The United Kingdom and Australia have agreed upon a new trade deal in the post Brexit period. Scott Morrison and Boris Johnson have confirmed the same.
Downing Street said that the new agreement means that the UK’s products such as cars, whiskey, cookies, and ceramics are going to be and would be cheaper to sell in Australia.
First Deal Since UK Left The EU
However, in the UK farmers fear that they will be cut back because of the price and the standard of the harvest coming in from Australia.
The deal was one of the first to be built from scratch since the UK has left the European Union in what was called Brexit.
This is seen as a major step forward in the direction of the UK’s accession to the wider Asia-Pacific Free Trade Agreement.
“With our new free-trade agreement, we are certain it opens up some great opportunities for British businesses and consumers, as well as for young people who want to work and live on the other side of the world.”
What Are The Concerns?
However, Dominic Gaudi who is the head of the international trade of food and beverages federation has expressed his concerns about the lack of more detailed information.
“It’s very important that we know the details of what was agreed upon in order to assist companies to understand and prepare for the new conditions of the market,” he said.
“The conditions agreed upon in the nee Free Trade Agreement also have to make sure that consumers are able to continue to be confident that each and every item involved the highest standard of food safety and animal welfare standards.”
How Are Farmers Protected?
Under the deal with Australia, the government says farmers will be protected by a cap on tariff-free imports for 15 years, using tariff rate quotas and other safeguards.
But some UK farmers have concerns there will be no meaningful safeguards in place to stop them being undercut by cheap imports.
Farmers in Australia are allowed to use some hormone growth promoters, pesticides, and feed additives that are banned in the UK.
