Strong Year Ahead for Aussie Farmers: Improved Market Access and Trade Agreements

Aussie farmers are in for a strong year of exports in 2024, with improved market access and tariff rate cuts providing new opportunities for produce to be sent overseas. Australia's network of Free Trade Agreements (FTAs) has already delivered new and valuable opportunities for various agricultural industries, including red meat, grain, horticulture, and more. The Albanese Government will continue to press for trade opportunities in 2024, with a focus on diversifying into new markets. Agricultural export values are forecast to reach $67 billion in 2023-24, with recent rains expected to drive that forecast even higher.

Key Takeaways:

The Australian Minister for Agriculture, Fisheries and Forestry announced 2024 as a strong year for Aussie farmers, with improved market access and tariff rate cuts providing new opportunities for exports.
Australia's network of FTAs has already delivered new and valuable opportunities for various agricultural industries, including red meat, grain, horticulture, and more.
The Albanese Government will continue to press for trade opportunities in 2024, with a focus on diversifying into new markets, particularly in the United Arab Emirates, India, and the United Kingdom.
Agricultural export values are forecast to reach $67 billion in 2023-24, with recent rains expected to drive that forecast even higher.
The Australian Government is committed to supporting the agricultural industry reach its $100 billion production goal by 2030.
Minister for Agriculture, Fisheries and Forestry, Murray Watt, highlighted the importance of regional communities and local jobs in the agriculture industry.
The Albanese Government is committed to developing strong international relationships, with tariff reductions and larger tariff-free quotas on key agriculture commodities under Australia's FTAs delivering commercially significant export diversification opportunities for producers.
Examples of successful trade agreements include the Australia-United Kingdom FTA, which has seen a significant increase in beef and sheep meat exports; the Korea Australia Free Trade Agreement (KAFTA), which has supported the competitiveness of Australian beef; and the China-Australia Free Trade Agreement (ChAFTA), which has reduced tariffs to zero for certain products.
The Australia-India Economic Cooperation and Trade Agreement (ECTA) has increased Australian exports for various agriculture products to India, with almond exports increasing by 124% and orange and mandarin exports increasing by 169% in the 12 months to October 2023.

Statistics:

Agricultural export values forecast to reach $67 billion in 2023-24.
Recent rains expected to drive agricultural export values forecast even higher.
Sheep meat exports to the UK valued at $31 million in the third quarter of 2023, a 34.5% increase compared to the same quarter in 2022.
Beef exports to the UK increased nearly four-fold from $4.2 million to $16.6 million in the third quarter of 2023.
Australian tomatoes are now for sale in major UK retail outlets for the first time, following horticulture tariff reductions.
Beef tariffs under the Korea Australia Free Trade Agreement (KAFTA) will fall to 10.6% from January 1, 2024, down from 13.3% in 2023.
Almond exports to India in January-October 2023 were 124% higher than the same period in 2022.
Orange and mandarin exports to India in January-October 2023 increased by 169% over the same period.
Broad beans exports to India in January-October 2023 increased by 264% over the same period.
Roundwood exports to India in January-October 2023 increased by 120% over the same period.
Seafood exports to India in January-October 2023 increased by 138% over the same period.

Sources:

Minister for Agriculture, Fisheries and Forestry media release, January 3, 2024.
Department of Agriculture, Water and the Environment, January 3, 2024.
Australian Government, www.agriculture.gov.au.