ITC examines impact of UK/Australia FTA with concerns raised over cheaply produced meat

ITC examines impact of UK/Australia FTA with concerns raised over cheaply produced meat

The International Trade Committee heard this week from the Trade and Agriculture Commission (TAC) and a range of representatives from the UK agriculture, food and drink sectors on how a UK/Australia Free Trade Agreement (FTA) will impact these industries.

Handshake in front of Australian flag

The International Trade Committee heard from Professor Lorand Bartels, MBE, the chairman of the Trade and Agriculture Committee (TAC) on its assessment of the future trade deal. It also heard from a panel of producers and others involved in the agri-food industry on their predictions for how the deal will impact the UK industry.

Commenting on the hearing, the British Meat Processors Association BMPA said it noticed “a distinct split in opinions.”

Professor Bartels said the TAC concluded that: “Ultimately the FTA does not make life difficult for UK agricultural producers in the way that was very much feared” and that “there isn’t all that much to worry about”, either surrounding standards or competition.

However, the panel pointed to the weakness of the built-in ‘safeguards’ which open the door to much higher volumes of more cheaply produced meat in the not too distant future. It was pointed out that the safeguards become less effective as successive liberal trade deals (NZ for example) add cumulative pressure to British producers.

Chief executive of BMPA Nick Allen told Meat Management: “We still find it very bizarre that these discussions all take place in retrospect, after the deal is struck. A feature of all the really successful international trading nations is that they work closely with industry before and during the negotiations to get the maximum national benefit. There is much to learn with regard to Government and industry collaborating.”

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