Wheat groups urge entry into TPP

TWO AMERICAN wheat associations are encouraging the Philippines, Indonesia, and Japan to enter into a multilateral trade agreement for easier access to markets in the region.

The United States Wheat Associates and the National Association of Wheat Growers reiterated in a letter to the United States Trade Representative (USTR) a previous comment encouraging countries in Asia Pacific to join the Trans-Pacific Partnership (TPP) agreement.

"We support a comprehensive TPP agreement that provides improved market access and includes ambitious language on 21st Century trade issues. We also encourage Japan, the Philippines and Indonesia to join the TPP framework. We believe it is important for Japan to be a member of this agreement," the groups said.

The letter was their response to the USTR’s call for comments on the possible entrance of Japan into the TPP.

The groups said "free and fair trade is essential to US wheat producers as exports account for about half of annual US wheat production."

The groups added that negotiations with Japan must consider not including preferential tariff on sensitive products like wheat.

The TPP is a free trade deal signed by the US, Brunei Darussalam, Chile, New Zealand and Singapore in 2005. Other countries have since joined the agreement, bringing the number of countries involved to 11.

Japan announced on April 12 that it has reached a deal with the US that will pave the way for formal negotiations to join the TPP.

The TPP is designed to ease trade and investment flows among all member countries.

The Trade Department said on April 17 that it is in no hurry to join the TPP as it prefers to reform and improve the country’s business environment first.

June 12, 2013

Source: Bworldonline.com