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USDA analyzes TPP impact on dairy

USDA analyzes TPP impact on dairy 
A special article from USDA’s Livestock, Dairy, and Poultry Outlook addresses the effect of the Trans-Pacific Partnership (TPP) on U.S. dairy Trade. The TPP is a plurilateral free trade agreement presently being negotiated among 12 countries: Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, Vietnam, and the United States.
The TPP is expected to address many important trade issues; among them is increasing market access to goods and services by reducing tariffs and other trade barriers. The agreement may have an impact on the U.S. dairy industry, which is transitioning from being domestically focused to filling an important role in global trade.
In general, the TPP may:
• Create new opportunities for U.S. dairy trade in growing markets, especially Malaysia and Vietnam, where dairy consumption has expanded rapidly due to increasing incomes.
• Facilitate trade with existing partners, including Canada and Japan, by removing barriers that limit imports.
• Increase access to the U.S. dairy market for TPP partners by reducing tariffs and/or establishing dairy tariff-rate quotas (TRQs), as has been done under past U.S. free trade agreements (FTAs).
To read the complete report, click here.
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