Context:
UK joins Comprehensive and Progressive Agreement for Trans-Pacific Partnership.
Comprehensive and Progressive Agreement for Trans-Pacific Partnership:
- A Free Trade Agreement (FTA) across the Pacific, initially signed by 11 countries in March 2018 in Santiago, Chile.
- Came into effect on – December 30, 2018
- Background –
- In 2005, a trade agreement between a small group of Pacific Rim countries comprising Brunei, Chile, New Zealand, and Singapore led to the formation of Trans Pacific Partnership (TPP) consisting of 12 nation-states.
- After the withdrawal of the US, the remaining 11 signatories, known as the TPP-11, continued talks and their efforts led to the formation of CPTPP.
- Members – Has 12 member nations, with the UK being the latest addition.
- UK thus become the 1st European country to join the CPTPP
- Other members – Australia, Canada, Japan, New Zealand, Brunei, Chile, Malaysia, Mexico, Peru, Singapore, and Vietnam.
- Except UK, all the remaining 11 countries of CPTPP are also members of the Asia-Pacific Economic Cooperation (APEC).
- India’s position – India chose not to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) due to following reasons
- its desire to impose higher labor and environmental standards on its trade partners.
- CPTPP draft includes specific qualifications on investment protection standards, provisions to safeguard the host state’s regulatory rights, and detailed transparency requirements
Source: The Diplomat
Previous Year Question
With reference to the ‘Trans-Pacific Partnership’, consider the following statements:
1. It is an agreement among all the Pacific Rim countries except China and Russia.
2. It is a strategic alliance for the purpose of maritime security only.
[UPSC Civil Service Exam – 2016 Prelims]
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
Answer: (d)