NZ clinches China free-trade deal

New Zealand has become the first developed nation to sign a free-trade agreement with China.

Analysts say the agreement will give New Zealand improved access to one of the world's fastest-growing economies.

Trade between the two countries is currently worth about $6.1bn (£3bn) each year, with exports from China making up about 75% of that total.

Tariffs on New Zealand's exports - which include dairy products and lamb - will be reduced or abolished.

New Zealand's Prime Minister Helen Clark said that the agreement, reached after three years of talks, was a "very significant achievement".

"It opens up new opportunities for businesses looking to engage with, or grow their existing links with, China," she said

Chinese Premier Wen Jiabao said the deal would "bring our friendly relationship even closer and deliver tangible benefits to both our countries".

The visit of Ms Clark to Beijing is among the first by Western leaders since last month's outbreak of anti-government rioting in Tibet.

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