NZ moves ahead to enable trade deal

A controversial trade deal is one step closer after a ratification bill passed its third reading this week.

The Greens opposed the TransPacific Partnership Agreement Amendment Bill but Labour, NZ First, National and ACT all voted for it.

The bill received 111 yes votes and eight no votes. It will now be sent to receive Royal Assent before becoming law, allowing for the ratification of the Comprehensive and Progressive Agreement for Trans Pacific Partnership (CPTPP).

The international trade treaty between New Zealand and 10 nations was signed off in Chile, in March, by Minister for Trade and Export Growth David Parker, after several years of negotiations.

To date, Mexico, Singapore and Japan have ratified the agreement, which will come into effect once six of the 11 countries ratify it.

The deal is expected to create new international trade opportunities for New Zealand, including preferential access for the first time to Japan – the world’s third biggest economy – and also to Canada, Mexico and Peru.

Acting Trade and Export Growth Minister, Damien O’ Connor, who moved the bill, said the legislation would enable New Zealand to meet the obligations in the CPTPP when it enters into force for New Zealand.

He told the House that would occur 60 days after New Zealand and at least five other signatories ratified the agreement. The CPTPP would bring commercial, strategic, and sustainability benefits to New Zealand, he said.

Suspensions and side letters negotiated since TPP reduced the risk of investor-state dispute settlement being used, he said.

‘‘The CPTPP preserves New Zealand’s right to make laws to protect the public interest and our environment, and it upholds the Treaty of Waitangi.’’