Trade Minister Tim Groser has returned from the OECD and APEC Ministerial meetings, noticeably more upbeat about the Trans-Pacific Partnership (TPP).
While the meetings agreed to only one chapter of the TPP (out of about 24) relating to SMEs, there is a good chance that many more will be endorsed before the end of the year.
This will mean that after the US Presidential election on November 6, 2012, negotiations on endgame issues can begin in earnest.
Also of note is the continuing US commitment to holding the line on a high standard outcome relating to admission of new members (Canada, Mexico and Japan). Mexico and Canada are ready and willing to meet this standard, and have just been admitted to the TPP.
Japan’s position remains unclear.
Free Trade Pacts
While the refusal of the Russian President (Vladimir Vladimirovich Putin) to meet Prime Minister John Key was a potentially bad sign for a Free Trade Agreement (FTA), all signs are that the Russians are still negotiating seriously and hope for a final agreement to be signed at the APEC meetings in September.
Whether Russia will back down on some of its positions is unclear but an agreement still seems possible.
Mr Groser appeared to get on well with his new Korean counterpart. An attempt to restart the FTA negotiations is apparently about to be made.
Progress in FTA negotiation with India remains very slow.
The Indian side does not appear to share as much ambition for the outcome of this negotiation as New Zealand.
The first round of negotiations with Chinese Taipei has reportedly gone very well. The New Zealand Commerce and Industry Office in Taipei is keen to learn from New Zealand services companies whether they are experiencing any difficulties in trading with that economy.
Investor State Dispute Settlement has been much in the news as of late.
What the Green Party and others have been claiming to be a leaked paper from the TPP negotiations is perhaps a negotiating brief from one of the delegations, maybe Australia.
The New Zealand Government is adamant that it will not sign up to anything in TPP that restricts the Government’s right to regulate for environmental and health purposes
Catherine Beard is Executive Director of the Wellington based Export New Zealand.
