Japan more than quadruples TPP economic boost estimate: Nikkei

TOKYO (Reuters) - Japan’s government has estimated the Trans-Pacific Partnership (TPP) will boost the economy by 14 trillion yen ($115.5 billion) or about 3 percentage points, over four times more than its initial calculation, the Nikkei business daily said on Tuesday.

In March 2013, the Cabinet Office said joining the TPP would boost gross domestic product by 3.2 trillion yen or 0.66 percentage point based on the assumption that all tariffs would be scrapped immediately after enactment.

The new estimate included the impact of elements such as common investment rules and easing regulation, the Nikkei reported.

Also, the TPP’s negative impact on agriculture will likely be less than initially calculated as not all tariffs on farm products will be eliminated and because there are farm products whose tariffs will be scrapped over a lengthy period, the newspaper said.

The government plans to spend about 340 billion yen to ease the impact on farmers and help firms be more competitive.

The government is scheduled to announce its new estimate of the economic impact of the TPP this week.

Reporting by Kaori Kaneko