Australian red meat industry expectant on benefits of JAEPA

The Australian red meat industry has said it expects to realise significant benefits from the signing of the Japan-Australia Economic Agreement (JAEPA) in Canberra this week.

The trade deal was agreed on 8 April, and will give Australia greater access to a number of Japan’s key agricultural markets, particularly beef.

Under the new trade partnership, the tariffs on frozen Australian beef entering Japan will be lowered from 38.5% to 19.5% over the next 18 years – with an 8% cut in year one. While tariffs on chilled beef will be reduced from 38.5% to 23.5% over a 15-year period, with an initial 6% cut in year one.

Lachie Hart, chairman of the Australian Beef Industry Japan EPA Taskforce, said: "Independent modelling suggests the JAEPA will benefit Australian beef export sales to the tune of $5.5 billion over 20 years and thereby deliver an increase in the annual gross value of Australian beef production by up to 7%."

He said the reduction in tariffs would provide Australian beef with a "useful preferential tariff advantage" over other imported beef suppliers into the market.

Hart added:"Our industry continues to seek the elimination of all global import tariffs – including those which Japan will maintain on our products. Additional trade reform with Japan, involving potential gains from the current Trans-Pacific Partnership and Regional Comprehensive Economic Partnership negotiations, will be vigorously pursued."