Doing Business with New Zealand

A comprehensive guide to doing business, exporting, investing, and manufacturing in New Zealand.

Foreign Direct Investment with the International Trade Council / Company Incorporation / Company Formation

New Zealand Trade & Enterprise

New Zealand Trade & Enterprise logo with silver fern - International Trade

Tel: +64 800 555 888
Email: [email protected]
Web: www.nzte.govt.nz

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New Zealand Customs Service

New Zealand Customs Service logo with tagline "Te Mana Ārai o Aotearoa - International Trade

Tel: +64 9 886 4651
Email: [email protected]
Web: www.customs.govt.nz

National Chamber of Commerce

Auckland Business Chamber

Auckland Business Chamber logo - International Trade

Tel: +64 800 543 543
Email: [email protected]
Web: www.aucklandchamber.co.nz

Ministry of Economy Information from the International Trade Council - a Peak-body - international chamber of commerce

Ministry of Business, Innovation and Employment

New Zealand business meeting: people collaborating around a table - International Trade

Tel: +64 4 901 1499
Email:
[email protected]
Web: www.govt.nz

  • Type of Government: Parliamentary Democracy and Constitutional Monarchy
  • Population: Approximately 5 million
  • GDP: Around $250 billion USD
  • Corporate Tax Rate: 28%
  • Personal Income Tax Rate: Up to 39%
  • Major Exports: Dairy products, meat, wood, fruit, seafood
  • Major Imports: Machinery, vehicles, electronics, petroleum, plastics

 

Exporting to New Zealand involves several steps. Here’s a comprehensive guide:

1. Research Market Requirements

  • Understand New Zealand’s import regulations, standards, and market demand for your product.

2 Identify Local Partners

  • Establish relationships with local distributors or agents to facilitate market entry.

3. Prepare Export Documentation

  • Include commercial invoices, packing lists, and certificates of origin. Ensure compliance with New Zealand regulations.

4. Arrange Logistics and Shipping

  • Choose a reliable shipping company. Ensure correct completion of shipping documents, such as bills of lading.

5. Customs Declaration

  • Work with a customs broker to facilitate the clearance process.
  • Submit all required documentation to New Zealand Customs Service.

6. Understand Duties and Taxes

  • Familiarize yourself with any applicable import duties and taxes in New Zealand.

7. Distribution and Sales

  • Establish distribution channels within New Zealand.
  • Consider partnerships with local businesses for effective market penetration.

Key Contacts

Importing goods into New Zealand involves several steps. Here’s a comprehensive guide:

1. Register as an Importer

  • Ensure your business is registered with the New Zealand Companies Office.

2. Obtain a Client Code

  • Apply for a client code from the New Zealand Customs Service, which is necessary for import declarations.

3. Classify Your Goods

  • Determine the correct Harmonized System (HS) code for your products to identify applicable duties and taxes.

4. Arrange Shipping and Logistics

  • Choose a reliable freight forwarder.
  • Ensure all shipping documents are in order, including the bill of lading and commercial invoice.

5. Customs Declaration

  • Submit an import entry to New Zealand Customs Service through a customs broker.

6. Pay Duties and Taxes

  • Calculate and pay applicable import duties and GST through the customs system.

7. Biosecurity Clearance

  • Obtain clearance from the Ministry for Primary Industries (MPI) if your goods are subject to biosecurity controls.

8. Receive Your Goods

  • Arrange for the transportation of goods from the port to your warehouse or distribution center.

Key Contacts

Incorporating a company in New Zealand involves several steps. Here’s a comprehensive guide:

1. Choose a Company Name

  • Check the availability of your desired company name using the Companies Office Register.

2. Reserve Your Company Name

  • Reserve the name online through the Companies Office website.

3. Prepare Incorporation Documents

  • Gather necessary details, including director and shareholder information and company constitution (optional).

4. Register Your Company

  • Complete the incorporation application on the Companies Office website.
  • Submit required documents and pay the registration fee.

5. Obtain an IRD Number

  • Register your company with Inland Revenue to obtain a tax number.

6. Register for GST (if applicable)

  • If your turnover exceeds NZD 60,000, register for Goods and Services Tax (GST).

7. Open a Business Bank Account

  • Open a corporate bank account in the company’s name.

8. Costs

  • Name Reservation Fee: Approximately NZD 10
  • Company Registration Fee: Approximately NZD 115

Key Contacts

Setting up a manufacturing plant in New Zealand involves several steps. Here’s a comprehensive guide:

1. Conduct Market Research

  • Analyze domestic and international demand for your product.

  • Evaluate local industry clusters, supply chain opportunities, and competition.

  • Consider incentives offered in different regions.

2. Choose a Suitable Location

  • Assess infrastructure, transport links, and availability of skilled labor.

  • Popular industrial hubs include Auckland, Hamilton, Christchurch, and Tauranga.

  • Check zoning regulations and regional development plans.

3. Incorporate Your Company

  • Register your business with the New Zealand Companies Office.

  • Choose a legal structure (e.g., limited liability company, partnership, branch office).

4. Obtain Necessary Permits and Licenses

  • Apply for building and resource consents from local councils.

  • Check environmental and health & safety compliance requirements.

  • Engage with WorkSafe New Zealand for workplace safety approvals.

5. Secure Financing

  • Seek funding through local banks, government grants, or private investors.

  • Explore support from Callaghan Innovation for R&D and manufacturing-related grants.

6. Design and Construct the Facility

  • Engage local architects, engineers, and contractors.

  • Ensure compliance with the New Zealand Building Code.

  • Plan for sustainability and energy efficiency.

7. Install Equipment and Machinery

  • Purchase or import necessary machinery.

  • Ensure all equipment meets New Zealand safety standards.

  • Get certifications where applicable.

8. Hire and Train Workforce

  • Recruit skilled labor from local talent pools.

  • Consider training support from New Zealand Trade and Enterprise (NZTE) or industry training organizations.

  • Ensure compliance with labor laws and employment standards.

9. Set Up Supply Chain and Distribution

  • Identify reliable local and international suppliers.

  • Establish logistics and distribution networks.

  • Evaluate transport options including ports, rail, and road.

10. Begin Operations

  • Commence production while monitoring KPIs and quality assurance.

  • Continually assess operational efficiency and regulatory compliance.

Key Contacts

Registering a trademark in New Zealand involves several steps. Here’s a comprehensive guide:

1. Conduct a Trademark Search

  • Search the New Zealand Intellectual Property Office (IPONZ) database to ensure your trademark is unique and not already registered or under application.

  • Consider professional assistance for a more thorough clearance search.

2. Prepare Your Application

  • Gather key details including:

    • The trademark (word, logo, or combination)

    • The goods and/or services it will apply to, using the Nice Classification system

    • Owner/applicant information

3. Submit the Application

  • File your application online via the IPONZ website.

  • You can apply as an individual or a company.

  • Ensure all details are accurate to avoid delays.

4. Pay the Application Fee

  • Application fee starts at NZD $100 per class (as of current rates).

  • Fees are non-refundable and depend on the number of classes you select.

5. Examination Process

  • IPONZ examines your application for compliance and possible conflicts with existing trademarks.

  • You may be asked to respond to objections or make clarifications.

6. Publication and Opposition

  • If the application passes examination, it is published in the IPONZ Journal.

  • A 3-month opposition period allows third parties to contest your trademark.

7. Registration and Certification

  • If no opposition is filed (or an opposition is unsuccessful), your trademark is registered.

  • You will receive a Certificate of Registration from IPONZ.

8. Maintain and Renew the Trademark

  • Trademarks in New Zealand are valid for 10 years from the date of application.

  • They can be renewed indefinitely every 10 years by paying a renewal fee.

Related Costs

  • Application Fee: NZD $100+ per class

  • Renewal Fee: NZD $350 per class (subject to change; check IPONZ website)

Key Contacts

Resolving commercial disputes in the New Zealand involves several steps. Here’s a guide on the process:

1. Attempt Negotiation

  • Begin by attempting to resolve the issue directly with the other party through informal discussions.

  • Negotiation can often prevent escalation and preserve business relationships.

2. Mediation

  • If negotiation fails, consider mediation, a voluntary and confidential process where an independent mediator facilitates dialogue.

  • Mediation is commonly used in New Zealand and supported by the courts.

  • Agreements reached through mediation are not binding unless formalized in a contract.

3. Arbitration

  • Parties can agree to arbitration for a private, legally binding decision.

  • The process is faster and more flexible than court litigation.

  • Arbitration in New Zealand is governed by the Arbitration Act 1996.

4. Seek Legal Advice

  • Consult a lawyer specializing in commercial or civil litigation for strategic guidance.

  • Legal counsel can assess the strength of your case and recommend the best resolution pathway.

5. File a Lawsuit

  • If alternative dispute resolution fails, you may file a claim in the appropriate court:

    • Disputes Tribunal (for small claims up to NZD $30,000)

    • District Court (claims up to NZD $350,000)

    • High Court (claims over NZD $350,000 or involving complex issues)

6. Court Proceedings

  • Follow procedural rules for filing, disclosure, hearings, and judgment.

  • The process can involve pre-trial conferences, case management, and trial hearings.

7. Judgment and Enforcement

  • Once a decision is issued, the court may assist with enforcement actions (e.g., asset seizure or payment orders).

  • Foreign judgments can also be recognized and enforced in New Zealand under certain conditions.

Related Costs

  • Mediation and Arbitration Fees: Vary by provider and complexity.

  • Court Filing Fees: Range from NZD $90 (Disputes Tribunal) to higher fees in District or High Court.

  • Legal Fees: Depend on the firm and case complexity; hourly or fixed rates may apply.

Key Contacts

When considering doing business in New Zealand, various social, cultural, political, and economic factors must be taken into account.

Social and Cultural Factors

  • Language: English is the official language and is used in all business and legal settings.

  • Business Etiquette:

    • Kiwis value honesty, humility, and straightforward communication.

    • Punctuality and reliability are important.

    • Relationship-building and mutual respect are key to long-term partnerships.

Political Factors

  • Government Structure: Parliamentary Democracy and Constitutional Monarchy.

  • Stability: New Zealand has a transparent, stable, and corruption-free political environment that supports business development and foreign investment.

Economic Factors

  • Economic Stability: A modern, export-driven economy with strong sectors in agriculture, technology, renewable energy, and tourism.

  • Infrastructure: Well-developed transport, logistics, and digital infrastructure facilitate domestic and international business operations.

Foreign Exchange

  • Currency: New Zealand Dollar (NZD).

  • Exchange Rate: Generally stable, but subject to international market trends. Businesses should hedge or monitor fluctuations for large transactions.

Rule of Law

  • Legal Framework: Strong and transparent legal system with clear regulatory requirements and contract enforcement mechanisms.

  • Judiciary: Independent and efficient judiciary supports commercial certainty and investment protection.

Business Environment

  • Workforce: Highly educated, English-speaking workforce with strong technical and professional skills.

  • Taxation:

    • Competitive and straightforward tax system.

    • Corporate tax rate of 28%; no capital gains tax in most situations.

    • Various R&D and innovation incentives are available.

Key Resources

Our Members Include Leading Organizations in New Zealand

Ask our Experts on Doing Business in/with New Zealand

If you’re looking to do business or invest in New Zealand, we can provide expert guidance, market insights, and valuable connections to help you navigate the local landscape. Contact us today to discover how we can assist in making your venture a success.