Overhaul TPP trade deal: Senate inquiry

Labour market testing should never be allowed to be waived from trade deals, a Labor-dominated Senate committee has recommended.

A Senate inquiry has urged the government overhaul a massive trade deal, restoring labour market testing and stripping out provisions allowing foreign investors to sue Australia.

A Labor-dominated committee's report into the Trans-Pacific Partnership also called for legislation to ensure a future government cannot waive labour market testing.

It said controversial investor-state dispute settlement (ISDS) provisions should be removed from existing free trade agreements.

The committee also recommended new laws to stop future administrations from signing deals with ISDS provisions.

The rarely used provisions, common in trade agreements, allow foreign investors to sue countries if they believe they are not being treated fairly.

The government argues the ISDS provisions protect Australian businesses overseas, denying it would see foreign companies sue the government.

The 11-nation deal has sparked tensions within Labor, with backbenchers unsuccessfully moving motions in caucus on Tuesday trying to abandon support for the TPP.

Opposition Leader Bill Shorten has pointed to the example of New Zealand, which managed to negotiate out of some of the intellectual property provisions in the agreement, as an option for future Shorten government.

Former trade minister Steve Ciobo says the deal gives Australian exporters easier access to 500 million consumers and will boost national income by $15.6 billion by 2030.

Centre Alliance's Rex Patrick has been a strident critic of Labor for supporting TPP-11 legislation.

"The recommendations are Groundhog Day - they're weak and the Senate needs to draw a line in the sand," Senator Patrick told parliament.

Greens senator Sarah Hanson-Young said the idea a Shorten Labor government could change the deal once elected was "bollocks".

"What is absolutely crystal clear is what a dog of a deal the TPP is for Australia," she said.

The committee recommended creating a new accredited trade advisors body with industry, unions and civil society groups giving real-time advice on agreements during negotiations.

Before new free trade agreements are signed, the Productivity Commission should undertake independent economic modelling for public release, the report said.


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Published 18 September 2018 7:18pm
Source: AAP


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