Following five years of negotiations, Ministers of the 12 Trans-Pacific Partnership reached a trade agreement on October 4 that will in part eliminate or significantly reduce tariffs for agriculture products, deter non-science based sanitary and phytosanitary barriers, eliminate export subsidies, support jobs and drive sustainable growth.
The American Feed Industry Association (AFIA) has thanked US Trade Representative Michael Froman for his leadership and dedication throughout the TPP negotiations, a process that took more than half a decade.
\"Trade agreements, which eliminate trade barriers overseas, play a critical role in the future of the feed industry as it opens doors to new markets globally. This is particularly important as the future growth of the US animal agriculture industry depends on international consumers, particularly, the growing population and middle class,\" said AFIA President and CEO Joel G Newman.
\"TPP has the ability to ensure and create US jobs, along with economically stronger rural communities.\"
The TPP is made up of 12 countries: Australia, Canada, Japan, Malaysia, Mexico, Peru, the U.S., Vietnam, Chile, Brunei, Singapore and New Zealand. These countries work together to increase trade, exports and jobs in each represented country.
“TPP brings higher standards to nearly 40% of the global economy,” the Trans-Pacific Partnership Ministers said in a statement. “In addition to liberalizing trade and investment between us, the agreement addresses the challenges our stakeholders face in the 21st century, while taking into account the diversity of our levels of development. We expect this historic agreement to promote economic growth; support higher-paying jobs; enhance innovation,productivity and competitiveness; raise living standards; reduce poverty in our countries; and to promote transparency, good governance and strong labor and environmental protections.”
On agricultural products, the parties will eliminate or reduce tariffs and other restrictive policies, which will increase agricultural trade in the region, and enhance food security. In addition to eliminating or reducing tariffs, TPP parties agree to promote policy reforms, including by eliminating agricultural export subsidies, working together in the World Trade Organization (WTO) to develop disciplines on export state trading enterprises, export credits, and limiting the timeframes allowed for restrictions on food exports so as to provide greater food security in the region. The TPP parties have also agreed to increased transparency and cooperation on certain activities related to agricultural biotechnology.
Agriculture groups, businesses and government officials applauded the agreement, saying it will expand trade of commodities among the TPP countries.
To formalize the outcomes of the agreement, TPP negotiators are preparing a complete text for public release.
