Tuesday 6 October 2015 | Published in Regional
So what exactly does the TPPA mean for New Zealanders?
• No extra cost on medicine for Kiwis.
• Greater transparency requirements for new biologic-class drugs costing about $4.5 million in the first year and $2.5m in operating costs each year after.
• No change to the standard 20-year patent period for pharmaceuticals.
• Five year period of data exclusivity will remain for biologics.
Dairy and Beef:
• Tariffs will go within 10 years on milk formula and some cheese in the US.
• Long-term tariff elimination on cheese to Japan.
• Unrestricted access to the US for beef.
• Japan will reduce 38.5 per cent tariff on beef to 9 per cent over 15 years.
• Gains around duty free entry to Japan and the US for both dairy and sheep.
• All tariffs eliminated on horticultural exports
• Tariff savings on most fruit and vegetables.
• All kiwifruit tariffs eliminated.
• All tariffs on wine exports eliminated.
• Tariffs on bottled wine into the US and all wine into Canada eliminated.
• All tariffs on forestry products eliminated.
• All tariffs eliminated on fish and fish products.
• All manufactured exports will be duty free.
• Honey and other agricultural goods have varying tariffs eliminated.
On top of these agreements there will be a copyright extension of 20 years, adding to the 50 years already in place.
In terms of investment, the threshold above which an investor must get approval from the Overseas Investment Office will increase to $200 million for TPPA countries, except Australia.
This means the government will be unable to ban nationals from TPPA countries from buying up land in New Zealand.
Over the next 30 days the TPPA deal will be turned into text and in the meantime the United States is taking it to congress and Canada has promised to have a full debate in Parliament.
Labour’s acting leader Annette King wants the same commitment from New Zealand and is calling for full public consultation on the deal.