TPP talks seen tackling tariff removal

TPP talks seen tackling tariff removal

 

(FITRI SHAHMINAN, BANDAR SERI BEGAWAN)

 

ELIMINATION of tariffs will likely be on the agenda of the 19th Trans-Pacific Partnership (TPP) Negotiation Round to be held in Brunei, as negotiators also aim to address multiple issues surrounding the trade pact.

 

A media information released by Brunei's ASEAN Summit Media Secretariat yesterday confirmed that discussions will take place on August 24 to 31 at the International Convention Centre in Berakas following a TPP Ministerial Meeting slated for August 22 and 23.

 

English daily Japan Times last week quoted sources privy to the negotiations as saying that the 12 countries negotiating the trade pact have set four deadlines for reaching a consensus on eliminating tariffs, aiming for a basic agreement by the end of October.

 

Last Monday, the newspaper also reported that the Japanese government told industry groups it was drafting proposals on lowering or eliminating tariffs for the Brunei round of the trade negotiations.

 

The Brunei talks will be Japan's first full round after Tokyo made its TPP debut on July 23 toward the end of the 18th round in Malaysia.

 

Tokyo has been seeking to expand exports of Japanese goods while protecting its key farm products rice, wheat, beef, pork, dairy products and sugar by retaining tariffs on imports, the report added.

 

According to The Japan Times, a Japanese federation of fisheries cooperatives requested its government to keep fishing subsidies out of the TPP negotiations.

 

The United States has proposed a basic ban on fishing subsidies, and TPP countries have been discussing the issue in the working group for the environment.

 

Meanwhile, politicians, non-governmental organisations and various interest groups have condemned Malaysia's participation in the TPP negotiations, alleging that it would jeopardise Bumiputera interests and that it would pave the way for the entry of about 600,000 foreign companies into the Malaysian market.

 

However, a Malaysian trade expert, Dr Sufian Jusoh, who is a senior fellow and associate professor at the Faculty of Law of Universiti Kebangsaan Malaysia, recently said that the concerns must not mask the advantages for Malaysia in terms of market access to over 700 million consumers, potentially cheaper imports and the chance to bid for government contracts in member economies.

 

The TPP is important for Malaysia due to its reliance on trade and industry, increased opportunities for foreign direct investment, enhanced competitiveness and the ability to build up business and technical capacity, he added.

 

The trade pact is also triggering concerns over access to cheap medicines, with Fauwaz Abdul Aziz from the Third World Network in Malaysia telling the The Brunei Times in April that pushing the standards for intellectual property rights could restrict this.

 

He said that a proposal contained in the TPP to promote the use of original or innovator medicines would cut access to generic drugs in signatory countries.

 

Fauwaz alleged that the United States is demanding a patent term extension and data exclusions.

 

"Agreeing to the US proposal to the TPP would lock Brunei in a costly patent adjustment system, constraining the country's ability to make its own rules," stated a report shared by Fauwaz which supported his assertions.

 

The report, entitled "Dangers for Access to medicines in the Trans-pacific Partnership Agreement (TPPA): Comparative Analysis of the United States' Intellectual Property Proposal and the law of Brunei Darussalam", added: "This further delays market entry of competing generic drugs and restricts access to affordable medicines."

 

Recent reports have confirmed the participation of Japan's economic and fiscal policy minister Akira Amari and Canadian Trade Minister Ed Fast in the meeting.

 

The TPP talks involve Australia, Brunei, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States, Vietnam and most recently, Japan.

 

(The Brunei Times, 9 August 2013)