Australia’s largest beef exporter expects trade deals to soar U.K. sales tenfold

Australia’s largest beef exporter expects trade deals to soar U.K. sales tenfold



Australia’s largest beef exporter stated that if the two countries reach a zero tariff and zero quota trade agreement, it plans to increase sales to the UK, and predicts that if an agreement is reached, Australia’s beef exports to the UK may increase tenfold.

As Boris Johnson prepared Meeting with the Cabinet Minister put out The bitter difference Regarding the disputed transaction, the Australian Agricultural Corporation (AACo) stated that the UK-Australian trade agreement will provide a huge opportunity for it and other producers to expand UK beef sales.

“If the free trade agreement eliminates tariffs and quotas, we can see [Australian beef] Exports doubled or tripled. “AACo CEO Hugh Killen (Hugh Killen) said. “In fact, given the current export volume is so small, they may even increase tenfold. “

The National Farmers Federation warned that the zero tariff and zero quota agreement may put British farmers into trouble.

Scott Walker, chief executive officer of NFU Scotland, told the Financial Times that reports that Australian producers were snobbish about the prospect of duty-free access to the UK market, which “intensified our concerns about planned transactions. Worry”.

The UK imports only 1567 tons of beef from Australia each year, which is 0.5% of total imports, but Walker said a ten-fold increase may have a significant impact on high-end Scottish beef farmers who raise small herds instead of operating large-scale Australia There are many types of feed.

He said: “The market here in the UK is a very balanced market, so it does not require much capital to enter the market to break the balance and affect prices.”

“This intensifies our worries about this trade agreement. We will see a large influx of additional products into the market. These products have a different production system from the UK. We are not competing on the same basis.”

Australian negotiators insisted that Britain must provide “zero tariffs and zero quota” access to the British market in order to reach a trade agreement. International Trade Minister Liz Truss said that both parties reached an agreement in advance during the “sprint.” The G7 summit to be held in Cornwall next month has been invited by the Prime Minister of Australia.

Agriculture Secretary George Eustice and Cabinet Secretary Michael Gove strongly opposed the proposed deal, fearing that farmers and environmental organizations would cause political backlash in the country.

This transaction, which may cause the greatest loss to Scottish mountain farmers, may also intensify the debate on Scottish independence. Westminster Scottish National Party leader Ian Blackford warned in the Prime Minister’s question on Wednesday that the zero-tariff agreement will “the end”. A way of life for generations”-Johnson rejected this idea.

The Australian beef industry is urging Canberra to insist on abolishing all tariffs and quotas in the bilateral trade agreement so that it can regain a foothold in the UK market, which was overpriced when the UK joined the European Community in 1973.

“The UK is a very high-quality market. This is a very good opportunity for our high-quality beef products. London, in particular, has great potential for expansion.” Killen said.

AACo owns and operates 7 million hectares of farmland, feedlots and properties, which will cover nearly a quarter of the land in the UK. The sheer size of Australian beef producers—AACo has 340,000 cattle—is one of the reasons why British farmers are opposed to providing tariffs and quota-free access to the British market.

Under the current trade system, Australian beef exporters will levy a 12% tariff on beef products. According to the reduction, the surcharge per kilogram is between 1.40 and 2.50 pounds, and the annual quota is 3,761 tons.

British farmers also raised concerns about Australia’s agricultural standards, and about 40% of cattle use hormone growth promoters. These products are banned in the United Kingdom and the European Union.

Keeling said that hormones will not cause problems because most Australian farmers do not use them for export, and neither does AACo. He added that Australia’s agricultural standards are high.

Australian Minister of Agriculture David Littleproud rejected the concerns of British farmers, calling it protectionism.

He said: “Australia’s production system is different from that of the UK. Comparing animal welfare standards is like comparing apples to oranges. Considering the subsidies enjoyed by British farmers, this is not the basis of protectionism.”

The Australian National Farmers Federation stated that beef farmers in the country did not pose a threat to the livelihoods of British farmers and pointed out that the current export volume is small.

“The purpose of any free trade agreement is to provide options for both parties. Australian red meat producers want to choose to export to the UK when the UK needs it,” said NFF Chairman Fiona Simson.


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