Monday, November 19, 2018
 Trans Pacific Partnership – Dairy Products  

The United States Department of Agriculture has released a broad summaryand even generalized state-by state impactsof the Trans Pacific Partnership trade agreement. 

TPP Highlights for Dairy Products:

The United States dairy industry will have increased access to Canadian consumers: Tariffs are eliminated for whey and there will be expanded access through duty-free tariff-rate quotas for cheese, fluid milk, butter, milk powder and other products. 

Japan’s tariffs on cheese will be eliminated in 16 years and on whey in 21. Quotas were created for whey, butter, milk powder, evaporated and condensed milk.

The agreement is a two-way street. So the United States agreed to eliminate tariffs on milk powder and non-fat dry milk for Australia and New Zealand over 20 to 30 years. Tariffs for Malaysia, Vietnam and Japan were eliminated within 20 years.

USDA notes that U.S. dairy exports to the 11 TPP partners already accounts for over half of U.S. dairy trade. In 2014, the U.S. exported $3.6 billion worth of dairy to these countries, and $3.5 billion to the rest of the world. The TPP includes the United States, Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam.

It’s important to note that Congress must approve the agreement. It will be an up-or-down vote, with no amendments allowed.

Source: AgWeb

Posted on Thursday, October 08, 2015 (Archive on Thursday, October 15, 2015)
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