The Trans-Pacific Partnership (TPP) is set to open new doors for Australian business with 40 percent of our global trading partners.
Business and industry groups have welcomed the recent signing of the trade agreement, which will “level the playing field for business, workers and farmers.”
The Business Council of Australia says the TPP is “the first concrete step towards realising the long-term vision of a Free Trade Area of the Asia-Pacific.”
“It brings close to half of global trade and around 70 per cent of Australia's trade under one trade agreement,” said Business Council Chief Executive Jennifer Westacott.
“The TPP levels the playing field for business, workers and farmers, which means more jobs, higher wages, stronger growth, a higher standard of living and new economic opportunities for Australia.”
Ms Westacott said the TPP addresses a wide range of complex trade policy issues that go beyond the scope of bilateral free trade agreements.
“The agreement will reduce tariffs and restrictiveness of non-tariff measures as well as harmonize a range of regulations to encourage the integration of supply chains and cross-border investment,” she said.
“Against the background of slowing trade growth, rising non-tariff impediments to trade, and insufficient progress in global negotiations, the ratification of the TPP represents an important milestone for Australia and the Asia-Pacific region.
“Seen in the context of the cumulative impact of three ambitious bilateral free trade agreements these deals open the door for Australia to the geographical epicentre of global growth.”
Australian Industry Group Chief Executive Innes Willox said the signing of the TPP is a welcome milestone in the implementation of the agreement.
“The real benefits of this agreement lie in the impetus it gives our trading partners to undertake the sort of structural reforms that Australia has in the main already undergone,” Mr Willox said.
“The TPP will provide Australian companies with a guaranteed set of rules in which to operate throughout the region and protect Australian interests.
“This demonstrates the true value of multilateral agreements over bilateral agreements.”
Both key groups representing business and industry are looking forward to a “speedy ratification” to deliver commercial opportunities for Australia.