NAB’s Wellbeing Index rebounded solidly in the June quarter, after falling to its lowest point in the history of the survey. Pressures remain. But the effort required has eased.
Report
November 20, 2014
China-Australia Free Trade Agreement: Highlights
The China-Australia Free Trade Agreement (FTA) offers considerable potential for Australian agricultural and services firms as a result of their improved market access. Dairy, meat and horticulture stand to gain significantly while most resource exports will end up having duty free access.
- Improved access for Australian food exports – phased tariff removal on dairy, beef, sheep-meat, wine, horticulture, seafood, hides-skins-leather.
- Agreement allows discretionary barriers for beef and whole milk powder, for Australian exports above an agreed volume.
- Some industries miss out (rice, cotton, sugar) – sensitive domestic sectors in China.
- Improved access for Australian resource exports – tariff removal on coal, alumina and several other mineral ores.
- Improved market access for Australian service providers – including finance, healthcare, legal services, construction and mining services.
- Facilitates increased Chinese investment in Australia – increasing FIRB screening threshold for private sector investment projects.
- This FTA generally well received by business, unlike some previous FTAs where lack of progress in market access in key areas was criticised.
- These are all valuable initiatives but need to see more detail.
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