FTA have benefited Australian agriculture also their competitors

Free Trade Agreements (FTAs) have significantly assisted the growth of Australian agricultural exports – red meat being one of the most benefited – in the past 20 years. Stripping quotas and tariffs out of markets, improving price competitiveness and aiding in the diversification of markets, exports and imports become more fluid.

But a global proliferation of additional global FTAs at the same time has also helped competitors to erode some of the benefits Australia has gained in shared markets as well. Around 81% of Australian agricultural exports are now destined for countries with which Australia has a preferential trade agreement, according to an ABARES Insights paper. In the 10 years to 2020, Australia signed 9 FTAs, including the most recent Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA). As at July 2020 Australia had 14 FTAs in force, 1 FTA negotiated but not in force, and 4 FTAs under negotiation (DFAT 2020d).