TPP seen as great deal for farmers

Beef and Lamb New Zealand chairman James Parsons was "confident...negotiators have secured the best possible deal for Kiwi sheep and beef farmers". FILE PHOTO

New Zealand's sheep and beef sector is positive about the benefits of TPP to their industry.

Beef and Lamb New Zealand chairman James Parsons said last week he was "confident that New Zealand's negotiators have secured the best possible deal for Kiwi sheep and beef farmers".

According to Beef + Lamb NZ, last year the nation exported more than $2.4 billion of sheep and beef to TPP countries, trade which incurred about $94 million in tariffs, mostly from Japan.

In 2014, Japan took $164 million of beef exports, which incurred $63 million in tariffs.

Under the deal, Japan's beef tariffs are set to drop over time, from potentially as high as 50 per cent to a maximum of 9 per cent.

Beef + Lamb NZ says free trade agreements saved New Zealand $161 million in tariffs on the sheep and beef sector's global exports last year, and the TPP would eliminate sheep and beef tariffs to the United States, Canada, Mexico, Peru and Vietnam.

Meat Industry Action chairman Bill Falconer said the TPP "will also open the door to addressing some complex and costly non-tariff barriers".

Federated Farmers president William Rolleston said the TPP was good for agriculture and New Zealand. "Tariff savings of $259 million per year, including $72 million for meat exports and $102 million for dairy exports, will provide an ongoing boost to farmer's incomes and for the economy as a whole."

Wairarapa's Sarah Crofoot, a meat and fibre adviser with Federated Farmers as well as a recent delegate to a global youth-ag conference, said the TPP was "great for my industry".