KUALA LUMPUR: The 12 Trans Pacific Partnership partners will establish a body to link small and medium-sized enterprises once the trade deal takes shape, said International Trade and Industry Minister Datuk Seri Mustapa Mohamed.
"It will not only provide linkages and cooperation in capacity-building across the 12 countries but also help stimulate business," he said during a TPP session for SMEs.
Members of the body will be represented by all - Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, US, and Vietnam.
The TPP agreement was signed by the signatories in Auckland on February 4 and is expected to come into force in two years.
It represents the largest trade deal inked globally and is touted as being the first to devote a chapter for SMEs.
For many sectors like food, the TPPA will provide a larger source of raw materials, said the trade minister.
"TPP is alll about scale and entering more markets."
With lower tariffs and new markets for Malaysian businesses like Mexico, Peru and Canada, the multiplier effect and impact to the value chain will be immense.
Already the spillover effects of FTAs like the one with Turkey are being felt in palm oil, one of Malaysia's leading exports in terms of receipts in the first two months of the year.
Mustapa said a seminar will be held next month on entry of products into Japan.