Australia’s free trade agreement with Japan could be signed by Monday, but dairy farmers believe the deal falls well short of expectations.
According to ABC Rural, Japan takes 19 percent of exports making it Australia’s largest dairy market.
Australian Dairy Farmers president Noel Campbell said the deal shouldn’t be signed if there’s no advantage to the local industry. "We believe that the change that's been offered is very marginal,” he said. "In year one, it's only $3-5 million. That's insignificant for the whole dairy chain, to get $3-5 million. It's nothing. We're not prepared to accept that."
In contrast, chief executive of Australian Made, Ian Harrison said it is important Australia enjoys the same access to markets that other countries with FTAs in place have.
The third Cirrus Media Industrials poll revealed that the industry is concerned about the impact of Free Trade Agreements. Over 42 percent of the respondents believed the FTAs will flood Australia with cheap goods, against which local companies can’t possibly compete. 14.2 percent of the respondents believed the FTAs will provide opportunities for local manufacturers and growers.