How the TPP will affect Tweed's foreign trade
ACCOUNTING for 40% of the world 's economy, the 12-country Trans Pacific Partnership (TPP) will impact Norco dairy and Sunshine Sugar co-ops, as well as beef cattle farmers.
Beef farmers will see a reduction in their tariffs on meat sent to Japan. The the biggest importer of Australian beef will cut tariffs from 30% to 9%.
Stock agent George and Fuhrmann's director Darren Perkins, said the deal could boost the bottom line for the farmers who trade up to 9,000 head a year at Murwillumbah saleyards.
At current market, vealers and weaners make $2.80kg - $3.40kg. Weaners are fattened to 400kg in Queensland, slaughtered and then sent Japan.
"Anything to do with gaining more market access is always very exciting," Mr Perkins said.
In dairy, Norco president Brett Kelly said on the back of last year's multi-million-dollar China export deal, the TPP boosts growing international consumer confidence for the Northern River's "clean, green" milk.
The China Norco deal sells milk at $8 a litre and, with its "phenomenal" marketing impact on the domestic market, saw a net annual profit of Norco increase by 520% to $3.1m.
Indonesia and Malaysia are earmarked for expansion next, for the co-op that was the first to sell fresh Australian milk to China, Mr Kelly said.
"The TPP deal is all according to plan for us," he said.
Sunshine Sugar has a similar marketing ploy. It's Bonsucro environmentally sustainable sugar will be exported to Japan this month, for the first time in history.
But growers of the last Australian-owned refinery were not impressed with the US-Australia TPP deal, chief executive Chris Connors said.
Doubling the Australian sugar quota into the US to 152,000 tonnes will only see a 15c per tonne increase, on top of the $34-5 a tonne, Tweed's 200 farmers currently get.
Greens Richmond candidate Dawn Walker said drawbacks of the deal include its controversial Investor State Dispute Settlement (ISDS) clause.
She said it could allow multi-nationals to sue governments if environment protection interfered with profits.
Richmond MP Justine Elliot said Labor and the coalition worked together for five years to finalise the TPP. But Labor was opposed to ISDS.
Mrs Elliot said Labor will pressure the Turnbull Government to ensure the deal did not increase the costs of medicines.