Government forecasts increased manufacturing output and decreased agriculture, fisheries, and livestock production if joining the CPTPP
Expected effects of joining the CPTPP: GDP up 0.38 percentage points; manufacturing output expected to expand With concerns over damage to agriculture, fisheries, and livestock, complementary measures are key as accession discussions draw attention
As a result of analyzing the economic impact of joining the Comprehensive and Progressive Agreement for TransPacific Partnership (CPTPP), the government projected that real gross domestic product (GDP) will rise by 0.38 percentage points over the next 10 years, and manufacturing output will increase by up to about 670 billion won per year on average for 15 years.
On the other hand, agricultural, fisheries, and forestry production is estimated to decrease by an average of 852.3 billion won per year for 15 years. The industry is concerned that damage could grow as quarantine measures and nontariff barriers are eased, and the government stated that compensatory measures need to be prepared.
This analysis was conducted by the Ministry of Trade, Industry and Energy, the Ministry of Agriculture, Food and Rural Affairs, and the Ministry of Oceans and Fisheries together with related research institutes, and was released as discussions on Korea's CPTPP membership regain momentum. The government plans to discuss measures to offset the damage with the agricultural sector going forward.