Free Trade Deal Opens Chinese Markets to Australian Exporters
A declaration of intent to do a landmark free trade deal was signed both by China and Australia in a deal that is more than a decade in the making. This will open up the market that is said to be worth billions to Australia and will loosen up restrictions on Chinese investments. the deal opens up Chinese markets to Australian farm exporters and in the service sectors and at the same time ease curbs on Chinese investments in Australia.
As Australia is attempting to transit from a reliance on exports of minerals to the expansion of its food and agricultural exports to a growing Asian middle class and now moves from a mining boom to a dining boom. As of the moment China is already Australia’s top trading partner and once the agreement is fully implemented Australia will finally take away the tariffs on all goods imported from China along with the majority of Australian products entering China tariff free.
The agreement gives the dairy farmers in Australia a tariff free access for four years to china’s lucrative infant formula market without the safeguard caps that restricts competitors from New Zealand. Also private companies can now make single investments of A$ 1 billion in Australia without even the need to be reviewed by a government regulator.