The signing of the TPPA (Trans-Pacific Partnership Agreement) has become more critical to New Zealand, as the meltdown in China’s economic fortunes highlights New Zealand’s need for diversity. This contrasts with the current situation where we are increasingly relying on our $20 billion of trade with China. This regional free trade deal is between 12 countries in the Asia-Pacific region, which includes New Zealand, along with United States, Japan, Australia, Brunei, Chile, Malaysia, Peru, Singapore, Vietnam, Mexico and Canada. These countries account for over 40% of world trade, and you can be sure that this is likely to increase New Zealand’s trade by at least US$2 billion annually within the next ten years. This would equate to a 1% increase in New Zealand’s GDP. In short it is substantive.

The nay-sayers complain that the negotiations are secretive, but the reality is that all such trade negotiations are held in secret, but they do have to get ratified by our Parliament before the deal can become operational. The fear mongering by the Left is just plain nonsense. Trade negotiator Hon. Tim Groser will not be signing any agreement that doesn’t benefit New Zealand – of that you can be sure. And to worry that he would sign away New Zealand’s sovereignty is quite ridiculous.

Negotiations for the TPPA began in 2005 and were supposed to be concluded in 2012. This has been and extremely long and protracted negotiation, but hopefully we are almost there.

If you have a view on these or any other local government issues, I invite you to email me at andrew@vond.co.nz