Worth the while as way clears for Australia Inc

THE China free-trade agreement has been so long coming that it seems inconceivable that there could be any Australian business still out there waiting for a result before deciding to enter the world’s second-biggest and fastest-growing market.

But the truth is there are indeed scores of thousands of Australian firms that could and should be finding customers in China.

There are many others that are already doing business or trying to do so, that will now find that the free-trade agreement terms smooth their way to boosting their involvement, and their margins.

The same goes for Japan and South Korea, the other countries in the trade trifecta that the Abbott government has now landed triumphantly within a year of setting it as a seemingly impossible target.

Because these deals will all come into effect at about the same time, they should not be “diversionary” — merely shifting trade from one place to another — but should instead be mutually reinforcing.

The China deal has taken a decade to land, and it sets up Australia Inc for a decade ahead of advantage over some competitors — and makes us at least equal opportunity traders and investors with the rest. The retention of the mandatory review of state-owned enterprise investments is surprising since the government, including  Tony Abbott himself, had indicated that it was now relaxed about such investment.

But the deal has reviews built in, and with our rice, sugar, wheat and cotton producers receiving no joy yet, it’s sensible to hold back a concession that China deeply seeks.

Anyone who travels in China will be aware of the extent of the inroads there of US and European retail brands. We lack players in this sector.

The deal opens up some very exciting prospects for gaining a big role for Brand Australia in different areas, however, as China’s needs change and mature. We can, for instance, set up hospitals and care homes for the aged and — a more competitive area, of course — hotels and restaurants.

The opposition spokeswoman on trade, Penny Wong, said yesterday that “Australia can’t afford a second-rate FTA with China”. The full details have yet to emerge and she’s right to seek them — but the signs so far are that this is a very significant deal, indeed, a more comprehensive one than China has ever agreed.

Worth waiting a decade for.