TARIFFS on Australian beef exports to South Korea have dropped from 40 percent to 26.6 percent after a fifth round of tariff reductions under the Korea Australia Free Trade Agreement (KAFTA) took effect from January 1.
The Cattle Council of Australia said the KAFTA, implemented in 2014, had substantially liberalised Australia’s trade with Korea, which is Australia’s third-largest beef market, importing 109,000 tonnes of Australian beef in 2017.
“KAFTA is a success story for the Australian beef sector as it provides producers with greater access to one of Australia’s most important international trade markets,” CCA president Howard Smith said.
Mr Smith said the council acknowledged the Department of Agriculture and Water Resources and the Department of Foreign Affairs and Trade and Industry for their continued efforts in developing the FTA.
When the 15-year rollout of KAFTA is complete on 1 January 1, 2028, 98 per cent of Australia’s agricultural exports to Korea will face zero tariffs.
Australia and the US continue to vie for the largest share of Korea’s import beef market – for more details see our earlier December 2017 article here