THE National Farmers’ Federation has expressed profound disappointment in the United States’ decision to impose a 10 per cent tariff on all Australian exports.
The United States and Australia have a deep and multi-faceted agricultural relationship underpinned by the Australia-United States Free Trade Agreement, which sees zero tariffs applied to two-way trade between the nations, NFF president David Jochinke said.
“This decision is a disappointing step backward for our nations and for the global economy,” Mr Jochinke said.
Mr Jochinke spoke with Prime Minister Anthony Albanese today, outlining that the sector does not support the introduction of reciprocal tariffs and supports the Government in standing firm in defence of Australia’s science-based biosecurity framework.
“The Australian agricultural industry supports a considered and measured approach to negotiations with the United States and will work closely with the Government and all sides of politics to seek a resolution to this issue,” Mr Jochinke said.
“The NFF has long championed free and fair trade, not just for agriculture but all industries, recognising its role in global economic growth and stability. Australian agriculture is unwavering in its commitment to this.
“Australian producers are resilient in the face of challenges. Being among the least subsidised farmers in the world has seen the sector become highly efficient and productive.
“While this decision creates unnecessary uncertainty, we remain confident in the strength of Australian agriculture. Our products are sought after worldwide for their quality, sustainability, and reliability.
“We will continue working closely with the Australian Government to ensure that our sector’s trade interests are protected. That includes strengthening our market access efforts to ensure Australian producers have every opportunity to succeed,” he said.
The NFF welcomes the Government’s $50 million commitment to help affected sectors diversity markets and will seek clarity on how the funding will be delivered.
“We remain steadfast in our commitment to work with our members and Government on securing the best long-term result for Australian farmers,” Mr Jochinke said.
Key aspects of the relationship include:
The United States is a multi-billion dollar investor in Australian agriculture, owning and leasing about 2 million hectares of Australian agricultural land;
Australia imports $2.5 billion AUD worth of United States’ food and agricultural products annually;
Australian producers import significant amounts of United States crop science, genetics, agricultural innovation and insurance products;
Australian producers import about $400 million worth of farm machinery from the United States per year; and
Industry-to-industry links built over generations.
