‘Cashing in’: China trade brings $720m boost for Qld

An extra $720 million has been injected into the Queensland economy since the end of trade blocks imposed by the Chinese Government on Australian products like beef, barley and cotton.

An extra $720 million has been injected into the Queensland economy since the end of trade blocks imposed by the Chinese Government on Australian products like beef, barley and cotton.

There has been huge growth in agricultural exports to China in recent months, according to new federal government data that shows Queensland businesses are cashing in on the improved trade conditions.

As China-Australia relations soured in 2020, Beijing placed trade impediments on more than $20 billion worth of Australian exports, which also included wine, timber and veal.

In the past year the tariffs and other blocks on about $19bn worth of products has been lifted, though there are remaining restrictions on two beef processors and the export of lobster.

As tensions eased, Queensland’s total agricultural exports to China soared to $2.9 billion in 2023, with beef and veal the top commodity racking up $1bn in sales.

China's Premier Li Qiang with Australia's Prime Minister Anthony Albanese. Photo: MICK TSIKAS

This was up from $766m the previous year, with 2024 expected to be an even greater figure following the lifting of restrictions on four Queensland beef producers this month.

The state exported $467m worth of row cotton to China in the eight months to April this year, up from zero exports in the two previous years.

A total of $11.3m of Queensland barley went to Chinese importers in the seven months to April, while between May 2023 and April this year the state exported $8m of roundwood to China.

There were zero exports of both of these commodities between 2021 and late 2023 due to impediments imposed by China.

Chinese tariffs on Australian wine were only lifted at the end of March this year, but in April alone Queensland exported $87,400 of it to China.

Agriculture Minister Murray Watt said the end of trade disruptions across a majority of sectors impacted in the last three years was a “great outcome” for primary producers across the state.

“Queensland is home to some of the best produce on the planet, and we want to make sure the whole world can enjoy our products,” he said.

“Stabilising our relationship with China is now paying real dividends for Queensland’s producers, processors and the whole agriculture supply chain.”

Mr Watt said the government’s work was “not done,” but early data was showing “significant gains” had been made for local farmers.

“There’s still a huge demand for their products from the Chinese market and our government will continue working hard to take advantage of those opportunities,’ he said.