The free trade agreement between Australia and the UK reached a major milestone with the Australian and UK governments finalising their Agreement in Principle. The agreement will deliver more Australian jobs and business opportunities and eliminate tariffs on dairy products over five years. According to trade minister Dan Tehan, Australia will get immediate access to a duty-free quota for cheese of 24,000t, rising in equal instalments to 48,000t in year five. For butter, there’s a further duty-free transitional quota for butter of 5,500t, rising to 11,500t in year five.
The Australian Dairy Industry Council (ADIC) says the transition quotas will give Australian exporters improved access as soon as the agreement comes into force. ADIC said improved access into markets such at the UK is important for farmer profitability and vital for the Australian dairy industry to continue to be successful.
The FTA will allow workers between the ages of 18 and 35 to remain in each country for up to three years under the working holiday maker and youth mobility schemes without being required to perform certain types of work during their stay.