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Introducing the TPP-11 project, President Sebastián Piñera said that it will increase and diversify national exports and insert national companies...

TP11 would benefit exports of Chilean salmon to Asian markets

Click on the flag for more information about Chile CHILE
Friday, May 24, 2019, 10:00 (GMT + 9)

The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (better known as TPP11), which would unite Chile with the economies of Australia, Brunei, Canada, Mexico, Japan, Malaysia, New Zealand, Peru, Singapore and Vietnam, has entered the Senate for discussion, following its approval in mid-April it by the Chamber of Deputies after a hard-fought vote.

In the Los Lagos region, sectoral authorities came out to explain the advantages that this agreement would bring in economic terms for the main export items in the area, such as aquaculture and agriculture/livestock.

The Comprehensive and Progressive Agreement for Trans-Pacific Partnership, CPTPP, is a free trade agreement between several countries of the Pacific Rim that addresses a variety of public policy issues, signed on February 4, 2016 in Auckland, New Zealand

Specifically for the salmon sector, the director of ProChile in Los Lagos, Ricardo Arriagada, explained to Salmonexpert that it "would be tremendously benefited since, for example, tariffs in markets such as Japan and Vietnam will be lower, which will mean greater competitiveness."

In particular, and as explained by Arriagada, Vietnam would lower the tariff from 22 per cent to 0 per cent once the agreement is signed, therefore "we already see very positive impacts for the salmon industry in the markets of the economies of the Asia that make up the TTP11," he said.

This situation, according to Arriagada, "should impact on greater employment, or at least job stability, because the industry is going through a positive moment that we hope will continue to be extended".

Jobs and deadlines

On the other hand, the Seremi of Internal Revenue in Los Lagos, César Zambrano, explained to Salmonexpert that, in relation to the salmon farming industry, the most important thing is "the positive differentiation of their product, which would make them earn returns of up to 22 per cent if it is that redirect productions to Vietnam. "

YouTube video: CPTPP Signing Ceremony - Santiago, Chile - March 8, 2018

The Seremi pointed out that "therefore, there has to come an industry planning to be able to supply markets and thus increase production. Of the 40,000 jobs that exist, jobs could be increased by 1,000 to 1,500 practically in the first year of the signing of the treaty, which is an indisputable acceleration for the Los Lagos region. "

Finally, regarding the deadlines that are considered for the approval of the Treaty in the country, the director of ProChile Los Lagos expressed that they hope that it will be ratified in the Senate, so that at the beginning of the second semester approximately, these benefits begin to be in force.

Source: Karla Faundez / SalmonExpert


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