TPP deal reached.

[freewheat]

Canola crazy, it is all about Quebec. Appease. Always.

[Oliver88]

The government of Canada website shows a summary for agriculture.
Canola, barley, wheat, beef all have large tariffs entering Japan and other TPP countries.

http://www.international.gc.ca/trade-agreements-accords-commerciaux/agr-acc/tpp-ptp/benefits-avantages/sectors-secteurs/01-AgriSector.aspx?lang=eng

Opening markets for agricultural and agri-food products
The Trans-Pacific Partnership is the most comprehensive trade agreement in the world. The TPP will help deepen Canada’s trade ties in the dynamic and fast-growing Asia-Pacific region while strengthening our existing economic partnerships with our partners in the NAFTA and across the Americas. It currently comprises 12 countries (Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States and Vietnam), representing a combined market of nearly 800 million people and a gross domestic product (GDP) of $28.5 trillion. With the TPP, Canada has now concluded free trade agreements with 51 nations, ensuring Canadian businesses have access to over 60 percent of the world’s economy. The TPP and trade agreements with the European Union and South Korea make Canada the only G-7 nation with free trade access to the United States and Americas, Europe, and the Asia-Pacific.

In 2014, Canada’s agriculture and agri-food sector employed close to 2.3 million people and accounted for close to 6.6 percent of Canada’s GDP. Canada is the fifth-largest exporter of agricultural and agri-food products globally.

More than 246,000 Canadians employed in the sector work in the processing end of the industry, turning raw ingredients into processed foods, ready-to-eat meals, beverages, nutritional supplements and a nearly limitless variety of other high-quality products. TPP will open up new markets not only for agricultural commodities. It will also open up new markets for the food processing and beverage industry.

TPP markets
The gains from tariff elimination and improved market access for Canadian agriculture in the TPP are especially significant in the markets of Japan, Malaysia and Vietnam. These are markets where Canada faces high tariffs and no prior preferential access. The average agricultural tariffs that Canada faces in these countries are 17.3 percent in Japan, 17 percent in Vietnam and 10.9 percent in Malaysia.

The TPP Agreement will give Canadian products preferential market access to all TPP countries. It will provide new market access opportunities for Canadian pork, beef, pulses, fruits and vegetables, malt, grains, cereals, animal feeds, maple syrup, wines and spirits, baked goods, processed grain and pulse products, sugar and chocolate confectionery, and processed foods and beverages. It will also ensure that Canadians have a competitive advantage over competitors outside of the TPP, benefitting the entire sector, from producers to processors.

In addition, the TPP provides Canadian producers and processors with new opportunities to expand their sourcing options when exporting to the United States, Mexico, Peru and Chile, with which Canada already has free trade agreements in place. Canada’s participation in the TPP will ensure that Canada remains a supplier of choice with our established NAFTA and FTA partners.

By generating opportunities for Canadian agricultural and agri-food exports, the TPP will protect and create jobs, and enhance economic opportunities and financial security for Canadian businesses, workers and their families in all regions of Canada.

Trade snapshot
From 2012 to 2014, Canada’s agricultural and agri-food exports to TPP countries were worth, on average, $31.2 billion annually. Top exports were canola oil, wheat, live swine, baked goods, beef, and processed potatoes.

Agricultural exports from Canada to TPP countries (2010-2014) (values in millions of Canadian dollars)
*Source : Global Trade Atlas

Text version
TPP Agreement highlights
In Japan, close to 32 percent of tariff lines on agriculture and agri-food products will be duty-free upon entry into force.
A further 9 percent of tariff lines will be provided preferential tariff treatment through permanent quotas and country-specific quotas for Canada. The remaining tariff lines will be provided tariff elimination or reductions over a period of up to 20 years, or reductions of the in-quota or out-of-quota tariff.
Vietnam will eliminate tariffs on close to 31 percent of its tariff lines upon entry into force. A further 67 percent of tariff lines will become duty-free within 15 years, with the remaining being provided preferential treatment through other means (tariff elimination only on in-quota tariff lines).
Malaysia will eliminate tariffs on nearly 92 percent of its tariff lines upon entry into force. A further 7 percent of tariff lines will become duty-free within 15 years, with the remaining being provided preferential treatment through permanent tariff rate quotas.
Australia will eliminate all of its tariffs on agriculture and agri-food products upon entry into force, except for one tariff line which will be eliminated within 4 years.
New Zealand will eliminate tariffs on almost 99% of its agriculture and agri-food tariff lines upon entry into force, with the remaining being eliminated within 5 years.
The TPP Agreement will give Canadian products preferential market access to all TPP countries. It will also ensure that Canadians have a competitive advantage over competitors outside of the TPP, benefitting the entire sector, from producers to processors.
Beef and pork
The TPP Agreement will provide new opportunities for Canadian exports of beef and pork, and will ensure that these products compete on a level playing field with key competitors. The Agreement also provides for a rule of origin for these products that recognises the integrated nature of this industry in the North American economy and will help businesses be able to fully realize the benefits of tariff liberalization.

Trade snapshot - Pork
From 2012 to 2014, Canada exported over $2.6 billion worth of pork and pork products on average per year to TPP markets.

TPP Agreement highlights - Pork
Japan will eliminate the over-gate price tariff of 4.3 percent on fresh/chilled/frozen pork cuts and pork offal within 10 years, and reduce the under-gate price tariff of up to 482 yen/kg to an amount of 50 yen/kg within 10 years.
The over-gate price and below-gate price tariffs will be eliminated within 10 years for preserved and processed pork.
Tariffs of up to 20 percent on pork products, including sausages, in Japan not currently subject to the gate price system will be eliminated within 10 years.
Preferential imports of most pork products into Japan will be covered by 10-year transitional volume-based safeguards;
Tariffs of up to 27 percent in Vietnam on fresh/chilled and frozen pork will be eliminated within nine years.
Tariffs of up to 31 percent on all other pork products, including sausages, in Vietnam will be eliminated within nine years.
Trade snapshot - Beef
From 2012 to 2014, Canada exported over $1.3 billion worth of beef and beef products to TPP markets per year, with 83 percent being exported to the United States, 10 percent to Mexico and 6 percent to Japan.

TPP Agreement highlights - Beef
In Japan, tariffs of 38.5 percent on fresh/chilled and frozen beef, as well as tariffs of 50 percent on certain offal will be reduced to 9 percent within 15 years.
In Japan, tariffs of up to 50 percent on processed beef and most offals will be eliminated within 15 years.
In Vietnam, tariffs of up to 31 percent on fresh/chilled and frozen beef will be eliminated within two years.
In Vietnam, tariffs of up to 34 percent on all other beef products will be eliminated within seven years.
Wheat and barley
The TPP Agreement offers new market access opportunities for Canadian wheat and barley, a mainstay of Canada’s agricultural sector. The TPP will also provide Canadian exporters with a significant advantage vis-à-vis competitors outside of the TPP, such as the European Union, Argentina, and Russia.

Trade snapshot
From 2012 to 2014, Canada’s exports of wheat and barley to the TPP were, on average, $2.8 billion per year.

TPP Agreement highlights - Wheat
In Japan, feed wheat will be duty-free, quota-free upon entry into force.
In Japan, Canada will also have access to a Canada-specific quota for food wheat which starts at 40,000 tonnes and grows to 53,000 tonnes within six years. Mark-ups within this country-specific quota will be reduced by 45 or 50 percent.
In Vietnam, tariffs of up to 5 percent on all wheat will be eliminated upon entry into force.
TPP Agreement highlights – Barley
In Japan, food and feed barley fall under a quota system with mark-ups. Feed barley in Japan will be duty-free, quota-free upon entry into force.
Mark-ups applied to the price of food barley by Japan will be reduced by 45 percentwithin eight years.
Canada will also have access to a TPP-wide quota for food barley which starts at 25,000 tonnes and grows to 65,000 tonnes within eight years.
Canola oil
Trade snapshot
From 2012 to 2014, Canadian exports of canola oil to the TPP countries totaled $1.8 billion annually. Japan is currently one of Canada’s leading markets for exports of canola oil, while Vietnam and Malaysia both represent markets with significant growth potential.

Tariff highlights
In Japan, tariffs on canola oil of up to 13.20 yen/kg will be eliminated within five years.
In Vietnam, tariffs of 5 percent will be eliminated within five years.
Processed food and beverages
Trade snapshot
Transforming agricultural commodities into food and beverages is an important part of Canada’s agricultural and agri-food industry, and a key processing sub-sector. In 2013, the food processing industry contributed approximately $27.7 billion to Canada’s economy.

Canadian processors across the country transform raw ingredients into processed foods, ready-to-eat meals, beverages, nutritional supplements, and other high-quality products that are consumed, sold and enjoyed around the world.

From 2012 to 2014, annual Canadian exports of processed food and non-alcoholic beverages to TPP countries averaged $7.3 billion.

TPP Agreement highlights
Canadian exports of processed food products and non-alcoholic beverages face high tariffs from TPP countries such as Japan and Vietnam.
For example, Vietnamese tariffs for frozen french fries are 24 percent.
The TPP Agreement will eliminate or reduce many of the existing tariffs or create tariff rate quotas on processed foods and non-alcoholic beverages, including maple syrup, baked goods, processed grain and pulse products, and sugar and chocolate confectionery.
Creating new markets for Canadian fruit growers and processors

A family has owned a 25-acre cranberry bog for three generations. The family-run operation primarily sells to the processing market, with a small portion of the crop selling locally as fresh berries. While the majority of product is destined for the U.S. market, as with many industries across the country, cranberry exporters are keen to identify other potential markets to maximize commercial potential–and have been looking to Asia and the Pacific region for opportunities. Under the TPP, Canada’s cranberry industry will benefit from removal of existing tariffs in TPP countries such as Japan, Vietnam, Malaysia, New Zealand and Australia. In Japan, for example, elimination of tariffs of up to 16.8 percent on sweetened dried cranberries could translate into more Canadian exports. Streamlined processes at the border and trade-facilitating rules on non-tariff measures will also help support sales to TPP markets. This family is looking forward to the new opportunities the TPP will bring.

Wines and spirits
The distilled spirits industry has a long history in Canada, and contributes significantly to the nation’s economy. Domestically and internationally, Canada continues to be known for producing Canadian whisky, a distinctive rye-flavoured, high-quality beverage.

For wines, Canada is recognized as a world-leader in the production of icewine. Forty-five per cent of Canada’s wine export revenues come from sales of icewine.

Trade snapshot
On average from 2012-2014, Canadian exports of wines and spirits to the TPP were worth $473.2 million annually.

TPP Agreement highlights
Through tariff elimination, the TPP Agreement will significantly improve market access opportunities for Canada’s wines and spirits sector.

Whisky
In Malaysia, duties of 58 Ringgit/litre will be eliminated within 15 years.
In Vietnam, duties of 55 percent will be eliminated within 12 years.
In Australia, duties of 5 percent will be eliminated upon entry into force.
Wine, Icewine and Sparkling Wine
In Japan, duties of up to 182 yen/litre will be eliminated within seven years.
In Vietnam, duties of up to 59 percent will be eliminated within 11 years.
In Malaysia, duties up to 23 ringgit/litre within 15 years.
In Australia, duties of up to 5 percent will be eliminated immediately upon entry into force.
In New Zealand, duties of up to 5 percent will be eliminated immediately upon entry into force.
Beyond tariffs
Canadian producers and processors of agriculture and agri-food products in all regions of Canada will benefit from provisions that address both tariff and non-tariff barriers, including enhanced regulatory cooperation, provisions to address technical barriers to trade, and streamlined customs administration procedures that will save time and money at the border.

The TPP also contains a strong Sanitary and Phytosanitary (SPS) Chapter, including provisions on regionalization, equivalence, and science and risk analysis, which is important for Canadian agriculture and agri-food exporters. These provisions will help ensure that market access gains are not negatively impacted by unjustified SPS-related restrictions.

The TPP SPS Chapter safeguards the right of each party to take measures necessary to protect human, animal or plant life or health. By doing so, Canada can continue to ensure the safety of our food supply and plant and animal resource base, while facilitating and expanding trade. The Chapter also establishes a mechanism whereby SPS issues can be addressed by experts, resulting in enhanced cooperation and resolution of issues.

Ensuring early and effective cooperation on SPS issues both strengthens the protection of Canadians and helps to avoid unjustified barriers to trade.

The TPP also contains provisions for wine that streamline labelling requirements and help reduce costs for Canadian wine producers. Specifically, the Agreement will protect the definition and traditional production method of authentic icewine (where it is made exclusively from g****s naturally frozen on the vine). This is a significant outcome for Canada given that almost all of Canada’s top icewine markets are members of the TPP.

Protecting and preserving Canada’s supply management system

The Government of Canada announced a series of new programs and initiatives for supply-managed producers and processors to support them throughout the implementation of the Trans-Pacific Partnership (TPP) and the Canada-EU Trade Agreement. Under both agreements, the three pillars of the supply management system will remain protected.

The following programs will be implemented:

The Income Guarantee Program will keep producers whole by providing 100 per cent income protection to producers for a full 10 years from the day TPP comes into force. Income support assistance will continue on a tapered basis for an additional five years, for a total of 15 years. $2.4 billion is available for this program.
The Quota Value Guarantee Program will protect producers against reduction in quota value when the quota is sold following the implementation of TPP. $1.5 billion has been set aside for this demand-driven program, which will be in place for 10 years.
The Government also announced two additional programs:

The $450 million-Processor Modernization Program will provide processors in the supply-managed value chain with support to further advance their competitiveness and growth.
The Market Development Initiative will assist supply-managed groups in promoting and marketing their top-quality products. To support the initiative $15 million in new funding will be added to the AgriMarketing Program.
In addition to the long-term $4.3-billion investment outlined above, the Government will intensify on-going anti-circumvention measures that will enhance our border controls. These measures include requiring certification for spent fowl, preventing importers from circumventing import quotas by adding sauce packets to chicken products, and excluding supply-managed products from the Government of Canada’s Duties Relief Program. Cheese compositional standards, introduced by the Government of Canada in 2008, have been maintained. The Government remains committed to ensuring they are enforced, so the standards we have for Canadian cheese are fully maintained.

The Canadian Dairy Commission and the Farm Products Council of Canada will work with Agriculture and Agri-Food Canada to ensure the Income Guarantee and Quota Value Guarantee programs are delivered to producers in an effective and efficient manner. The Government will continue to work closely with dairy, poultry and egg producers and the entire supply-managed sector to implement these initiatives.

These Cabinet-approved initiatives will support producers and processors throughout the implementation period of TPP and the Canada-EU Trade Agreement.

The TPP will secure new market access opportunities for Canadian dairy, poultry and egg exports. Dairy, poultry and egg producers and processors will benefit over time from increased duty-free access to the United States and all other TPP countries. This will include complete tariff elimination on some specialty cheeses, including several artisanal cheeses, entering the United States.

Despite significant and broad demands from several of our TPP negotiating partners, Canada has offered only limited new access for supply-managed products. This access, which will be granted through quotas phased in over five years, amounts to a small fraction of Canada’s current annual production: 3.25% for dairy (with a significant majority of the additional milk and butter being directed to value-added processing), 2.3% for eggs, 2.1% for chicken, 2% for turkey and 1.5% for broiler hatching eggs.

Finally, Canada has secured provisions on products of modern biotechnology which emphasizes the importance of transparency in each Parties’ science-based approval processes for biotechnology products. The text addresses low-level presence (LLP) in a way that minimizes adverse trade impacts of current regulatory practices. It also includes the establishment of a working group to address issues related to biotechnology. This will benefit Canadian producers and exporters of biotechnology products.

Advantages of the TPP
The TPP Agreement will give Canadian producers, processors and exporters a competitive advantage over agricultural exporters who are not TPP members (such as competitors in the European Union, China, and Thailand, among others) and create a level playing field for Canadian businesses to compete within the TPP.

The TPP Agreement will ensure Canadian businesses’ continued participation in critical North American value chains and generate new opportunities in the dynamic and growing Asia-Pacific region.

Canadian farmers will benefit from the Trans-Pacific Partnership Agreement

Imagine a family farm that has been involved in barley and wheat farming for two generations. They are now looking to diversify and expand their market base. Through the TPP Agreement, this farm will benefit from improved access into dynamic and growing TPP markets. For example, upon entry into force of the Agreement, tariffs will be immediately eliminated on wheat and barley for feeding purposes sold to Japan. The farm will also benefit from rules on sanitary and phytosanitary measures that are science-based, while preserving the safety of food for consumers. The TPP will create new opportunities for this farm, and for agriculture and agri-food workers throughout the country.

[wmoebis]

Harper says tariffs are being reduced or eliminated. Savings will be passed on to consumers.

So if grain has a tariff in export country is removed the price of our grain will not go up, there consumers will get benefit. Or else I bet our grain companies will absorb the benefit. Once again no protection/benefit for our producers.

[Oliver88]

How does the TPP help Saskatchewan?


Advantages of the Trans-Pacific Partnership Agreement for Saskatchewan
The Trans-Pacific Partnership is the most comprehensive trade agreement in the world. The TPP will help deepen Canada’s trade ties in the dynamic and fast-growing Asia-Pacific region while strengthening our existing economic partnerships with our partners in the North America Free Trade Agreement and across the Americas. It currently comprises 12 countries (Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States and Vietnam), representing a combined market of nearly 800 million people and a gross domestic product (GDP) of $28.5 trillion. With the TPP, Canada has now concluded free trade agreements with 51 nations, ensuring Canadian businesses have access to over 60 percent of the world’s economy. The TPP and trade agreements with the European Union and South Korea make Canada the only G-7 nation with free trade access to the United States and the Americas, Europe, and the Asia-Pacific region.

Saskatchewan merchandise exports to TPP countries averaged $23.6 billion annually from 2012 to 2014, despite the presence of many impediments to trade. The TPP will eliminate tariffs on almost all of Saskatchewan’s key exports and provide access to new opportunities in the Asia-Pacific. The TPP also creates strong and enforceable rules that will help Canadians do business in TPP countries – with provisions that will reduce regulatory barriers, increase transparency and reinforce intellectual property rights.

Saskatchewan Exports to TPP Countries (2010-14) (millions of Canadian dollars)
Text Version
Saskatchewan Exports to TPP Countries by Sector (2012-2014) (millions of Canadian dollars)
Text Version
Main advantages for Saskatchewan :

duty-free market access for the majority of industrial goods, including metals and minerals, and agricultural equipment;
duty-free market access for most agricultural and agri-food products, including feed wheat and feed barley,canola seed and oils, dried peas/beans, and dog and cat food, as well as enhanced market access for food wheat, food barley and malt;
duty-free market access for wood and other forestry products, including lumber and oriented strand board;
improved market access commitments for temporary entry of highly-skilled Canadian business persons;
more transparent and predictable access for services suppliers in key sectors, such as construction and research and development services;
predictable, non-discriminatory rules for Canadian investors;
strong provisions on non-tariff measures, backed up by fast and effective dispute settlement provisions.
Examples of Tariffs Applicable to Saskatchewan's Exports
Text Version
Opening new markets for Saskatchewan’s products in the TPP
Industrial goods
Some 45,500 Saskatchewanians work in the industrial goods sector, with the sector accounting for 24.6 percent of Saskatchewan’s GDP in 2014.

Trade snapshot
From 2012 to 2014, Saskatchewan’s exports of industrial goods to TPP countries were worth an annual average of $17.7 billion. The TPP will significantly improve market access opportunities for Saskatchewan’s industrial goods sector, including metals and minerals and industrial machinery.

Tariff elimination will help make Saskatchewan’s exports of industrial products more price-competitive with domestic production in all TPP countries.

Tariff elimination
The majority of Canadian industrial goods exported to TPP countries will be duty-free immediately upon entry into force. With certain exceptions, the TPP will eliminate the majority of remaining tariffs on industrial goods within 10 years. This will create market access opportunities for Saskatchewan’s exporters across a number of industries.

Metals and minerals
Saskatchewan is one of Canada’s leading metal producers. It also has two of the most desired minerals in the world, potash and uranium, and is the world's leading supplier of both commodities, accounting for about 30 percent of global potash production and 18 percent of global uranium production. From 2012 to 2014, Saskatchewan exported an annual average of $16.7 billion worth of metals and minerals to TPP countries. This included petroleum products, potash, as well as metals such as iron and steel and aluminum. The growth in emerging markets, including those in the TPP, means significant potential for strong, long-term demand for minerals and metals produced in Saskatchewan.

Examples of metal and mineral products exported by Saskatchewan to TPP countries that will benefit from tariff elimination include:

Aluminum products:
In Japan, tariffs of up to 7.5 percent will be eliminated upon entry into force;
In Australia, tariffs of up to 5 percent will be eliminated upon entry into force;
In Malaysia, tariffs of up to 30 percent will be eliminated within 10 years;
In Vietnam, tariffs of up to 27 percent will be eliminated within three years.
Iron and steel products:
In Japan, tariffs of up to 6.3 percent will be eliminated within 10 years;
In Malaysia, tariffs up to 25 percent will be eliminated within 10 years;
In Vietnam, tariffs of up to 40 percent will be eliminated within 10 years;
In Australia, tariffs of up to 5 percent will be eliminated within four years.
Petroleum products:
In Japan, tariffs of up to 7.9 percent will be eliminated within 10 years;
In Vietnam, tariffs of up to 30 percent will be eliminated within 10 years.
Agricultural equipment
Saskatchewan is headquarters to several large agricultural equipment manufacturers. From 2012 to 2014, exports of agricultural equipment to TPP countries averaged $405.8 million per year. By eliminating tariffs on key exports, the TPP will create new market access opportunities for this innovative Canadian industry.

Examples of agricultural equipment products that will benefit from tariff elimination include:

Harvesters, mowers and other agricultural equipment:
In Vietnam, tariffs of up to 5 percent will be eliminated within three years;
In Malaysia, tariffs of up to 30 percent will be eliminated within three years;
In Australia, tariffs of up to 5 percent will be eliminated upon entry into force;
In New Zealand, tariffs of up to 5 percent will be eliminated upon entry into force.
Miscellaneous agricultural machinery:
In Vietnam, tariffs of up to 20 percent will be eliminated within three years;
In Australia, tariffs of up to 5 percent will be eliminated upon entry into force.
Beyond tariffs
The TPP includes a chapter on technical barriers to trade (TBT). The provisions build on the World Trade Organization Agreement on Technical Barriers to Trade and the NAFTA, helping to ensure that unnecessary or discriminatory regulatory requirements do not undermine key market access gains negotiated elsewhere in the Agreement.

The TBT Chapter requires that technical regulations not be used as barriers to trade and aims to create a fair, predictable, and open regulatory system that promotes, rather than hinders, the flow of goods. It also includes provisions that will help identify ways to either prevent non-tariff barriers or deal with them when they do arise. In addition, sector-specific outcomes have been negotiated through seven sector annexes, covering cosmetics, medical devices, pharmaceuticals, wines and spirits, information and communications technologies (ICT), proprietary formulas for certain food products and additives, and organics.

In the Regulatory Coherence Chapter, each of the TPP Parties will endeavour to put in place mechanisms to facilitate interagency coordination and review of domestic regulatory measures, prevent conflicting or duplicative regulations, and make recommendations for improvements.

Minimizing technical barriers to trade will help maximize market access for Saskatchewan’s exports.

Small and medium-sized enterprises

Canada’s small and medium-sized enterprises (SMEs) make up the vast majority of Canadian businesses and employ more than 7.5 million Canadians, about 70 percent of the private sector labour force.

For the first time in any Canadian free trade agreement (FTA), the TPP includes a dedicated chapter with specific measures to assist SMEs to help them take full advantage of the opportunities that the Agreement will create. This reflects the Government of Canada’s commitment to significantly increase the number of Canadian SMEs exporting to emerging markets.

Complementing commitments across the Agreement – including on market access, paperwork reduction, Internet access, trade facilitation and express delivery – the TPP SME chapter includes provisions specifically targeted at positioning SMEs for success. In order to ensure SMEs have access to information they need to do business in the TPP markets, Parties will establish user-friendly websites with information on the Agreement text and explanations of key provisions, as well as information on customs procedures, technical standards, foreign investment regulations, business registration procedures, employment regulations and taxation.

The SME chapter also establishes a committee to review how well the TPP is serving SMEs and to consider ways to enhance its benefits. The committee will oversee cooperation and capacity building activities that support SMEs, including through export counseling, assistance and training programs, information sharing and trade finance.

Advantages of the TPP
Canada has obtained a tariff outcome that will help level the playing field with key competitors and provide enhanced market access opportunities in specific areas of interest to Saskatchewan.

Agricultural and agri-food products
Some 47,500 Saskatchewanians work in the agricultural and agri-food sector, with the sector accounting for 7.7 percent of Saskatchewan’s GDP in 2014.

Trade snapshot
Canada is one of the largest agricultural producers and exporters in the world. With almost half of Canada's total agricultural production exported, the potential for growth in the sector lies in its ability to expand into markets abroad. Agricultural exports from Saskatchewan to TPP countries averaged $5.7 billion per year from 2012 to 2014, including canola, wheat, barley and malt. Under the TPP, Saskatchewan will benefit from new market opportunities for its agricultural products.

Tariff elimination
Examples of agricultural products that will receive improved market access include:

Canola seed and canola oil:
In Japan, tariffs of up to 13.20 yen/kg on canola oil will be eliminated within five years;
In Vietnam, tariffs of 5 percent will be eliminated within five years.
Malt:
While malt already enters Japan duty-free under a quota system open to multiple countries, a duty-free Canada-specific quota of 89,000 tonnes for unroasted malt will be available upon entry into force, and will provide greater certainty to Canadian exporters;
In Vietnam, tariffs of 5 percent will be eliminated within three years.
Dried peas:
In Japan, in-quota tariffs of 10 percent will be eliminated upon entry into force, while over-quota tariffs of 354 yen/kg will be eliminated within 10 years;
In Vietnam, tariffs of up to 10 percent will be eliminated within two years.
Dried beans:
In Japan, in-quota tariffs of 10 percent will be eliminated upon entry into force;
In Vietnam, tariffs of 10 percent in Vietnam will be eliminated within two years.
Dog and cat food for retail sale:
In Japan, tariffs of more than 59.50 yen/kg will be eliminated within five years;
In Vietnam, tariffs of 7 percent will be eliminated upon entry into force.
Honey:
In Japan, tariffs of 25.5 percent will be eliminated within seven years;
In Vietnam, tariffs of 10 percent will be eliminated upon entry into force.
New access for Saskatchewan wheat and barley

Saskatchewan is home to the most important grain-producing region in Canada. More than 14 million acres of wheat and barley are in production every year in Saskatchewan, about one-third of the province’s total annual cropped acreage. Saskatchewan also ships, on average, 6.5 percent of the world’s wheat exports and 5.6 percent of barley exports.

From 2012 to 2014, Saskatchewan’s annual exports of wheat and barley to TPP countries were worth, on average, $1.2 billion per year.

Wheat

In Japan, feed wheat will be duty-free, quota-free upon entry into force. Mark-ups on food wheat will be reduced by 45 percent within eight years;
Canada will also have access to a Canada-specific quota for food wheat which starts at 40,000 tonnes and grows to 53,000 tonnes within six years. Mark-ups within this country-specific quota will be reduced by 45 or 50 percent;
In Vietnam, tariffs of up to 5 percent on all wheat will be eliminated upon entry into force.
Barley:

In Japan, food and feed barley fall under a quota system with mark-ups. Feed barley in Japan will be duty-free, quota-free upon entry into force;
Mark-ups applied to the price of food barley by Japan will be reduced by 45 percent within eight years;
Canada will also have access to a TPP-wide quota for food barley which starts at 25,000 tonnes and grows to 65,000 tonnes within eight years.
Protecting and preserving Canada’s supply management system

The Government of Canada announced a series of new programs and initiatives for supply-managed producers and processors to support them throughout the implementation of the Trans-Pacific Partnership (TPP) and the Canada-EU Trade Agreement. Under both agreements, the three pillars of the supply management system will remain protected.

The following programs will be implemented:

The Income Guarantee Program will keep producers whole by providing 100 per cent income protection to producers for a full 10 years from the day TPP comes into force. Income support assistance will continue on a tapered basis for an additional five years, for a total of 15 years. $2.4 billion is available for this program.
The Quota Value Guarantee Program will protect producers against reduction in quota value when the quota is sold following the implementation of TPP. $1.5 billion has been set aside for this demand-driven program, which will be in place for 10 years.
The Government also announced two additional programs:

The $450 million-Processor Modernization Program will provide processors in the supply-managed value chain with support to further advance their competitiveness and growth.
The Market Development Initiative will assist supply-managed groups in promoting and marketing their top-quality products. To support the initiative $15 million in new funding will be added to the AgriMarketing Program.
In addition to the long-term $4.3-billion investment outlined above, the Government will intensify on-going anti-circumvention measures that will enhance our border controls. These measures include requiring certification for spent fowl, preventing importers from circumventing import quotas by adding sauce packets to chicken products, and excluding supply-managed products from the Government of Canada’s Duties Relief Program. Cheese compositional standards, introduced by the Government of Canada in 2008, have been maintained. The Government remains committed to ensuring they are enforced, so the standards we have for Canadian cheese are fully maintained.

The Canadian Dairy Commission and the Farm Products Council of Canada will work with Agriculture and Agri-Food Canada to ensure the Income Guarantee and Quota Value Guarantee programs are delivered to producers in an effective and efficient manner. The Government will continue to work closely with dairy, poultry and egg producers and the entire supply-managed sector to implement these initiatives.

These Cabinet-approved initiatives will support producers and processors throughout the implementation period of TPP and the Canada-EU Trade Agreement.

The TPP will secure new market access opportunities for Canadian dairy, poultry and egg exports. Dairy, poultry and egg producers and processors will benefit over time from increased duty-free access to the United States and all other TPP countries. This will include complete tariff elimination on some specialty cheeses, including several artisanal cheeses, entering the United States.

Despite significant and broad demands from several of our TPP negotiating partners, Canada has offered only limited new access for supply-managed products. This access, which will be granted through quotas phased in over five years, amounts to a small fraction of Canada’s current annual production: 3.25% for dairy (with a significant majority of the additional milk and butter being directed to value-added processing), 2.3% for eggs, 2.1% for chicken, 2% for turkey and 1.5% for broiler hatching eggs.

Beyond tariffs
It is essential for all countries to be able to maintain measures to ensure that food is safe for consumers, and to prevent the spread of pests or diseases in animals and plants. It is also important that these measures not be used to unnecessarily restrict trade or create unfair barriers for exporters.

That is why the TPP includes a chapter on sanitary and phytosanitary (SPS) measures. The provisions build on the World Trade Organization Agreement on the Application of Sanitary and Phytosanitary Measures and will help ensure that TPP market access gains for Canadian agricultural and agri-food and other products are not undermined by unnecessary and unjustified SPS-related trade restrictions. The SPS Chapter also establishes a committee, which will allow experts from TPP Parties to discuss SPS issues, thus facilitating trade and enhancing cooperation.

Protecting the food safety system and the health of Canadians

Protecting the health and safety of Canadians is of the utmost priority for the Government of Canada. All food products imported into Canada must meet robust health and safety regulations to ensure maximum protection for Canadian consumers.

The TPP protects Canada’s right to maintain and implement measures to ensure food safety for consumers as well as to protect animal or plant life or health. Food product imports will only be accepted if they meet Canada’s rigorous health and safety requirements, which have been fully protected.

Advantages of the TPP
Many of the TPP members are net importers of agricultural and agri-food products, while Canada is a significant global supplier of high-quality agricultural products. The TPP will help position Saskatchewan to take advantage of significant market opportunities in established as well as in new and emerging markets.

Wood and other forestry products
Some 2,600 Saskatchewanians work in the wood and forestry sector in 2014.

Trade snapshot
Saskatchewan has a well-established and competitive forest industry, with leading-edge technology. There are ten large forest product manufacturing facilities producing lumber, pulp and panels, and over 100 small forest businesses producing a variety of forest products.

Saskatchewan’s exports of wood and other forestry products to TPP countries averaged $210.7 million per year from 2012 to 2014. Japan applies tariffs of up to 10 percent on wood and other forestry products, Vietnam of up to 31 percent, Malaysia of up to 40 percent, Brunei of up to 20 percent, and Australia and New Zealand of up to 5 percent.

Tariffs for these products will be eliminated under the TPP.

Tariff elimination
Examples of wood and other forestry products exported by Saskatchewan to TPP countries that will benefit from tariff elimination include:

Lumber:
In Japan, tariffs of up to 6 percent will be eliminated within 15 years;
In Australia, tariffs of up to 5 percent will be eliminated upon entry into force;
In Brunei, tariffs of up to 20 percent will be eliminated upon entry into force.
Oriented strand board:
In Japan, tariffs of up to 6 percent will be eliminated within 15 years;
In Malaysia, tariffs of 20 percent will be eliminated upon entry into force;
In Brunei, tariffs of up to 20 percent will be eliminated upon entry into force;
In Australia, tariffs of 5 percent will be eliminated upon entry into force;
In New Zealand, tariffs of 5 percent will be eliminated upon entry into force.
Beyond tariffs
Technical barriers to trade (TBT) are technical regulations that can include various testing and certification requirements. While these measures are usually designed to achieve legitimate policy objectives in a country, they can sometimes restrict trade by being overly burdensome or discriminatory against imported goods. The TPP includes robust TBT provisions that, for example, promote the use of international standards and greater transparency in the development of technical regulations.

Strong and enforceable SPS provisions will also help to ensure that TPP market access gains for wood and other forestry products are not undermined by unnecessary or overly burdensome SPS-related requirements.

Advantages of the TPP
As one of the top exporters of wood and other forestry products worldwide, the TPP will provide Canada with a significant price advantage over key competitors who are not in the TPP.

Opening new markets for Saskatchewan’s services in TPP markets
Trade snapshot
The services sector employs some 392,600 Saskatchewanians, with the sector accounting for 55.4 percent of the province’s total GDP in 2014. Jobs in this sector are traditionally highly-skilled and well-paying.

Enhanced market access commitments
The Agreement will provide Canadian service suppliers with greater predictability, guaranteeing both existing levels of access as well as improvements to existing measures by TPP Parties in the future.

The TPP has secured commitments that go beyond the WTO General Agreement on Trade in Services (GATS) and beyond Canada’s FTA commitments with several of the TPP countries.

Canadian service sector suppliers will benefit from enhanced market access commitments, including for:

construction and/or transport services in markets such as Australia, Vietnam and New Zealand;
research and development in markets such as the United States, Australia, Japan, Chile, Malaysia, New Zealand, Singapore and Vietnam;
computer-related services in Mexico, Chile, Malaysia and the United States;
professional services (e.g. legal, engineering and architectural) in markets such as Mexico, Chile, Singapore and the United States;
mining-related services in Chile, Malaysia, New Zealand and Brunei;
environmental services in markets such as Vietnam and Malaysia;
services incidental to energy distribution in Chile, Malaysia and Singapore.
Temporary entry for business persons
The TPP improves upon commitments for temporary entry of highly-skilled business persons, making it easier for them to temporarily move between Canada and TPP markets. For example, the TPP includes commitments that facilitate the temporary entry of Canadian business visitors, intra-corporate transferees, investors, and highly-skilled professionals and technicians. The TPP also includes commitments for the spouses of some of these Canadian business persons. In addition, the Agreement includes commitments from Australia and Chile to remove existing economic needs tests, resulting in a competitive advantage for Canada over non-TPP markets. Overall, the TPP will contribute to greater certainty and predictability for Saskatchewan companies and business persons.

Telecommunications
Not only is telecommunications a rapidly growing service sector, it is also one of the most important enablers in the modern economy. The TPP includes key obligations on the access to and use of telecommunications services, interconnection of telecommunications networks, independence of the regulatory body, licensing procedures, and resolution of domestic disputes all of which ensure that Canadian service suppliers and consumers will be treated in a fair and objective manner when providing or receiving telecommunications services in TPP markets.

Electronic commerce
In recognition of the growing economic importance of electronic commerce, as well as the transformative nature of the technology that enables it, the TPP expands on commitments made in previous FTAs, including with respect to the cross-border movement of information and the localization of computing facilities. Furthermore, the chapter includes commitments to protect users from the unauthorized disclosure of their personal information, online fraudulent and deceptive commercial practices, and unsolicited commercial electronic messages, or spam. TPP Parties have also agreed not to levy customs duties, fees or other charges on digital products that are transmitted electronically. Businessess from Saskatchewan, including SMEs, will be able to take advantage of the expanding online commercial opportunities.

Advantages of the TPP
The TPP provides Canadian service suppliers with greater predictability and transparency for conducting their business in established and growing TPP services markets.

Canadian gains in the TPP will provide our companies with a competitive advantage in these dynamic and growing markets.

Protecting Canadian culture and public services

As in all of Canada’s international trade agreements, Canada has preserved the right to protect policies and regulatory activities undertaken in the public interest. Nothing in the TPP prevents governments from regulating in the public interest, including with regard to adopting measures to protect or promote culture, delivering public services (like health and education) or providing protections for Aboriginal peoples.

Preserving the flexibility of all levels of government to adopt and maintain policies and programs that support the creation, production and development of Canadian content was a core objective for Canada in the TPP, and we have fully achieved this objective. The TPP reflects and protects Canada’s existing policies for supporting Canadian cultural content.

The TPP is an opportunity to set the future terms of trade across the Asia-Pacific region, and Canada and our allies in TPP share a vital common interest in ensuring the internet remains free and open, and have taken obligations to help ensure that restrictions cannot be imposed on the free flow of information online.

Consistent with the approach taken in our FTA with the European Union, Canada has achieved these objectives through a targeted approach where exceptions for culture are included in specific chapters that could have an impact on our ability to make cultural policies, including:

preamble
services
investment
national treatment and market access for goods
state-owned enterprises
government procurement
Facilitating two-way investment between Saskatchewan and TPP markets
The TPP’s investment rules will provide stability for our investors, encouraging Canadian businesses to invest in new TPP markets and share their expertise in niche sectors, such as asset management and energy finance. Canadian investors in such areas as energy, mining, manufacturing, financial services and professional services will enjoy transparent and predictable access to TPP markets.

Specifically, the TPP includes:

strong rules to ensure that investors from Canada and TPP countries are treated in a fair, equitable, and non-discriminatory manner, while preserving the full rights of governments to legislate and regulate in the public interest;
rules ensuring that Canadian investors can compete on an equal footing with other investors in TPP countries;
access to an investor-state dispute settlement (ISDS) mechanism that is prompt, fair and transparent and is subject to appropriate safeguards.
Supporting Saskatchewan’s strong life sciences cluster

Saskatchewan is home to life sciences companies and research activities renowned for breakthrough discoveries. In the last decade, the number of life sciences companies in Saskatchewan has tripled to 57, and employment in the field has more than doubled. This sector draws on Saskatchewan's demonstrated strengths in agriculture, food science and food processing technologies, pharmacy, medicine, botany and animal sciences.

In addition to eliminating tariffs for products of Canada’s life sciences sector, Canada has secured an Annex on Modern Biotechnology, which emphasizes the importance of transparency in each Party’s science-based approval processes for biotechnology products, addresses low-level presence in a way that minimizes adverse trade impacts of current regulatory practices, and includes a working group to address issues related to biotechnology. This will benefit Canadian producers and exporters of biotechnology products.

[perfecho]

Time will tell...hopefully benefits many as opposed to a few.
Couple of interesting stats I have heard..."last 10 years, 23 trade agreements have been signed and yet total export dollars remain constant"
--"after the deal was signed with Korea, Canadian exports to Korea went down 7%, but imports went up 8%"--"TPP will effect the auto industry, and the auto industry is Canada's largest export"

[TOM4CWB]

The Auto Deal under TPP;

http://www.cbc.ca/news/canada/windsor/trans-pacific-partnership-officials-claim-it-s-a-win-for-auto-sector-1.3256871

"Foreign affairs officials claimed Monday they had "protected the auto sector" in the new deal with 11 other Pacific Rim countries, stipulating 45 per cent of imported vehicles and core parts will originate in a TPP country; and 40 per cent of other auto parts will have to originate in a TPP country.

Under the North American Free Trade Agreement, the rule is that 62.5 per cent of the value of cars and 60 per cent on auto parts imported from a NAFTA country must be made within the NAFTA region.

"Let's be absolutely frank and clear. Canada's automotive sector is an export-based industry," Prime Minister Stephen Harper said in a TPP briefing to reporters in Ottawa. "Our view is the rules that we've achieved mean that our automobile industry is going to have unprecedented access to the global market."

"You're either in or you're out. We chose to be in." Harper said.

Harper said an announcement on further funding for the automotive sector would be coming within the next few days.

Although TPP negotiations were held in secret, publication Inside U.S. Trade reported during the summer that the Japanese wanted a rule that vehicles can be imported tariff-free to North America with just 30 per cent content from the U.S., Canada or Mexico.

Canadian union leaders and auto parts makers were critical of Japan's alleged request.

In September, the Automotive Parts Manufacturers' Association of Canada joined with its Mexican and U.S. counterparts to draft a letter to Trade Minister Ed Fast to urge Canadian officials to reject any deal that would eat into the North American share of parts manufacturing.

"An inadequate content rule for parts will dramatically impact our domestic parts manufacturing industry and the jobs that come with it," the letter said.

TPP called 'reasonable' deal

In a statement issued Monday, the APMA called the TPP "reasonable."

"Canadian negotiators made a significant, material advance on the automotive parts rules of origin from the proposal they rejected in Maui and these new reasonable terms will have varying effects on Canada's automotive parts manufacturing." the statement read, in part. "On one hand, prospects to supply vehicle assembly in foreign markets will open for large Canadian suppliers with multinational footprints and access to mobile capital.

"On the other hand, small and medium sized suppliers to Canada's vehicle assembly supply chain will face new competitive pressure from large, multinational firms from TPP countries and further abroad."

Speaking to those criticisms of lower parts quotas, Harper said it was critical for Canada to be part of the deal.

"I believe that this sector has a bright future under this deal. It's a good deal for the sector," Harper said. "Being left out of this deal would have been devastating for the auto sector."

Eighty-five percent of what Canada's auto sector produces is exported, according to the federal government.

"Canada's strong TPP autos outcome provides access to important new markets that Canada does not currently have free trade agreements with – including Japan, the world's third-largest economy – and protects and strengthens the integrated North American auto industry as a key competitive advantage," Foreign Affairs, Trade and Development says on its website."

[wmoebis]

How come all the parts I buy are Made in China, Mexico, Japan etc?

[dmlfarmer]

Whoa Boys!!! As they say the devil is in the details and for the most part we have no idea what is all included in this deal. Until we get the fine print it is too early to say if this is good or bad.

And to think that this is a broad sweeping deal which will remove all trade restrictions is ridiculous. Afterall, Canada is opening only 3.5% of the dairy market to importers, and less than 3% for egg, and poultry products. How does anyone see this as a free trade deal given the limited access in these industries. And did other countries also restrict access to a small percentage say in livestock, canola or wheat? Until you see the complete text it is too early to cheer or jeer this deal.

[wmoebis]

DML or who ever, did Canada have restrictions on dairy and egg EXPORTS before? Is that gone now if they did?

[dmlfarmer]

Great question wmoebis. Most farmers have no idea of what tariff and quotas are impacting our sales. You can find details of international tariff rates on this government of Canada website. If you go through by country you will see tariffs on agricultural exports from Canada are not huge.
http://www.international.gc.ca/trade-agreements-accords-commerciaux/topics-domaines/goods-produits/ac_link.aspx?lang=eng

[Crestliner]

It is simply awesome that the Harper Gov. Is so capable of dealing with minor little court cases that are no more substantive than a distraction, deal with Mid East crisis etc, and negotiate significant long lasting trade agreements.....all during an election campaign. That is multitasking that would spin the head of Trudeau and Mulcair and really exposes them as anti everything not to mention armatures.
A free enterprise friend of mine in Ottawa works in External Affairs in July was quite concerned that the Millenails would put the NDP in power and that they hate all the trade deals being negotiated and would stop all the good things that have been done and are being negotiated. He was laughing that his colleagues who usually support the NDP and Liberals were voting for Harper to keep the momentum going and save their careers and jobs.
I guess the TPP is a further sign of good things to come to the farm from the new 2015 Harper government.

[pourfarmer]

Crestliner back at work on Monday?