A free-trade deal between Australia and the European Union may be off the table for at least two years, after the latest round of negotiations to close off the agreement collapsed.
Trade Minister Don Farrell held talks with European counterparts at the sidelines of the G7 Trade Ministers’ meeting in Osaka, but progress on the proposed free-trade deal once again stalled.
Negotiations for a trade deal, with a key sticking point the use of geographical indicators, which would stop Australian producers being able to use terms such as feta and prosecco.
Agriculture Minister Murray Watt said it was unlikely a trade deal could be negotiated before the end of the current term of federal parliament, which is due to expire in 2025.
Our very own Trade Minister, Don Farrell, recently returned from Japan where he was engaged in talks with his EU counterparts. Unfortunately, he was unable to make a significant breakthrough. Source: AAP / Mick Tsikas
The Future of Negotiations
According to Watt, who spoke to ABC Radio on Monday, it might be a while before negotiations can resume. “It may be that we can resume negotiations, but I think that will be some time away,” he said.
He further added, “The EU elections will be next year. I can’t see them being in a position to resume negotiations before that … there’s a reason that no government has been able to reach an agreement with the EU up until now.”
The EU’s Offer
Watt also mentioned that the Europeans didn’t put a better deal on the table than the one offered up during previous stalled rounds of negotiations. This has been a sticking point in the talks, with no side willing to budge.
Australia’s Stance
The federal government has previously stated that it would be willing to walk away from negotiations if it was not in the national interest, or in the interest of Australian producers. This remains a key factor in the ongoing discussions.
“We would only enter a free-trade agreement with the EU if it was in Australia’s national interest and, in particular, if it offered new, commercially meaningful access,” the government has reiterated.
Australian Agriculture and the European Market: A Missed Opportunity
It’s a real shame, but it seems like the European market for Australian agriculture just isn’t going to happen. We’ve been working hard, making numerous concessions throughout the process, and we were ready to make even more. But, alas, it just wasn’t meant to be.
Disappointment in the Breakdown of Negotiations
As the agriculture minister, I can’t help but feel disappointed by the breakdown in negotiations. The EU, it seems, has a very firm stance when it comes to agriculture. They weren’t prepared to budge enough for it to be in our interests. It’s a tough pill to swallow, but we have to look out for our own interests first.
Opposition’s Take on the Trade Deal Collapse
Kevin Hogan, the opposition trade spokesman, also expressed his disappointment over the collapsed trade deal. “The offer for agriculture, particularly beef, sheep, and sugar, was not good enough,” Hogan said. It’s unfortunate, but it seems like we’re all on the same page here.
The Issue with Geographical Indicators
Hogan also pointed out another issue – the EU’s offer on geographical indicators. It would have been too restrictive, particularly for products like parmesan, feta, and prosecco. It’s a complex issue, but in simple terms, it just wasn’t a good deal for us.
So, here we are, back to square one. But don’t worry, we’re not giving up. We’ll keep pushing, keep negotiating, and hopefully, one day, we’ll be able to open up the European market for Australian agriculture.
Conclusion
The collapse of the latest round of negotiations for a free-trade deal between Australia and the European Union is a disappointing setback for both parties. The key sticking point concerning geographical indicators, which would restrict the use of certain terms by Australian producers, has proven to be a major obstacle in reaching an agreement. With progress stalled, Agriculture Minister Murray Watt expressed skepticism about the possibility of resuming negotiations before the EU elections next year, further delaying any potential deal.
Australia’s firm stance on only entering into a trade agreement that is in its national interest has played a significant role in the discussions. The government’s willingness to walk away if it does not serve Australian interests underscores the importance of the negotiations for the country’s agriculture sector.
While the breakdown of these negotiations is disheartening, the commitment to continuing negotiations and seeking a more favorable deal remains strong. The European market for Australian agriculture is a significant opportunity, and both sides are eager to overcome the current impasse and work toward a mutually beneficial agreement.
Photo: Freepik.com
