The Winemakers’ Federation of Australia (WFA) has welcomed news the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP) would be signed in Chile this March.
WFA Chief Executive Tony Battaglene congratulated the Federal Government for maintaining strong leadership in its resolve to sign the deal, with 11 nations agreeing following two days of high-level talks in Tokyo this week.
Minister for Agriculture and Water Resources, David Littleproud, said the historic 11-nation deal will lock in greater trade access for Australians to markets worth almost $14 trillion combined.
The CPTPP will be the world’s largest ever regional trade agreement and it includes three of Australia’s top 10 agricultural trade markets: Japan, Vietnam and New Zealand.
“It will address tariffs as well as non-tariff trade barriers across a range of key and emerging export markets for wine which will be welcomed by winemakers across the country”
“The slashing of Japanese tariffs on beef and wine affects exports worth more than $100 million, which were not covered by our bilateral deal with Japan,” Littleproud said.
“We have already secured Free Trade Agreements (FTAs) with China, Korea, Japan and Peru and we continue to work hard to secure new agreements.
“Since January 2016, Australian farmers have gained access to 64 key global markets and improved market access in another 57 countries.”
Battaglene said the agreement will provide real benefits to the Australian wine sector.
“It will address tariffs as well as non-tariff trade barriers across a range of key and emerging export markets for wine which will be welcomed by winemakers across the country.”
“Our understanding is that the new CPTPP’s tariff schedule will echo the earlier TPP draft and represents a leap forward for strong export growth and trade liberalisation,” he said.
“Also of great importance to us is the inclusion of the wine and spirit annex which creates a harmonisation framework that will remove a range of wine technical barriers to trade.
Under the CPTPP, the Australian wine industry expects to see elimination of the following wine tariffs in:
- Mexico (between 3 to 10 years)
- Canada (upon entry into force)
- Peru (within 5 years)
- Malaysia (within 15 years)
- Vietnam (within 11 years).
Battaglene said the CPTPP was a separate matter to Australia launching a dispute settlement action against Canada through the World Trade Organisation to resolve in-country treatment of Australian wine imports.
“The WTO challenge that Australia has launched will not be affected by the signing of the CPTPP, as provincial issues of concern are not covered by the agreement.”
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The 11 CPTPP countries are: Australia, New Zealand, Canada, Mexico, Chile, Peru, Japan, Singapore, Malaysia, Brunei Darussalam and Vietnam.