15 Aug 2012

NZ to negotiate world deal on government procurement

10:37 pm on 15 August 2012

The Government is to negotiate to join a world agreement on government procurement which would open up overseas contracts to New Zealand businesses.

Trade Minister Tim Groser announced the decision to negotiate to join the World Trade Organisation's government procurement agreement as part of a range of measures aimed at increasing the country's exports.

Mr Groser says the negotiations will probably take at least two years and the market in government procurement is worth $1.8 trillion.

He says under the agreement government contracts here would also have to be open to overseas firms, but New Zealand already has few restrictions.