Trade with Australia

Answer from Anne-Marie Trevelyan

The UK signed its first “from scratch” free trade agreement with Australia on 16 December 2021. The deal is expected to increase trade with Australia by 53%. Both countries have committed to removing tariffs on a vast array of popular products, which can now be more easily traded, including eliminating tariffs on 100% of UK exports. This deal is tailored to British strengths, providing benefits for our world-class services industry, unprecedented new opportunities for UK professionals abroad, and for trading digitally.

Answer from Anne-Marie Trevelyan

First, I would like to wish the Anglesey Agricultural Society good luck with the Anglesey show, which I understand is in August. I look forward to an invitation and an excuse to pay a visit. The UK-Australia trade deal could boost Wales's economy by around £60 million. Welsh farmers will benefit from the opportunities to sell their produce in Australia, and Welsh manufacturers could benefit from new procurement opportunities and enhanced business mobility provisions. Many small businesses will also enjoy greater access to Australia.

Answer from Anne-Marie Trevelyan

The UK has secured a range of measures to safeguard our farmers, including tariff-rate quotas for a number of sensitive agricultural products, product-specific safeguards for beef and sheep meat, and a general bilateral safeguard mechanism providing a temporary safety net if an industry faces serious injury from increased imports as a direct consequence of the agreement. The NFU, Salmon Scotland and the Scotch Whisky Association are trade advisory group members which were consulted throughout negotiations and regular meetings, and we will continue to engage with the NFU and other Scottish agricultural bodies to understand the impact on the industry.

Answer from Anne-Marie Trevelyan

We have continual and regular discussions with the NFU and other agriculture bodies. As I have just said, they have been integrally involved in the discussions all way through, and I know that the ministerial team will continue to meet them. I believe that my Minister responsible for exports will be having a meeting with them next week.

Answer from Anne-Marie Trevelyan

I am disappointed that moving to having new free trade agreements with some of the great economies of the world is considered unseemly haste. We are working at pace and alongside all our UK businesses with a clear and mandated consultation process to ensure that we are pitching for the areas of business in which our businesses want to see growth. The EU market continues to be there under our fantastic markets.

Answer from Anne-Marie Trevelyan

One of the new tools in our armoury will be the trade and agriculture commissioners—experts who will be there to help UK businesses that want to take their products into new markets, including Australia. I have no doubt at all that, just as we enjoy Australian wine, we will have the opportunity to see Northern Ireland meat on the plates of the Australians.

Answer from Anne-Marie Trevelyan

Yes, I am confident that the safeguards we have brought in, which I am happy to set out again, will support the most sensitive parts of the UK farming community. They include a general bilateral safeguard mechanism that provides a safety net for all those products, staged liberalisation, tariff rate quotas and specific safeguards for beef and sheep meat, which will be there to support fantastic British produce.