A group of 12 nations finalized their agreement on the Trans-Pacific Partnership (TPP) on Oct. 4 in Atlanta. The agreement includes Australia, Canada, Japan, Malaysia, Mexico, Peru, the United States, Vietnam, Chile, Brunei, Singapore and New Zealand.
The agreement is subject to congressional approval by a simple up-or-down vote under trade promotion authority passed earlier this year.
According to a press release from United States Trade Representative Michael Froman, the agreement features comprehensive market access between the TPP nations, eliminating or reducing tariff and non-tariff barriers to trade and investment.
"The Trans-Pacific Partnership has promised to open restricted markets for American business around the Pacific Rim," American Farm Bureau Federation President Bob Stallman said. "We hope the agreement will bring a more level playing field for farmers and ranchers by reducing tariffs and removing non-science based barriers to trade. The agreement covers markets that are expected to grow rapidly for decades to come. We expect to see increased access for our agricultural products, particularly some meats."
House Agriculture Committee Chairman Michael Conaway (R-Texas) indicated that TPP would face challenges in the House.
"We have long discussed the potential benefits of TPP for all of American agriculture," Conaway said. "That being said, I have repeatedly expressed concerns to our negotiators about the lack of progress in several key areas that, if not adequately addressed, would make passage of this agreement incredibly difficult in the House."
Conaway cited the lack of market access for rice and dairy producers under the TPP agreement as a potential stumbling block, as well as a "carve-out" proposal that would exclude tobacco from protections afforded in the TPP, which Conaway said sets "a dangerous new precedent that could negatively impact agriculture going forward."
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