Monday, 17 December 2012 10:41

TPP must make 'real progress'

Written by 

A KEY Australian agricultural executive has warned if the Trans Pacific Partnership negotiations get bogged down in complications, they will advise their Government not to bother.

 "We want real progress; if it's moving at a snail's pace, moving at fractions of percentages, then we are not going to be happy," National Federated Farmers of Australia chief executive Matt Linnegar told Rural News. "We will advise our own government to say 'forget about it'.

"But if it is real progress – we understand that might not be 100% across the board but it has to be real progress nonetheless – then it's worthwhile pursuing."

But New Zealand Federated Farmers president Bruce Wills says TPP is worth the effort because it is "such a big prize" if successful.
Both were speaking to Rural News at a KPMG function for agricultural representatives with an interest in the 15th round of the TPP negotiations hosted by New Zealand from December 3-12 in Auckland.

Linnegar said most Australia and New Zealand interests were shared. "We rely on exports heavily – you guys more than us – but nonetheless two-thirds of what we produce is exported, so it's important," said Linnegar.
"But if we have something that becomes another WTO (World Trade Organisation) round, that moves at a snail's pace and we gain very little, we've wasted our time.
"The key thing for us and our New Zealand counterparts is market access and rules of origin that makes sense in that access. If we get those two things, then we are well on the way to getting better results for farmers in both countries."
On the reported position of President Barack Obama wanting TPP completed by the end of 2013, Linnegar says "so we hear". "At this particular round the US appears to be getting a sense of where everyone else is at rather than proffering too much themselves on 'here's where we're going to move'."

His impression of the 15th round is "there hasn't been a lot of movement; some of the right things have been said, but that hasn't necessarily been followed up by action".
However Wills believes the battle will be worth it. "What you learn in this free trade stuff which Australia and New Zealand live and breathe, is it is quite foreign to the rest of the world," said Wills.

"So we've got a real battle. We have found in Auckland in these last few days, it's hard work, tariffs cost us $1.5 billion as a farming community and a country in 2010; that's a big prize.
"So this stuff is hard, it is frustrating, but we've got to keep tracking on. We did that free trade with China and it's been hugely successful."
From a half-day attendance he was frustrated by some of the complications in the 15th round. "It's going to take some time, but from New Zealand's perspective, we have to keep going on this one."

He is encouraged by President Obama giving the date of October 2013 to wind up the agreement.
"But there are plenty of people who are happy to sit in their own environments. They don't want any bar of New Zealand's world competitive farmers having access to their markets. So we've got to be pretty convincing."

TPP involves 11 Asia-Pacific countries: Australia, Brunei Darussalam, Canada, Chile, Malaysia, Mexico, Peru, Singapore, the United States, Viet Nam, and New Zealand. Round 15 saw Canada and Mexico join negotiations for the first time.

More like this

World reopens for NZ asparagus

An asparagus breeder sees scope for the industry making a “tremendous breakthrough” via the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

TPP already paying off

The Trans-Pacific trade deal, CPTPP, has already cut tariffs on New Zealand beef to Japan from 38.5% to 26.6%.

Hero or hypocrite?

Your old mate was interested to see Trade Minister David Parker recently hailing the success of the revamped TPP trade deal.

Benefits coming from revamped TPP deal

NZ exporters are among the first to benefit from the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) which took effect at the beginning of the new year.

Change of tune

The Hound, like most rational people in NZ’s primary and export sectors, was delighted to see the much maligned and denigrated trade agreement of the past few years – the CPTPP, formerly known as the TPP – come into force this month.

Featured

Editorial: War's over

OPINION: In recent years farmers have been crying foul of unworkable and expensive regulations.

NZ-EU FTA enters into force

Trade Minister Todd McClay says Kiwi exporters will be $100 million better off today as the NZ-EU Free Trade Agreement (FTA) comes into force.

National

Council lifeline for A&P Show

Christchurch City Council and the Canterbury Agricultural and Pastoral Association (CAPA) have signed an agreement which will open more of…

Struggling? Give us a call

ASB head of rural banking Aidan Gent is encouraging farmers to speak to their banks when they are struggling.

Machinery & Products

New name, new ideas

KGM New Zealand, is part of the London headquartered Inchcape Group, who increased its NZ presence in August 2023 with…

» Latest Print Issues Online

Milking It

Takeover bid?

OPINION: Canterbury milk processor Synlait is showing no sign of bouncing back from its financial doldrums.

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter