CPTPP ratified and tariff reductions to commence by year’s end
With Australia officially ratifying the Comprehensive and Progressive Trans Pacific Partnership (CPTPP) this week, the way is now clear for first round tariff reductions to be introduced before the end of the year, which is an excellent outcome for the red meat sector, according to the Australian Meat Industry Council (AMIC).
AMIC CEO Patrick Hutchinson says agreements like the CPTPP are crucial to unlocking trade opportunities.
This agreement is one of the biggest multilateral trade deals we’ve ever seen, and will deliver a great deal of opportunity for our members, Mr Hutchinson says.
AMIC congratulates Trade Minister Simon Birmingham and his predecessor Steve Ciobo for their work in getting this agreement over the line. We look forward to seeing the positive results start to flow soon.
The CPTPP is the successor to the Trans-Pacific Partnership, which collapsed following the withdrawal of the US from the program.
The CPTPP will complement other agreements that are already in place with countries including Peru and Japan, as well as creating opportunities with Canada, Mexico and other CPTPP members Brunei, Chile, Malaysia, Singapore and Vietnam.
Tariff reductions can only happen once per year in each country, so by getting on board now Australia has made it possible for the deal to come into full effect within 2018, allowing the first round of cuts to get underway before the new year.
Market access is one of the top four challenges our members face in their businesses, so the ratification of the CPTPP is very good news, Mr Hutchinson says.