AUSTRALIA | A recent agreement between the Australian and UAE Governments has eliminated tariffs on key agricultural and food product exports.
The signing of the Australia—United Arab Emirates Comprehensive Economic Partnership Agreement (CEPA) has paved the way for the elimination of tariffs on Australia’s key agricultural exports to the United Arab Emirates (UAE) and solidified both countries’ intent to drive investment in the sector.
This trade agreement builds on the Albanese Labor Government’s trade wins for Australian farmers, creating new opportunities for exporters to diversify and expand their markets.
The deal eliminates tariffs on over 99 per cent of Australia’s exports to the UAE, including on key products like meat, dairy, grains and oilseeds, chickpeas, lentils, nuts, horticulture and honey.
Minister for Trade and Tourism, Senator Don Farrell said that the Government had delivered on its commitment to open up new opportunities for exporters, farmers, producers and businesses to diversify their markets.
“The UAE is an important export market for Australian products - it’s our largest market in the Middle East, with two-way trade valued at AUD $9.9 billion in 2023. The UAE also acts a distribution hub for the Gulf region,” said Farrell.
“This is a great deal for Australian farmers and producers – over 99 percent of Australian products will enter the UAE tariff free. This deal means more than just numbers. Every product we export to the world translates to thousands of Australian jobs.”
Australian farmers and producers will benefit from an estimated AUD $50 million annually in tariff savings alone.
Canola seeds are Australia’s largest agriculture export to the UAE, topping AUD $741 million in 2023; and our red meat exports to the UAE were worth over AUD $480 million in 2023. Australian exporters of these products will receive duty-free access from day one of the deal coming into force.
The deal establishes modern, flexible and trade-facilitating outcomes with the UAE on rules of origin and commitments for customs procedures. These conditions, combined with the removal of tariffs, create commercially significant benefits for Australian exporters.
Significantly, the deal contains Australia’s first standalone chapter on sustainable agriculture and food systems.
This recognised agriculture’s essential role in ensuring food security and driving climate resilience, emissions reductions and other environmental outcomes, while also ensuring that sustainability measures are not applied with a ‘one-size-fits-all’ approach or create barriers to trade.
The trade and investment package includes an MOU for cooperation in Food and Agriculture investment.
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