Slow, steady approach welcomed by dairy in the free trade race

Jul 14, 2023

The ADIC wants a fair deal for Australian dairy products exported to the EU.

The Australian dairy industry has welcomed the news that talks on the country's free trade deal with the European Union have stalled, sending a blunt message "no deal is better than a bad deal".

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Australian Dairy Industry Council chair Rick Gladigau thanked Trade Minister Don Farrell for holding the line and not accepting an inferior agreement without genuine market access concessions from the EU.

Throughout the negotiations, the EU has sought to impose geographical indications (GIs) on Australian dairy manufacturers.

If introduced, this would block Australian companies from using product names such as feta and parmesan. Such a move is expected to result in lost sales, which could cost the industry up to $95 million a year.

"The GIs claim is really just a way of facilitating greater access to the Australian market for subsidised EU product, while stifling genuine competition for Australian products,“ Mr Gladigau said.

"The claim would also impact the sales, profitability and productivity of Australian dairy businesses.

"GIs also hamper the ability of new Australian entrants to the market and goes against the Australian dairy industry's support of free and fair trade.

"The dairy industry thanks Minister Farrell, along with Agriculture Minister Murray Watt and the Department of Foreign Affairs and Trade negotiators for their genuine engagement and support to date and looks forward to continuing to work with them."

By McPherson Media Group