Australia’s wine industry is calling for the federal government to provide more help in finding new export markets and for a fairer playing field for grape growers as the sector waits for Canberra to strike a deal with Beijing that would remove harsh tariffs of over 200 per cent.
Rotting chardonnay grapes in 2005: Australia is once again grappling with a wine glut.Recent announcements that China had removed tariffs on barley and hay have sparked optimism that the same will happen for wine. The heavy import duties came into effect in March 2021 and cut access to an export market worth $1.
“Through our trade diversification agenda, the government is actively seeking greater regional trade opportunities and pursuing free trade agreements [FTAs] to grow and improve our market access and remove barriers to trade.
“So if the industry is now saying that, if we can get back into that market ... we need to respect that, we need to work with industry about what gets them to that point.” “We are working hard to secure a similarly positive outcome for our wine producers, engaging actively with China towards a mutually agreed resolution of our wine dispute. A full resumption of trade would benefit both Australia and China,” a DFAT spokesperson said.
“We’ve got wineries that have signed, and a lot of them haven’t signed. It’s a different kettle of fish, how they work with growers,” Brombal said. “At least if we’ve got the mandatory code, every grower will be treated exactly the same between one winery to another winery, and we want growers to be treated pretty well equal.”A mandatory code would mean an independent arbitrator would be able to mediate disputes between growers and wineries and shorter payment terms.
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