New export opportunities targeting beef, dairy, seafood and sheep will help to create more jobs in Gippsland following the signing of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (TPP-11).
The TPP-11 creates Australia’s first free trade agreements with Canada and Mexico, giving local exporters preferential access to two of the world’s top 20 economies.
Federal Member for Gippsland Darren Chester said the agreement would eliminate more than 98 per cent of tariffs in a trade zone worth $13.7 trillion.
“Farmers are the big winners as they will be able to sell more of their goods in a free trade area that spans the Americas and Asia,” Mr Chester said.
“In 2016-17, nearly one quarter of Australia’s total exports, worth nearly $88 billion, went to TPP-11 countries.
“This will continue to grow as tariffs tumble under the TPP-11.”
Highlights of the TPP-11 include:
• new reductions in Japan’s tariffs on beef, (Australian exports worth AUD2 billion in 2016-17);
• new access for dairy products into Japan, Canada and Mexico, including the elimination of a range of cheese tariffs into Japan covering more than AUD100 million of trade;
• elimination of all tariffs on sheepmeat, cotton and wool;
• elimination of tariffs on seafood, horticulture and wine; and
• elimination of all tariffs on industrial products (manufactured goods).
Mr Chester said TPP-11 builds on the recent Peru-Australia Free Trade Agreement and previously delivered free trade agreements with China, Japan and Korea.
“The Turnbull Government is pursuing an ambitious trade agenda and the signing of trade agreements like the TPP-11 will mean more growth and a stronger future for Gippsland.”