Seoul:South Korea's economy is projected to experience a growth of 0.38 percent over the decade following its potential membership in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), as announced by the industry ministry on Monday.

According to Yonhap News Agency, the government has released this projection after a comprehensive analysis of the potential impact of South Korea's CPTPP membership on various sectors, including the macroeconomy, manufacturing, small and medium-sized enterprises (SMEs), agriculture, fisheries, and forestry.

The analysis involved contributions from the Ministry of Trade, Industry and Resources (MOTIR), the Ministry of Agriculture, Food and Rural Affairs, the Ministry of Oceans and Fisheries, the Ministry of SMEs and Startups, and the Korea Forest Service, along with their affiliated research institutes.

The estimate indicates that South Korea's GDP would be cumulatively 0.38 percentage points higher over the first decade after joining the CPTPP compared to not joining the trade pact. Specifically, the manufacturing sector is expected to see a production increase of 6.3 trillion to 6.7 trillion won annually over the 15 years following membership, whereas agricultural production might decline by 710 billion won.

The CPTPP is a significant Indo-Pacific trade agreement that includes 12 countries such as Japan, Mexico, Australia, Canada, and Vietnam, collectively accounting for about 15.2 percent of global trade in 2019.

In 2022, South Korea decided to pursue CPTPP membership but has yet to submit a formal application due to opposition from agriculture and fisheries sectors and strained relations with Japan. Last month, the government announced plans to review the decision, assessing the national interest and the tangible benefits membership could offer to the livelihoods of ordinary citizens.