TPP a 'dud deal': Xenophon

Conservative MPs have also backed the historic trade deal to deliver outcomes for Australian agriculture, while the federal Opposition says it will examine its finer details in other areas like medicine costs.

Senator Xenophon also raised concerns about the TPP’s impact on the price of medicines and its Investor-State Dispute Resolution (ISDS) clause and secrecy over the agreement’s text.

He said the federal government’s self-congratulations over the end of “secret, protracted negotiations” were “misplaced” given Australians won’t see the agreement for about a month.

“If this is such a good agreement for Australia then why all the secrecy?” he said.

Senator Xenophon said the inclusion of an ISDS clause would damage Australia’s sovereignty by allowing foreign firms to sue Australian governments if policy decisions harm their bottom line.

“If the Trans Pacific Partnership is the ‘big kahuna’ of free trade deals, that just makes it a bigger mistake for Australia,” he said.

“We have become known internationally as the ‘free trade Taliban’ due to our blind devotion in the face of the damage done to Australian national trade figures.”

Shadow Trade Minister Penny Wong said the Opposition believed the TPP had significant potential benefits for Australia including market access for goods and services in the 12 countries which account for some 40 per cent of global GDP.

“It could also be a stepping stone to closer economic engagement across the Asia-Pacific region,” she said.

But Senator Wong said the ALP had laid out some benchmarks in relation to the agreement and “red lines” including that it did not increase the price of pharmaceuticals in Australia.

“We will be examining the agreement closely to ensure that hasn’t occurred,” she said today.

“A Labor government did not agree to the inclusion of ISDS clauses in agreements we negotiated, we don’t believe they are sensible policy - but ultimately when it comes to this agreement we are going to analyse it closely.”

Tasmanian Greens Senator Peter Senator Whish-Wilson also raised concerns about the ISDS clause saying US corporations are the most “avid” users having brought forward at least 127 cases so far.

“The majority of ISDS cases are either won by the corporation or settled at great expense to the country being sued,” he said.

“Most ISDS cases from the US have involved disputes being brought by energy, mining, oil and gas companies.

“The TPP is not about free trade, it is about increased protections for big business in pharmaceuticals and copyright but limits governments’ ability to regulate against corporations’ impacts on the community and environment.”

Consumer group CHOICE called for independent assessment of the TPP’s real benefits following scrutiny of the actual text.

CHOICE’s Campaigns Manager Erin Turner said the US would spend months assessing this new trade deal and “we should do the same”.

“We need a full cost-benefit analysis conducted by the Productivity Commission as well as a chance for genuine public consultation on the impact of the new agreement,” she said.

“CHOICE urges the government to commit to a full cost-benefit analysis of the TPP before Australia signs on to complex new rules, governing everything from financial regulations to copyright provisions.”

However, NSW Liberal MP Angus Taylor said the TPP would provide jobs, investment and a higher standard of living for all Australians and was a “game changer” for farmers in his Hume electorate in Southern NSW.

“This will provide unprecedented access across 40 per cent of the world’s economy for the electorate’s exporters of horticulture, meat, grain and dairy, amongst others,” he said.

“It will make doing business across the region easier, reducing red tape and business costs.

“This is fantastic news for farmers and the broader economy.

“A buoyant agricultural sector ultimately means a robust economy and jobs.”

NSW Nationals MP Michael McCormack said the TPP deal would benefit many commodities produced in his Riverina electorate.

“Barley, beef, dairy, rice, wheat and wine are all key commodities which will have tariffs reduced and access to new markets under the TPP deal and this is all beneficial for Riverina producers,” he said.

“The Riverina is a vast agricultural region and there are a number of new opportunities for local farmers to increase their production and exports to new markets.

“The government understands the importance of ensuring our farmers have the best opportunities to sell their food and fibre, which is the envy of the world, to markets across the globe.

“This deal also sees a reduction in the duties on paper and paperboard, which could potentially lead to a boost for Australian exporters – particularly Visy, which has its main plant at Tumut.”

Last year, one third of Australia’s total goods and services exports – worth $109 billion – were sent to the other 11 TPP countries - Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, Peru, New Zealand, Singapore, the US and Vietnam.