Premier Steven Marshall calls for talks with China as farmers brace for barley tax hike
The Premier is calling on the Federal Government to negotiate with China after the Chinese Government slapped a new 80 per cent tax on inbound barley.
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Premier Steven Marshall is calling on the Federal Government to hold talks with China after the Chinese Government imposed a new 80 per cent tax on inbound barley.
The move was introduced overnight and is a major blow for South Australian farmers.
Mr Marshall told ABC Radio this morning that the tax was a “worrying sign”.
“We’re very much encouraging the Federal Government to sit down and negotiate with China,” he said.
“Barley is a commodity – it’s going to be sold on the world market (so) it’s not like there’s going to be a reduction in barley consumption globally,” he said.
“China is not going to be purchasing from Australia – they’re going to be purchasing from other countries and so our barley will be sold to other countries on the global commodity market but never-the-less it is a worrying sign and we just hope that we can re-establish a good relationship with China.”
Mr Marshall said SA farmers had been “doing it really tough in recent years with dry and drought conditions”.
“And they’ve just had some good news finally in South Australia with some fantastic rain so we really don’t need to see our global community market disrupted,” he said.
It comes after Chinese President Xi Jinping last night backed a comprehensive international review of the COVID-19 pandemic in a sensational diplomatic win for Australia.
But in a brutal payback for our farmers, the country officially slapped new tariffs on drought-affected barley exporters.
Powerful leader Xi Jinping told the World Health Assembly his country supported the idea, but only after the pandemic was “brought under control”.
Morrison Government’s push for an independent inquiry into the deadly pandemic had been gaining momentum, with 116 countries signed on to co-sponsor a draft resolution put forward by the European Union that included a motion calling for the review.
It came as China’s Commerce Industry confirmed it will levy anti-dumping duties on barley importers from today. Its decision comes after an 18-month inquiry into claims Australian exporters have been dumping barley in its market, with experts predicting an 80 per cent tariff new would wipe out about $20 million of the $26 million worth of barley SA sent to China last year. “After being in the works for so long, it would be very surprising if it didn’t go ahead,” said Lowy Institute China expert Richard McGregor.
Trade Minister Simon Birmingham, pictured, has warned that Australia will take the matter to the World Trade Organisation if China imposes higher tariffs. “We hope that the evidence we’ve presented to China is compelling and we’re confident that it demonstrates well and truly that our barley exporters in no way are subsidised or dumping their products into the Chinese market,” he said yesterday.
“I’ve reserved rights in relation to going to the WTO because in the end Australia uses the independent umpire where it’s appropriate.”
South Australian farmers export about 1.5 million tonnes of barley each year, with more than half of it going to China. It is SA’s biggest grain export after wheat.
Meanwhile, an independent inquiry into the origins of COVID-19 is likely to be launched after 116 countries joined Australia in supporting a European Union motion to establish an investigation.
The probe has the backing of including Britainthe UK, Russia, India, Canada, African nations, New Zealand and South Korea.
Health Minister Greg Hunt spoke to the World Health Assembly overnight in favour of the draft resolution proposed by the European Union and highlighted the need to bolster the power of officials to investigate new diseases.
“We need to learn the lessons from this pandemic and ensure we have the strongest possible global health architecture, with... an enhanced ability to prevent and respond to future outbreaks,” he said.
He also raised the need to “protect against the global health threat posed by wildlife wet markets”.
The EU’s motion does not specifically mention China but notes the need to identify the animal source of the virus and “the route of introduction to the human population”.
China and the US have not signed the draft resolution calling for an inquiry, but are not expected to stand in its way. Chinese state-owned news organisation the Global Timesyesterday said a scientific investigation led by the WHO “should be carried out”.