Economic Analysis Paper to Cut Red Tape in Agricultural Sector Published

The review will address various aspects of the Agricultural Compounds and Veterinary Medicines (ACVM) and Hazardous Substances and New Organisms (HSNO) regulatory systems.

The Ministry for Regulation has published an Economic Analysis Issues paper as part of the ongoing review of agricultural and horticultural products regulations. This analysis is a key component of the feedback process aimed at identifying and eliminating unnecessary red tape, making it easier for New Zealand’s growers and producers to thrive.

“We are eager to hear from all stakeholders, especially those directly involved in agriculture and horticulture, about their experiences with regulatory challenges,” said Mr. Seymour, the Minister for Regulation.

He emphasized the importance of these insights in the Ministry’s efforts to reduce unnecessary bureaucracy and create a more dynamic agricultural sector. The analysis paper delves into a variety of issues, including risk management, market failures, problem definitions, policy options, and cost-benefit considerations.

“These insights are intended to help submitters consider the broader issues impacting access to new products and how they can contribute to improving the regulatory system,” Mr. Seymour explained.

This paper represents a significant step in the Ministry's commitment to streamlining the approval process for new agricultural and horticultural products while maintaining robust safety and environmental protections. The goal is to build a regulatory environment that better serves farmers and growers, boosting their competitiveness and productivity.

“This review is crucial to speeding up the process for getting safe, innovative products into the hands of our farmers and growers, ensuring they can remain competitive in the market,” Mr. Seymour added.

He illustrated the current regulatory challenges by sharing a business owner’s experience, likening the approval process to waiting in a long queue, where all applications – whether for changes or new products – are handled in the same slow line.

The Ministry's engagement hub is open for submissions until 8 September, and stakeholders are encouraged to participate. The Ministry is also actively engaging with importers, manufacturers, and sellers of agricultural and horticultural products, as well as regulators and other relevant groups.

The review will address various aspects of the Agricultural Compounds and Veterinary Medicines (ACVM) and Hazardous Substances and New Organisms (HSNO) regulatory systems. The focus is on simplifying approval processes, reducing regulatory overlap, and ensuring that regulations are both effective and economically justified.