Trans-Pacific Partnership (TPP) negotiators for the nine participating countries recently concluded their 13th formal negotiating session in San Diego and reported that significant progress was made on the more than 20 chapters of draft treaty.
Of particular interest to agriculture is the chapter on sanitary and phytosanitary (SPS) provisions. The pending language is intended to significantly strengthen the existing World Trade Organization agreement on SPS measures in areas of science, transparency, regionalization, cooperation and equivalence. The U.S. Grains Council and other agricultural organizations are pressing for strong dispute settlement provisions to permit effective enforcement of the additional commitments. Negotiations to enhance market access through the elimination of tariff and non-tariff barriers will also be a high priority.
Separately, Mexico and Canada have indicated their desire to join the TPP. This requires the consent of the existing TPP participants. The Office of the U.S. Trade Representative has formally notified Congress that it endorse Mexican and Canadian participation, which starts a 90-day period for consultations between the administration and Congress before U.S. consent is formalized. On the current schedule, Canada and Mexico will first join a formal round of negotiations in December, when the 15th round of talks is expected to begin. The Council will provide formal comments in support of inclusion for both countries.
In addition, Japan continues to weigh whether it wants to join the negotiations. Inclusion of Japan, along with Canada and Mexico, would increase the share of world trade affected by TPP from 5 percent to nearly 40 percent, according to the Congressional Research Service Report issued in May. The Council has supported the inclusion of Japan in the TPP agreement and will preview a study on the impacts of their participation during a panel discussion at the 52nd Annual Board of Delegates Meeting in Vancouver, Wash., July 30-August 1.
The Council partnered with the American Soybean Association for a study on the impacts of the agreement on U.S. trade with Japan. John Ward, founder of Promar Consulting, who conducted the study will share the study results with meeting participants. Also participating in the panel is Professor Seiji Mitsuishi from the Department of Food Business Management at Miyagi University, Japan. Mitsuishi served as chief feed grain trader for the first 10 years of his career with Japan’s National Federation of Agricultural Cooperative Associations (Zen-Noh) and will present the Japanese perspective of the TPP.
The final panelist will be Steve Wirsching, director of the U.S. Wheat Associates. Wirsching has served U.S. wheat producers over the past 18 years in various positions within U.S. Wheat Associates. He will be speaking on U.S. wheat farmers’ perception of the TPP and how it will impact U.S. exports and trade.
“The TPP is designed to set the standard for future free trade pacts and will attract additional countries of signing onto an already completed deal,” said Dr. Wendell Shauman, USGC chairman. “The ultimate goal of the TPP has always been to eventually create a free trade agreement for the entire Asia-Pacific region.”
The next formal round of TPP negotiations is scheduled for mid-September. The objective is to complete the negotiations by the end of the year, though it has been acknowledged that a final agreement could be delayed to early 2013.
For more information about the Council’s annual meeting, click here.