TPP Agreement opens new doors for WA agriculture

Agriculture and Food Minister Ken Baston has welcomed the Australian Government announcement on the landmark the Trans-Pacific Partnership (TPP) agreement as great news for Western Australia’s agriculture sector.

“With about 33 per cent, or $15 billion, of Australia’s agricultural exports going to TPP countries in 2014, this regional trade agreement could open up new export opportunities for Western Australian farmers,” Mr Baston said. “Apart from reducing tariffs in many of our existing markets, this may open a few more doors in the highly competitive global agrifood market – particularly in the rapidly growing Asia-Pacific region, with its rising middle class.” WA’s agrifood exports in 2014-15 were valued at $7.8 billion.

The Minister said many companies across Australia, and in the other 11 countries covered by the agreement, would already be looking for potential opportunities resulting from this partnership. “Researching new export markets and developing potential business contacts can be time consuming, so it’s important to start looking for new business right now,” he said. “Export markets are vital for our agriculture and food sector, and the State Government is committed to providing market and trade development support for Western Australian agribusiness.”

Mr Baston said the new agreement would eliminate more than 98 per cent of tariffs in the TPP region – which covers about 40 per cent of global GDP – removing import taxes on about $9 billion of Australian trade. Improving on the results from the Japan-Australia Economic Partnership Agreement, the TPP will reduce tariffs on Australian beef to Japan to nine per cent.

The Western Australia Government supports trade opportunities for agrifood businesses through the Department of Agriculture and Food and its overseas network of Trade and Investment Offices. The twelve TPP countries are Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, Peru, New Zealand, Singapore, the United States and Vietnam.