TRADE Minister Steve Ciobo says the newly re-struck Trans Pacific Partnership deal gives Australian beef a “substantial advantage” over major export rivals the US, into the key Japanese market.
Mr Ciobo was broadcasting benefits derived from the new Comprehensive and Progressive Agreement for Trans Pacific Partnership (CPTPP) that’s set to be signed in March by the 11 remaining countries, minus the US, before requiring individual ratification to come into force.
“This is a good deal,” he told media.
“It’s going to mean, let’s give you one example, Australia has new beef access with more rapid reductions in tariffs into Japan, that’s going to put the Australian beef industry at a substantial advantage over for example, the United States’ beef industry.
“(That’s) great news for Australia.
“We’ve got new sugar and wheat quotas into a number of different countries and as I said, brand new agreements with Mexico and Canada as a consequence of this deal.”
Mr Ciobo said the new deal provided a competitive advantage to Australian beef producers with respect to the Japan market, at the expense of US beef producers, who “will continue to have higher tariffs than we face”.
“Each country has a legislative process or process they've got to work through, the same way that we do, in their respective parliaments, or respective governments, so that process needs to take effect,” he said.
“But obviously we want this to happen as soon as it can because all 11 economies are going to be better off, as a consequence.”
Agriculture and Water Resources Minister David Littleproud said Australian beef, sheep, wool, wine and horticulture growers would benefit from a mix of lower tariffs and improved market access after the CPTPP deal was struck in Tokyo.
Mr Littleproud said the historic 11-nation deal would lock in greater trade access for Australian farmers to markets worth almost $14 trillion combined.
“The proposed abolition of Japan’s tariffs on our cheeses, wine, sheep meat, horticulture, cotton, wool, and seafood is all great news for our farmers,” he said.
“Reductions in Japan’s tariffs on our beef and new quotas for wheat, sugar and rice to Japan, as well as sugar into Japan, Canada and Mexico, are also great news.
“New trade access to Canada and Mexico is really exciting.
“Aussie farmers want more buyers competing for their product, and we’re delivering that by opening new markets and reducing tariffs and trade barriers.
“This leads to better farm gate prices, which is what we all want.”
Mr Littleproud said the CPTPP would be the world’s largest ever regional trade agreement and included three of Australia’s top 10 agricultural trade markets Japan, Vietnam and NZ.
He said the slashing of Japanese tariffs on beef and wine affected exports worth more than $100 million, which weren’t covered by the current bilateral deal with Japan.
The Australian Dairy Industry Council (ADIC) said the CPTPP agreement would deliver an improvement in Australian dairy market access arrangements into Japan, Australia’s largest cheese export market.
The Council said market access provided under CPTPP delivered improvements for dairy in some areas that were notable exclusions under the existing Japan Australia Economic Partnership Agreement and also improvements in market access into other markets including Mexico, Peru and Canada.
“Australian dairy will maintain its competitive position into the CPTPP markets, and will continue to be a key supplier into CPTPP member countries as well as an important player in to dairy supply chains across the region,” it said in a statement.
The Winemakers’ Federation of Australia CEO Tony Battaglene said the CPTPP would address tariffs and non-tariff trade barriers across a range of key and emerging export markets for wine which would be welcomed by Australian winemakers.
“Our understanding is that the new CPTPP’s tariff schedule will echo the earlier TPP draft and represents a leap forward for strong export growth and trade liberalisation,” he said.
“Also of great importance to us is the inclusion of the wine and spirit annex which creates a harmonisation framework that will remove a range of wine technical barriers to trade.”
The story Ciobo: TPP delivers “substantial advantage” for Australian beef first appeared on The Land.