More Australian meat and vegetables on UAE table after first free trade deal

Australia has signed its first free trade agreement with the Middle East, the United Arab Emirates (UAE), a major agreement that will boost profits in our largest export market for vegetables, as well as one of our fast-growing trading partners for red meat.

Trade Minister Don Farrell said the deal would deliver “real benefits to Australian farmers and food producers” and would save an estimated $50 million a year in tariffs on domestic food and agricultural exports.

Michael Coote, chief executive of horticulture industry group AUSVEG, said the project would help vegetable producers increase exports to the Middle East.

“The UAE is a key long-term trading partner for our industry,” he said.

“We export over 40,000 tonnes of vegetables to the UAE every year – it is our largest export market in terms of volume.

“This includes around 33,000 tonnes of carrots, 4,200 tonnes of onions and almost 2,000 tonnes of potatoes.”

Bunches of carrots. — Australia sends around 33,000 tonnes of carrots to the United Arab Emirates every year. (ABC North Coast: Renata Gombac)

Profit for producers

Mr Coote said significant trade agreements were benefiting Australian growers who would be able to begin increasing production to meet international demand.

“It’s now an open market for Australian vegetable exporters to source their produce, which is what we were hoping for when we entered into this agreement,” he said.

“We have put a lot of time and effort, both as an industry and as individual vegetable exporters, into developing the UAE market and now that it has been strengthened through this trade agreement, we should have no obstacles in maintaining and growing this market.

“In fact, we export vegetables to almost 50 different international markets, and the UAE is the largest, so we are particularly pleased with the government’s efforts to get this trade agreement done and to do it quickly.”

Commerce Minister Don Farrell and UAE Trade Minister Thani bin Ahmed Al Zeyoudi dressed in traditional UAE attire. — Trade Minister Don Farrell and his UAE counterpart Thani bin Ahmed Al Zeyoudi. (Provided by: DFAT)

Patrick Hutchinson, CEO of the Australian Meat Industry Council (AMIC), said the removal of tariffs on red meat puts the industry in a strong position to continue to grow in the region.

“We see huge opportunities across the market, particularly in sheepmeat, but also high-quality beef and veal,” he said.

“What we’ve seen this year in Abu Dhabi and Dubai, certainly in lamb, we’re exporting (more than last year). In lamb in those markets, certainly in Dubai, we’re well above where we were this time last year, and also in beef in both of those markets.

“And 33 tons of goat meat ended up in Abu Dhabi, which has never happened before.”

Mr Hutchinson said neighbouring countries such as Egypt, Kuwait and Qatar had seen an increase in interest in Australian red meat, while Saudi Arabia had increased lamb imports to Australia “by 50 per cent year-on-year”.

“This government and subsequent governments have explored the possibility of a comprehensive free trade agreement within the framework of the Gulf Cooperation Council (GCC), but there is no chance of that happening,” he said.

“It shows that we can have trade agreements with countries in the region, strong engagement between countries and it can be a stepping stone for us to explore further individual opportunities in the region.”

Three cuts of red meat including Angus, Wagyu and lamb. — AMIC says the Middle East region is dominated by high-quality cuts of meat — lamb, Angus beef and Wagyu beef. (Provided by: MLA)

Improving animal welfare

Australian Alliance for Animals policy director Jed Goodfellow said the agreement set a global precedent as it was the first time a Middle Eastern country had included animal welfare in an international trade agreement.

The Comprehensive Economic Partnership Agreement (CEPA) promotes cooperation on animal welfare, including a strong commitment by both countries to further improve animal welfare protection.

“This is something the Australian Government can be really proud of – it’s a great example of how Australia can have a positive impact on global animal welfare standards,” Dr Goodfellow said.

“We are very pleased that animal welfare is being recognised at this level and hope that the Australian Government will continue this pioneering role on animal welfare in negotiating future trade agreements.”

A pen of lambs at the market. — An unprecedented international trade agreement recognising animal welfare in the Middle East. (ABC Rural: Fiona Broom)

Mr Hutchinson said that in addition to the benefits such trade commitments bring to Australian farmers, they also foster educational exchange on issues such as animal welfare.

“If the UAE wants to learn from us, we are always happy to share information on improving animal welfare,” he said.

“We work with industry associations and governments around the world on these types of issues, but also to advance trade and rural development around the world.

“We are leaders in these areas and we have no intention of stopping any time soon.”