The Australia-China FTA is expected to bring about a deepening of existing relationships for those exporting citrus fruit from Australia. The reduction of 11% tariff for oranges and 12% tariff for mandarins over eight years should commence from November this year, providing relevant parliamentary procedures go to plan. That means two tariff cuts will occur in time for the next export season, according to Citrus Australia CEO Judith Damiani.
Growth is assured for citrus exporters following the agreement. “China is our fastest growing and highest valued export market reaching $30 million in 2014,” she said in a statement released by Citrus Australia. “The reduction in tariffs will ease the pressure on citrus growers and allow them to focus on producing the sweet, safe and healthy citrus Chinese consumers love.”
Although the tariffs were not high for citrus growers relative to other commodity growers, Damiani says the industry is glad to be able to focus on existing cooperative relationships, and take them to the next level. Quarantine is not expected to be as big an issue for citrus either, as there was already an existing trade going from Australia to China for citrus fruit. Yesterday AHEA chair David Minnis warned that producers and exporters will still need to meet strict quarantine requirements to take advantage of the open market provided by the FTA.
For the moment Citrus Australia has confirmed its support for the FTA, and says it will do all it can to ensure tariffs for citrus growers are phased out as quickly as possible.
For more information:
Judith Damiani, CEO
Citrus Australia
Phone: +61 3 5023 6333
E-mail: admin@citrusaustralia.com.au
Website: www.citrusaustralia.com.au