Local agribusiness to benefit from Korea - Australia Fair Trade agreement

Federal Member for Pearce Christian Porter has welcomed the Coalition Government’s public release of the full text of Australia’s free trade agreement with Korea (KAFTA) today.

 “This free trade agreement will bring immediate gains for local Pearce exporters and importers,” Mr Porter said.

 “On entry-into-force, 84 per cent (by value) of exports to Korea will enter duty free. After full implementation, the agreement will eliminate tariffs on 99.8 per cent of our exports.

 “Local farmers will see prohibitive tariffs of up to 550 per cent eliminated across a vast array of agricultural products such as beef, sugar, dairy, wheat, wine, horticulture and seafood.

 “As a primary producing electorate our agribusiness will benefit from such changes as Korea’s immediate elimination of the 15 per cent tariff on Australian wine on entry into force; the elimination of the 1.8 per cent tariff on wheat and 8 per cent tariff on wheat gluten on entry into force; and the elimination of the high tariffs fresh table grapes during our exporting seasons.”

 Mr Porter said the agreement forms part of the Coalition Government’s ambitious trade and investment agenda to support sustainable growth and job creation in local communities.

 “Korea is Western Australia’s third largest trading partner, with exports totalling about $8.9billion in 2012/13,” he said.

 “The free trade agreement will not only benefit existing local exporters and importers in Pearce but also provide opportunities for major new investment between our two countries.”

The Australian and Korean Governments hope to formally sign the agreement within four months.  It will then undergo parliamentary scrutiny before ‘entering into force.

The full text of the Korea-Australia FTA can accessed on the Department of Foreign Affairs and Trade website: www.dfat.gov.au/fta/kafta/