Advantages to entering CPTPP, TBT. The diversity of regulatory measures among CPTPP Parties can make it difficult and expensive for exporters to understand and comply with the different requirements in each market. These can create TBTs that significantly increase transaction and compliance costs for exporters, particularly when regulations are more trade-restrictive than necessary to achieve a legitimate objective or are developed in a non-transparent way. The TBT chapter aims to address these issues and facilitate trade among CPTPP members, which would ultimately benefit New Zealand exporters. CPTPP includes provisions to enhance transparency in the development of TBT measures in the CPTPP region and promote greater regulatory cooperation and good regulatory practice. In the longer-term, this is expected to lead to regulatory frameworks in CPTPP markets that would make it easier for New Zealand exporters to determine the requirements for exporting. The chapter also has provisions to minimise the adverse effects regulations can have on trade by reducing transaction costs for businesses, and to provide mechanisms for Parties to address specific trade issues with the aim of reducing or eliminating unnecessary TBTs. A feature of the TBT chapter that differs from our previous FTA approach is the inclusion of seven sectoral annexes (Wine and Distilled Spirits, Pharmaceuticals, Medical Devices, Cosmetics, Proprietary Formulas for Certain Food Products and Additives, Organic Products and Information and Communications Technology Goods). These include sector-specific obligations aimed at reducing unnecessary barriers to trade in these products. The net effect of entering CPTPP with respect to these annexes is expected to be to New Zealand’s overall advantage, as they would provide important benefit for New Zealand exporters. Key outcomes of likely interest for New Zealand exporters are: • The Wine and Distilled Spirits Annex would simplify the sale and export of New Zealand wines in CPTPP markets and reduce costs for New Zealand wine producers, for example reducing unnecessary requirements that have previously required specific labels for different markets. The provisions are largely based on the World Wine Trade Group (WWTG) Agreements, which New Zealand is already a signatory to. • The annexes relating to pharmaceuticals, medical devices and cosmetics include provisions aimed at better aligning the respective regulatory regimes of CPTPP partners and removing unnecessary regulatory requirements f...
