern confirmed that the violent attack that happened at New Lynn supermarket in Auckland at 2:40 p.m. local time Friday was a "terrorist attack" carried out by an "extremist."Photo:Xinhua

 New Zealand and Britain have agreed in principle the details of a historic Free Trade Agreement (FTA), which will see a boost of almost $720 million to New Zealand GDP and unprecedented access for Kiwi exporters to the British market.

The FTA will also see an elimination of all tariffs by Britain on New Zealand exports, with over 97 percent being removed the day the FTA comes into force, New Zealand Prime Minister Jacinda Ardern told a press conference on Thursday.

As a result, New Zealand exporters will save about $27.23 million per year on tariff elimination alone, statistics show. Elimination of tariffs covers all honey, wine, kiwifruit, onions, a range of dairy and meat products, and most industrial products. The deal will also see significant increases for beef and sheep meat market access, Ardern said, adding Working Holiday arrangements for young people from both countries are to be improved and extended.

New Zealand is the second country to secure a new FTA with Britain post Brexit, Ardern said, adding the FTA will further accelerate New Zealand's COVID-19 economic recovery and substantially cuts costs for exporters and businesses immediately.

She said New Zealand's export beef volumes will increase from 12,000 tons to 60,000 tons, and those of sheep meat will rise from 149,205 tons to over 164,000 tons, with free market access after 15 years - putting more money back into the pockets of Kiwi farmers while presenting them the opportunity for further growth.