China lifts trade ban on last two Australian meat processors

All 10 Australian beef processors banned by China are now free to trade again, ending a diplomatic standoff that lasted more than four years.

The last two meat processors barred from shipping produce to China have been granted re-entry after a diplomatic standoff that lasted more than four years.

The abattoirs, both located in Queensland, were re-added to an official Chinese export-licence list on Tuesday, marking what the ­Albanese government billed as a “return to business as usual” for the $13.9bn export industry.

The welcome move follows talks with officials in China this week and a positive meeting between Anthony Albanese and Chinese President Xi Jinping at the G20 summit in Brazil last month.

Brisbane-based Australian Country Choice and Warwick-based John Dee were the final two meat processors, from a list of 10, to be granted re-entry to the Chinese market.

“This is great news for Australian exporters, producers and farmers,” the Prime Minister said on Tuesday.

“Since we were elected we’ve worked tirelessly to resume trade and that’s exactly what we are ­seeing.

“It’s a win for trade and a win for Australian jobs – something my government will always back.”

Australia is forecast to export $2.2bn worth of beef into China this financial year, making it the second largest market for Australian beef after the US.

Ostensibly the suspensions were put in place due to Chinese accusations of incorrect labelling and contamination of meat products. But the timing of the bans, in August 2020 for John Dee and October 2021 for ACC, came during heightened diplomatic tension between Canberra and Beijing after then prime minister Scott Morrison called for an investigation into the outbreak of Covid in Wuhan.

Similar bans, sometimes disguised as unfeasible surges in ­tariffs, were imposed on other Australian agricultural exports, including barley, wine and lobster.

Bans on the other abattoirs were lifted over the past year.

ACC chief executive Anthony Lee on Tuesday welcomed the lifting of the trade ban.

“We welcome the decision by the Chinese authorities to return our export licence, we thank the Australian government for its support in achieving this outcome and we anticipate the resumption of mutually beneficial trade links,” Mr Lee said.

Foreign Minister Penny Wong said the removal of trade impediments “affirms the calm and consistent approach” taken by the Albanese government.

Trade Minister Don Farrell said the end of the trade war would also save jobs.

“We are close to the point where China’s trade impediments which impacted $20bn worth of Australian exports have all been removed,” he said.

The announcement followed the release of a new forecast from the Australian Bureau of Agricultural and Resource Economics and Sciences that forecast beef and veal exports would reach a ­record $13.9bn in 2024–25.

Cattle Australia chief executive officer Chris Parker said the lifting of the ban was a win for the meat processors and also for their suppliers.

“The re-establishment of export approval for these two plants is the result of extensive negotiations by industry advocacy groups and the federal government, and we applaud the efforts of Australian government ministers and the Department of Agriculture to achieve this most recent outcome,” Dr Parker said.

“As a net exporter of products, our industry relies on ensuring productive technical discussions can take place in an effort to strengthen ties with current trading partners and foster relationships with new customers.

“We look forward to ongoing conversations with China and other nations as we continue to share Australia’s world-leading beef with consumers across the globe.”