The United Kingdom and Australia have agreed on broad terms for a free trade agreement, which is expected to become a model for Brexit trade policy with Britain.
Prime Minister Boris John Onson և Scott Morrison is set to announce an agreement in principle on Tuesday, despite concerns raised by farmers in both countries about elements of the deal.
British farmers are afraid Concessions to allow Australian beef, lamb and sugar duty-free imports from quotas will cause serious damage to domestic agriculture. They are also concerned about welfare standards in Australia, including the use of hormones by some beef producers.
At the same time, farmers in Australia have warned that proposals to exempt British backpackers from the need to farm while extending their visas will exacerbate labor shortages, hurting the sector.
John Onson և Morrison negotiated the broad terms of the contract “An official announcement will be made during a dinner on Downing Street on Monday evening,” officials told the Financial Times.
“Both prime ministers had a positive meeting overnight in London, resolving unresolved issues related to the FTA,” said Australian Commerce Minister Dan Tehan on Tuesday.
“Their agreement is a profit for jobs and business [and] “Free trade is what’s achieved when two liberal democracies work together.”
If the trade deal could be signed by the end of the year, it would be the first major bilateral agreement to be fully negotiated by the UK since leaving the EU in January 2020. The deals were announced Aponia և: Norway They were built on existing agreements negotiated before the UK became a member of the EU.
Mark Melatos, an associate professor at the University of Sydney, said the Australian agreement was significant for Britain, but double-edged sword,
“On the one hand, it shows that the UK can conclude bilateral trade agreements after Brexit, albeit with a very close friend, Australia. “This is possible for political optics,” he said.
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“On the other hand, this deal sets a precedent for more likely future deals that the UK is negotiating. “Any concessions made to Australia now will pave the way for further negotiations with the United States and the European Union.”
The Australian Agricultural Company, the largest exporter of beef, has predicted a tenfold increase in beef exports in case of zero tariff agreement with Great Britain.
But Australian farmers have objected to a British request to remove backpackers in the UK from being required to extend their work leave visas for at least 88 days on farms.
Australian Agriculture Minister David LittlePrud said on Tuesday that Canberra would introduce mechanisms for about 10,000 British backpackers working in Australia’s agricultural sector if they were to be replaced by alternative labor if required by the deal.
The government estimates that in 15 years the value of the free trade deal with Australia will be an additional 0.01-0.02% of gross domestic product, or-200-500 million more than the 2018 level.
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