Australia: Airfreight capacity is crucial to UAE's sheep meat potential

Published 2024년 9월 18일

Tridge summary

Australia has signed its first trade agreement with the Middle East, the UAE Comprehensive Economic Partnership Agreement, with the UAE being Australia's largest trade and investment partner in the Middle East. The deal aims to diversify Australian exporters into the Middle East market of 58 million people and $1.4 trillion GDP. The agreement removes tariffs on over 99% of Australian products, including agricultural products like beef, sheep meat, dairy, oil seeds, seafood, canola seeds, nuts, honey, chickpeas, and lentils, with tariff savings estimated at $50 million annually. However, airfreight capacity may limit the potential growth in sheep meat exports to the Middle East, as demand is for fresh or chilled meat which is not suitable for sea freight. The deal also includes a commitment to improve animal welfare.

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Original content

AIRFREIGHT capacity could limit the potential for Australia to take full advantage of the new economic partnership agreement with the United Arab Emirates, despite industry welcoming the deal. Trade and Tourism Minister Don Farrell announced the UAE Comprehensive Economic Partnership Agreement yesterday as Australia’s first trade agreement with the Middle East, stating it would help offset financial losses from the phaseout of live sheep exports by sea. “The UAE is not only our largest trade and investment partner in the Middle East, but it is also one of our most important strategic, diplomatic and defence partners in the region. “The deal complements our strategic relationship with the United Arab Emirates, and it’s the gateway for Australian exporters to diversify into the Middle East, with a potential market of 58 million people and a GDP of $1.4 trillion,” Mr Farrell said. “We have proven in the past that we don’t sign trade deals just for the sake of trade deals. As everyone ...

Source: Sheepcentral