Dairy farmers require liberalisation through trade arrangements to maintain and increase farm-gate returns. These actions include both formal trade agreements and support in removing potential trade barriers within destination markets.
While market conditions have improved for dairy farmers nationally, there is still progress to be made and opportunities for greater liberalisation.
The Australian dairy industry exports approximately 40 per cent of its milk production and the farm-gate price, in export states such as Victoria and Tasmania, is directly affected by world market conditions. Inability to competitively access key markets is a major limitation to the future growth and profitability of the Australian dairy industry.
- Implement and protect existing free trade agreements, including the China-Australia free trade agreement to ensure Australia’s dairy industry receives the benefits.
- Conclude further bilateral and multilateral trade agreements such as the Trans-Pacific Partnership, to provide genuine liberalisation of trade and commercially meaningful opportunities for Australian dairy.
- Increase the number of Agricultural Counsellor postings to help remove barriers to trade (including non-tariff barriers) in key international markets such as Vietnam, the Philippines and Saudi Arabia.