UAE trade deal: ‘A win for farmers’

The comprehensive trade deal is being billed as a significant win for farmers with the elimination of tariffs across 99 per cent of agricultural products.

Australian farmers will save around $50 million in tariffs following the signing of a trade agreement with the United Arab Emirates.

The deal is the first initiated and finalised by Trade Minister Don Farrell, who was joined in Canberra on Wednesday by the UAE’s Foreign Trade Minister Dr Thani bin Ahmed Al Zeyoudi to officially sign the document.

The deal has been sold as a win for farmers who are being encouraged to capitalise on the new export opportunity to diversify and expand their markets.

“Our deal delivers for Australian farmers, producers, manufacturers, service providers, exporters and Australian workers, giving them unprecedented access and preferential treatment when they do business with the UAE,” Mr Farrell said.

Prior to the signing of the UAE Comprehensive Economic Partnership Agreement, many Australian agricultural commodities attracted a five per cent tariff. This has been eliminated on 99 per cent of products as of Wednesday, from cheese and yoghurts to meat products, canola seeds, lentils, chickpeas, fruit, vegetables, nuts and tuna.

UAE Minister for Foreign Trade, His Excellency Dr. Thani bin Ahmed Al Zeyoudi, and Trade Minister Don Farrell sign the UAE CEPA at an official ceremony at Australian Parliament House. Picture: Supplied

The tariff on wine has been reduced from 50 per cent to 45 per cent, a “really positive” step for Australian wine, Australian Grape and Wine chief executive Lee McLean said.

“This is real opportunity in the UAE market, particularly for premium wines in thriving hotel chains,” Mr McLean said. “A reduction in tariffs will give Australian producers a competitive edge in the market, particularly given this is the best outcome for wine in any agreement signed by the UAE”.

National Farmers’ Federation president David Jochinke commended Mr Farrell and the Albanese Government for securing “this important agreement”.

“The NFF looks forward to further collaboration to maximise its benefits,” Mr Jochinke said.

In the last financial year ending on June 30, Australia exported $741 million worth of canola seeds, $176.9 million worth of lentils, $87.6 million worth of sheep meat, $61.3 million worth of chickpeas and $22.8 million worth of beef.

The trade deal features a chapter on “sustainable agriculture and food systems”, which is a first for any trade agreement signed by Australia.

The aim of the chapter is to “affirm the parties’ shared view regarding sustainable agriculture and food systems”, while ensuring any measures to enforce this are evidence-based and do not create unnecessary barriers to trade.

There is also a section dedicated to animal welfare, which commits both countries to improving animal welfare, particularly farmed animals.

It however states that each country can continue to establish its own policies and priorities or adopt or change its laws in this area.