The Australian Ag Podcast: Brett Hosking on Australia-China relations

Grain Growers Limited chairman Brett Hosking is hopeful frosty relations between Australia and China will soon thaw to benefit agriculture.

Grain Growers Limited chairman Brett Hosking is “reservedly optimistic” about frosty relations between Australia and China thawing to benefit agriculture.

Chinese ambassador to Australia Xiao Qian told the National Press Club in Canberra last week that Beijing was willing to engage with the new Australian Government on issues such as tariffs.

In November 2018 China initiated an anti-dumping investigation into Australian barley imported between October 2017 and September 2018. In May 2020 it imposed an 80.5 per cent tariff on Australian barley, forcing Australia to take the matter to the World Trade Organisation. A finding is expected by the end of the year.

Mr Hosking, a farmer from Quambatook in Victoria, told The Australian Ag Podcast the new Labor Government had “the opportunity to engage with China a little bit more than the previous government”. He likened the relationship between the former Coalition Government and China to “a Mexican standoff”.

“Whether this little bit of engagement actually translates into real change remains to be seen,” Mr Hosking said. “The Government’s still very firm on some of those things that China’s a bit annoyed with Australia about.

“It will be a watch and see, it is good that some of the ice is melting a little bit in a relationship but we still have a long road to travel before I feel that we see both countries getting back to the relationship that they had previously.”

Brett Hosking in a lentil crop on his farm near Quambatook in Victoria.

Mr Hosking said on the barley tariff front, the WTO was expected to complete a final report by October or November following hearings during July that heard evidence from China and Australia, as well as from third-party nations such as Canada, New Zealand and Russia.

Mr Hosking said the WTO was expected to complete a final report on the matter by October or November but before it can be released it must be translated into all the languages of the affected parties, including English, Chinese and Russian.

“We’re probably looking at possibly the very end of this year, but couldn’t be very early next year,” he said. “It is a slow process to be sure.”