Trade Minister Don Farrell is poised to request the lifting of trade restrictions on Australian lobster and wine during a meeting with his Chinese counterpart, Wang Wentao, at the World Trade Organisation conference in Abu Dhabi on February 26.
Hope for tariffs to lift
The dialogue aims to address the ongoing suspensions affecting several Australian abattoirs and the anticipation of tariff removals on Australian wine, which were introduced amidst a diplomatic spat in 2020.
Farrell, expressing cautious optimism, indicated that the World Trade Organisation meeting would provide clarity on the resumption of trade, particularly for the lobster industry. He also highlighted his personal invitation to Wang, a known admirer of Australian red wine, to visit his family vineyard in South Australia's Clare Valley.
The wine industry is preparing for the potential resumption of trade with China, its most significant export market before the imposition of tariffs. The industry anticipates the lifting of wine tariffs by the end of next month, with plans underway to reconnect with the Chinese market.
Australia remained resilient
The sanctions, which were a response to Australia's call for an inquiry into the origins of COVID-19, have had a profound impact on affected industries. But economist Tim Harcourt notes that the overall Australian economy remained resilient, suggesting the sanctions may have had limited effect at a macroeconomic level.
The rock lobster industry, significantly impacted by the trade ban, eagerly awaits the removal of restrictions. Kyriakos Toumazos, representing the South Australian Northern Zone Rock Lobster Fishery, spoke of the industry's challenges and the efforts to diversify markets in the absence of access to China.
As diplomatic efforts continue to thaw relations between Australia and China, industries remain hopeful for a resolution that will allow them to rebuild and regain access to one of their most crucial markets.