Some Pacific trade partners aim for deal in coming months-source
Some Pacific trading partners are aiming for a deal on a regional free trade zone as early as the next few months, sources close to the negotiations said, although others caution a pact is still a long way off and see the U.S. elections as a wild card.
A central element of U.S. President Barack Obama's strategic shift towards Asia, the TPP would cut trade barriers and harmonize rules in a complex deal covering two-fifths of the world economy and a third of global trade.
Some officials close to the talks told Reuters they worried about a closing window of opportunity to finalize talks with U.S. mid-term elections in November.
A Mexican official, who was not authorized to speak publicly, said some were pushing to get an agreement in September at the latest.
"If we don't make it during the summer it will be difficult for the United States to persuade voters in the middle of the mid-term election campaign, so the aim of the members, particularly Japan, the United States and Mexico, is to seek an agreement towards the end of the (northern) summer," he said.
Still, others took a more pessimistic view. A diplomatic source from another TPP country, who is familiar with the negotiations but declined to be identified, said he did not expect ministers to meet again in July, or even August.
"Until the (U.S. mid-term) election is over, there won't be real enthusiasm for striking a deal," he said, adding it would need "huge political investment" in Washington to get an agreement this year.
"It is going to take considerable time to reach the final stage of negotiations. There is a lot of filibustering of issues by other countries because they are afraid if all issues are resolved, excluding those they are interested in, they will be crushed."
Obama's democrats have links to labor and environmental groups who worry the TPP may cost the United States jobs and harm the environment. Some democrats facing tight election races may be unwilling to support a deal that could lose them votes.
The White House hoped to complete TPP last year but talks stalled over Japanese tariffs on agricultural imports. Tokyo wants to protect rice, wheat, dairy, sugar and beef and pork products, while Washington seeks to shield U.S. carmakers from increased Japanese competition.
Countries hope to wrap up talks this year. Japanese Economics Minister Akira Amari has said talks are in their final phase. U.S. Trade Representative Michael Froman has said the substance will drive the timetable.
- Farmland price outlook in 2014 and beyond
- Climate change to cut South Asia's growth 9% by 2100
- Tumbling livestock quotes led ag commodites lower Wednesday
- As risk of drought rises, Australian farmers struggle to invest
- Soybean aphids make an unusual appearance
- Livestock futures led most ag markets lower Wednesday morning
- Suspected Bt corn rootworm resistance in Pennsylvania
- No El Niño in 2014? Drought-weary California in trouble
- BioNitrogen to build second fertilizer plant in Texas
- Commentary: Setting the record straight on 'Waters of the U.S.'
- Soybean aphid numbers on the rise
- Agricultural associations respond to government shutdown