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Ag groups react to agreement on TPP

 

Trans Pacific Partnership (TPP) negotiators have reached agreement on the 12-nation free trade pact.

Although specific details have not been released, Nick Giordano with the National Pork Producers Council tells Brownfield he’s confident it will be a good deal for pork producers.

“NPPC will be looking the deal over very closely before we determine whether pork producers are going to support it. But we believe it’s going to be a great deal for pork and there’s nothing at this point that gives us any pause,” Giordano says.

AUDIO: Nick Giordano

Kent Bacus with the National Cattlemen’s Beef Association says they’re pleased there is “finally” a TPP deal. Japan is currently the largest export market for U.S. beef but tariffs have been as high as 38 percent.

“Most importantly, the TPP will put U.S. producers on a level playing field with Australian and Canadian producers for those Japanese consumers,” Bacus says.

Bacus says they speculate tariffs with Japan, under TPP, may be as low as nine-percent and much better than what Australia –the leading competitor for the Japanese beef market – has negotiated with Japan.

AUDIO: Kent Bacus

Dairy was one of the final sticking points in the agreement, with considerable back-and-forth between Canada, New Zealand and the U.S. The National Milk Producers Federation and the U.S. Dairy Export Council issued a joint statement this morning saying only that they would “carefully review the agreement’s dairy provisions in the coming days”.

Not everyone is happy with the agreement. The National Farmers Union says it will “vigorously oppose” TPP because it fails to include language against currency manipulation.

Officials promised a comprehensive text of the agreement will be released in the coming days. It still faces what is likely to be a contentious battle for ratification by the U.S. Congress. Lawmakers in other TPP countries must also approve the deal.

Brownfield’s Julie Harker contributed to this story.