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Free Trade Agreement Negotiations: Australia
17 June 2021
Lead MP
Elizabeth Truss
Debate Type
Ministerial Statement
Tags
EconomyClimateBrexitBusiness & TradeAgriculture & Rural AffairsWomen & EqualitiesStandards & EthicsChildren & Families
Other Contributors: 35
At a Glance
Elizabeth Truss raised concerns about free trade agreement negotiations: australia in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Government Statement
EconomyClimateBrexitBusiness & TradeAgriculture & Rural AffairsWomen & EqualitiesStandards & EthicsChildren & Families
Government Statement
The Secretary of State for International Trade announces the UK's new free trade agreement with Australia, which marks a significant step forward in the UK's trading capabilities post-Brexit. The deal offers zero-tariff access to Australian markets for all British goods and enhanced provisions for digital and services sectors. It includes benefits such as tariff-free export opportunities worth £4.3 billion from products like Scotch whisky and Stoke-on-Trent ceramics, facilitating smoother travel conditions for young Brits under 35 who wish to live and work in Australia. The agreement also covers procurement deals with billions of pounds in Government contracts and sets high standards for animal welfare, climate change, gender equality, and development. A key component is the transition period for agriculture imports from Australia over fifteen years until 2036, safeguarding British farmers' interests while fostering growth into CPTPP markets. The deal's economic impact assessment will be presented to Parliament alongside the full treaty text. This agreement underscores Britain’s commitment to free trade and future-oriented policies.
George Eustice
Con
Camborne and Redruth
Question
The Secretary of State mentioned that there is a period where tariffs will be phased in over fifteen years. Could she confirm exactly what level of Australian beef imports we are expecting to see next year?
Minister reply
We do not expect any significant increase in the amount of Australian beef imported into Britain because it is already subject to high tariffs and there is little demand for lower-quality products such as grass-fed beef from Australia. The deal allows us tariff-free access to Australian markets, which includes opportunities for British farmers to export their products.
Caroline Lucas
Green
Brighton Pavilion
Question
The agreement has been criticised by some for being too soft on animal welfare and food safety standards. Can the Secretary of State confirm that these areas have been prioritised in the negotiations?
Minister reply
Our deal includes a chapter on animal welfare, which is unique in an Australian trade agreement and sets high standards to protect British farmers' practices while ensuring free trade opportunities for our industries.
Chris Leslie
Lab
Nottingham East
Question
The shadow Secretary of State spoke about the potential negative impacts on UK beef producers. Could the Minister provide an assurance that there is nothing in this agreement that would prevent the UK from taking future action to protect our farmers?
Minister reply
Absolutely, under the deal, we retain full sovereign control over tariffs and can take protective measures if necessary, but such actions are unlikely given the current market conditions and benefits of zero-tariff access.
Guildford
Question
The agreement with Australia includes a provision to facilitate mobility for young Brits. Can you provide more details on how this will work in practice?
Minister reply
Young people under 35 can now live and work in Australia for up to three years without needing a job offer or sponsorship, which is an improvement over previous arrangements with other countries.
Emily Thornberry
Lab
Islington South and Finsbury
Question
Questions the Secretary of State on the UK-Australia trade deal, focusing heavily on agriculture, including beef imports and farmers' welfare. Criticises past commitments broken by the Minister.
Minister reply
Defends the Australia deal against criticism from Labour, highlighting tariff-free access for all British goods, benefits for under-35s in living and working in Australia, digital and services trade opportunities. The cap on Australian beef exports to the UK will be 35,000 tonnes, a mere 15% of current EU imports, not the same as EU access until 2036. Defends animal welfare standards in Australia compared to the EU.
Roger Gale
Con
Herne Bay and Sandwich
Question
Questions about parliamentary scrutiny of the deal, confirming if there will be a vote on it, when the Trade and Agriculture Commission will be functioning fully and when impact assessments will be published.
Minister reply
Confirming that the agreement will go through Parliamentary scrutiny via the International Trade Committee and Environment, Food and Rural Affairs Chairman for review. It will then go through the Constitutional Reform and Governance Act process where MPs can block it if they do not support it.
Drew Hendry
SNP
Inverness N and Highlands W
Question
I thank the Secretary of State for advance sight of her statement. The deal with Australia cannot make a dent in the shortfall created by leaving the EU, which has cost Scotland’s economy around £4 billion and is projected to cost every person £1,600 in red tape and barriers to trade. Can the Secretary of State guarantee that the deal does not include investor-state dispute settlement mechanisms (ISDS) that could lead to the privatisation of public services such as the NHS? Will she also ensure that no hormone-injected beef from Australia will appear on our supermarket shelves?
Minister reply
I can confirm that ISDS is not part of our trade agreement with Australia, and I assure the hon. Gentleman that no hormone-injected beef will be allowed into the UK.
Jacob Young
Con
Heywood and Middleton
Question
G’day Mr Speaker. Will my right hon. Friend confirm that this trade deal will mean simpler trade for chemicals, cars and steel; cheaper prices for constituents; and easier travel to and from Australia?
Minister reply
My hon. Friend is absolutely right: Teesside is set to benefit from this deal with the removal of tariffs on products such as steel and chemicals, no British product will face tariffs into Australia, and the tariff on cars will be removed.
Angus MacNeil
SNP
Na h-Eileanan an Iar
Question
Tapadh leat Mr Speaker. The deal is seen as risky for farming with more quantities of beef, sugar, lamb, cheese and dairy products arriving from Australia than ever arrived in any year from the EU. Will the International Trade Secretary appear before our Select Committee to discuss the issues before she signs the deal?
Minister reply
I will appear in front of his Committee to answer questions prior to the signing and I am very happy to give him any kind of briefing.
David Jones
Con
Clwyd West
Question
May I congratulate my right hon. Friend on securing this agreement? Will she confirm that there will be no reduction in food standards allowed for sale on the British market and invite those organisations to work with her Department to secure the best possible outcome of the agreement?
Minister reply
I welcome the opportunity to work with the farming industry, including talking to the National Farmers Union about how we can promote British exports.
Sarah Olney
Lib Dem
Richmond Park
Question
How will this deal help the UK reduce its carbon emissions in international trade and achieve their net zero goals by 2030?
Minister reply
This is the first that Australia has signed that has specific references to achieving our climate change objectives, working very closely with the Australian Government.
Duncan Baker
Con
Wycombe
Question
While the doubters are still stuck in the past, can my right hon. Friend reconfirm not only that this free trade agreement paves the way to CPTPP membership for the UK, but that membership of the CPTPP would provide untold opportunities for our businesses by opening up access to 11 Pacific markets worth £9 trillion?
Minister reply
We are expecting trade with those 11 countries to grow by 65% by 2030 and this deal is a huge opportunity for the United Kingdom as it covers market access negotiations for CPTPP.
Mick Whitley
Con
Cynon
Question
Investor-state dispute settlement clauses allow multinational corporations to take sovereign Governments to court simply for acting in the best interests of their citizens. Will the Minister reassure the House that investor-state dispute settlement clauses will be excluded from the UK-Australia negotiations and guarantee a full debate and meaningful vote for MPs on this and all future agreements?
Minister reply
I disagree with the hon. Gentleman’s characterisation of ISDS; there is not an ISDS clause in the Australia trade deal.
James Davies
Lab Co-op
Rhondda
Question
The Snowdonia Cheese Company, based in Rhyl and expanding significantly, benefits from the UK-Australia trade deal due to reduced tariffs. Will the Secretary of State visit Rhyl to celebrate this success?
Minister reply
This deal removes an 11% tariff on products like Snowdonia cheese, and I would be delighted to visit the company to celebrate its success. The deal is a model for other UK food companies looking to expand overseas.
Kate Osamor
Lab Co-op
Edmonton and Winchmore Hill
Question
There are concerns about the precedent this trade deal sets for future deals with New Zealand, the United States, Brazil, and Canada. Will an impact assessment be published regarding these potential agreements?
Minister reply
This deal does not set a precedent; Australia is liberalising its entire market across goods, services, digital, and mobility sectors. Different agreements will depend on how much other partners are willing to open their markets.
Dehenna Davison
Con
Barking
Question
This trade deal represents the UK's first major post-Brexit agreement, showcasing our ability as a sovereign trading nation. How does this align with the Government's vision for delivering benefits across the country?
Minister reply
The deal offers complete tariff-free access for British goods and mobility opportunities for young people up to 35 years old without restrictions. It sets a precedent for future agreements post-Brexit.
Central Ayrshire
Question
Australia continues to allow antibiotics as growth promoters, raising concerns about the import of such meat into the UK. How will this deal protect Scotland’s high food standards?
Minister reply
The deal does not lower our food import standards; no hormone-injected beef or antibiotic-fed meat will be allowed in the UK. The Government maintains its own rules and regulations, contrary to global regulatory harmonisation.
Danny Kruger
Reform
East Wiltshire
Question
The deal offers opportunities for Devizes' farmers to export more beef overseas but concerns about cheaper imports undercutting local farmers. Can the Secretary of State reassure on this issue?
Minister reply
This deal does not undermine UK farmers; it offers huge opportunities overseas freed from the common agricultural policy, promoting animal welfare and environmental standards.
John Spellar
Lab Co-op
Ecclesall
Question
Some anti-trade lobbies are against doing deals with Australia, Canada, US, or Singapore. Have they indicated which countries the UK should do trade deals with?
Minister reply
The only country some Opposition members seem to want us to deal with is the EU. This suggests a desire for rejoining it.
Aaron Bell
Con
Newcastle-under-Lyme
Question
The deal offers cheaper wine, swimwear, and confectionery from Australia, benefiting exporters like Stoke-on-Trent ceramics firms and consumers. Can this be confirmed?
Minister reply
Yes, the deal is not a zero-sum game but provides mutual benefits for both UK and Australian businesses, increasing job opportunities and consumer choice.
Kenny MacAskill
SNP
Central Scotland
Question
Concerns about increased greenhouse gas emissions due to shipping volumes of beef and lamb from Australia. Has an assessment been made on this?
Minister reply
Scottish farmers will benefit as the deal paves way for CPTPP, a key stepping stone in global meat consumption trends by 2030.
Craig Williams
Lab Co-op
Pontypridd
Question
Welsh agriculture's confidence in this trade deal and access to CPTPP markets. Are farmers at the heart of our trade policy?
Minister reply
Farming is at the heart of our trade policy, supporting UK farmers with opportunities overseas, not just within domestic policies.
Ben Lake
PC
Ceredigion Preseli
Question
Concerns about immediate increases in tariff-rate quotas for Australian beef and lamb imports that could imperil Welsh agriculture before post-EU agricultural policies are implemented.
Minister reply
There is little current import of Australian beef, and this deal will not significantly impact UK farmers compared to existing EU exports.
Neil Hudson
Con
Epping Forest
Question
Welcomed the prospect of a productive trade agreement with Australia, but questioned whether animal welfare clauses and tariff rate quotas would be sufficient to safeguard farmers in Cumbria and beyond. Asked about the establishment of the Trade and Agriculture Commission for meaningful parliamentary scrutiny.
Minister reply
Confirmed an animal welfare chapter will be included in the agreement; published outcomes online; a 15-year transition period allowing expansion into CPTPP markets.
Question
Questioned the Minister's previous stance on EU membership and sought clarification on whether the deal would require primary legislation for parliamentary scrutiny.
Minister reply
The agreement will undergo the same parliamentary scrutiny process as the EU deal, through the Constitutional Reform and Governance Act 2010.
Question
Highlighted the benefits of free trade agreements and suggested that a debate on the Australian FTA could clarify where MPs stand on Britain's future in global trade.
Minister reply
Confirmed the deal would go through proper parliamentary scrutiny; argued against isolationism, stating it would lead to penury.
Brendan O'Hara
SNP
Argyll, Bute and South Lochaber
Question
Expressed concern about the impact on Scottish farming due to lower standards of meat imports from Australia; called for clarification on how this aligns with promises made by the government.
Minister reply
Rejected scaremongering claims, stating that UK import standards will not be reduced and that hormone-injected beef is banned.
Question
Congratulated the Minister on securing an excellent deal with Australia; asked if this augurs well for CPTPP accession.
Minister reply
Agreed, stating that the UK will continue negotiating other free trade agreements worldwide.
Mohammad Yasin
Lab
Bedford
Question
Asked whether tariffs on meat produced with growth-promoting antibiotics would be reduced; questioned consistency with promises to not undermine farmers.
Minister reply
Rejected low standards in Australia and clarified that import standards will not be lowered.
Question
Congratulated the Minister on securing a deal with a Commonwealth country, suggesting focus should be on strengthening ties with other Commonwealth nations.
Minister reply
Agreed to continue focusing on Commonwealth nations; also meeting New Zealand Trade Minister to progress further deals.
Question
Asked about SPS chapter of the deal and its implications for future EU veterinary agreements.
Minister reply
Clarified that both Australia and UK have independent SPS regimes; not dynamically aligning with EU’s SPS policies.
Richard Fuller
Con
North Bedfordshire
Question
Praised the deal for its strategic benefits in setting standards globally in services and asked about progress on this objective.
Minister reply
Agreed that UK and Australia will set standards together to challenge unfair trade practices around the world.
Jim Shannon
DUP
Strangford
Question
Welcomed the deal but expressed concerns for quality lamb and beef sectors in Northern Ireland; asked for assurances on maintaining high standards.
Minister reply
Confirmed more opportunities for exporting agricultural products from Northern Ireland, including into CPTPP markets.
Kevin Hollinrake
Con
Thirsk and Malton
Question
Congratulated the Minister on setting a precedent with this deal; asked about establishing a fair playing field for UK businesses.
Minister reply
Included a strong labour chapter and an SME chapter to cut red tape, ensuring more exports.
Shadow Comment
Emily Thornberry
Shadow Comment
The shadow Secretary of State criticises the UK-Australia Free Trade Agreement, highlighting breaches in promised protections for British agricultural standards. She points out numerous practices allowed in Australia but banned in Britain that will now affect imports without tariffs. Thornberry also disputes the economic benefits claimed by the minister, noting significant tariff-free allowances for beef exports from Australia that could severely impact British farmers' output and employment. She calls for a binding vote to reject the current terms and send negotiators back to secure better conditions for UK industries.
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