UK-Australia-free trade deal: Johnson and Morrison sign in-principle agreement
Details of the new Australia-UK trade deal are being revealed, after Prime Minister Scott Morrison met with Boris Johnson to sign off on it.
Australia will gain greater access to the British marketplace in coming decades as details of the new London-Canberra trade deal are revealed.
Prime Minister Scott Morrison met with British PM Boris Johnson in Downing Street overnight to sign off on the ‘in principle’ trade communique — the first of its kind since the UK officially left the European Union last year.
Under the deal, beef tariffs will be eliminated after 10 years. During the transition period, Australia will have immediate access to a duty-free quota of 35,000 tonnes, rising in equal instalments to 110,000 tonnes in the tenth year after the deal is signed, potentially 2031.
Sheepmeat tariffs will also be eliminated after 10 years.
During the transition period, Australia will have immediate access to a duty-free quota of 25,000 tonnes, rising in equal instalments to 75,000 tonnes within the decade.
Sugar tariffs will be eliminated in a shorter time frame — only over eight years. During the transition period, Australia will have immediate access to a duty-free quota of 80,000 tonnes, rising by 20,000 tonnes each year.
Dairy tariffs will be eliminated over five years. During the transition period, Australia will have immediate access to a duty-free quota for cheese of 24,000 tonnes, rising in equal instalments to 48,000 tonnes within five years of the deal being made official.
National Farmers’ Federation president Fiona Simson said this was a significant leap forward in Australia’s market access and should be a new beginning in the longstanding relationship.
“Australian and UK farmers share a commitment to meeting the highest standards when it comes to caring for their land and their livestock, and that commitment shows in the quality of our produce,” she said.
“UK customers will benefit from the increased availability of high-quality Australian products on their supermarket shelves, alongside their homegrown options.
Sheep Producers Australia chief executive Stephen Crisp also welcomed the signing in London overnight.
“This means that sheep meat tariffs will be eliminated after ten years,” he said.
“Australia will have immediate access to a duty-free quota of 25,000 tonnes, rising in equal instalments to 75,000 tonnes in year 10. In the first five years a safeguard will apply on sheep meat imports exceeding a further volume threshold rising in equal instalments to 125,000 tonnes, levying a tariff safeguard duty of 20% for the rest of the calendar year.”
MORE
BACK TO THE 70S FOR UK-AUSTRALIA TRADE TALKS
Insurers’ response to floods ‘badly mishandled’
Flood-affected communities have been left traumatised and heartbroken by insurers following major flood events in 2022, a new report has found.
How easy is it to lease farmland in today’s market?
Five years ago, conditions were perfect for producers looking to lease land to enter farming, or expand operations. But the dynamic at play today is very different.