Tariffs axed for Aussie farmers exporting to the UAE

The signing of the Australia – United Arab Emirates Comprehensive Economic Partnership Agreement (CEPA) paves the way for the elimination of tariffs on Australia’s key agricultural exports to the United Arab Emirates (UAE) and solidifies both countries’ intent to drive investment in the sector.

This trade agreement builds on the Albanese Labor Government’s trade wins for Australian farmers, creating new opportunities for exporters to diversify and expand their markets.

The deal eliminates tariffs on over 99 per cent of Australia’s exports to the UAE, including on key products like meat, dairy, grains and oilseeds, chickpeas, lentils, nuts, horticulture and honey.

Australian farmers and producers will benefit from an estimated $50 million annually in tariff savings alone.

Canola seeds are Australia’s largest agriculture export to the UAE, topping $741 million in 2023; and our red meat exports to the UAE were worth over $480 million in 2023.  Australian exporters of these products will receive duty-free access from day one of the deal coming into force.

The deal establishes modern, flexible and trade-facilitating outcomes with the UAE on rules of origin and commitments for customs procedures. These conditions, combined with the removal of tariffs, create commercially significant benefits for Australian exporters.

Significantly, the deal contains Australia’s first standalone chapter on sustainable agriculture and food systems. 

This recognises agriculture’s essential role in ensuring food security and driving climate resilience, emissions reductions and other environmental outcomes, while also ensuring that sustainability measures are not applied with a ‘one-size-fits-all’ approach or create barriers to trade.  

The trade and investment package includes an MOU for cooperation in Food and Agriculture investment.   

Details of the outcomes, including independent modelling and key benefits to agricultural businesses and Australia more broadly are published on the DFAT website: Australia-UAE Comprehensive Economic Partnership Agreement (CEPA)

Quotes attributable to Minister for Trade and Tourism, Senator the Hon Don Farrell:

"The Albanese Government is delivering on its commitment to open up new opportunities for our exporters, farmers, producers and businesses to diversify their markets.

"The UAE is an important export market for Australian products - it’s our largest market in the Middle East, with two-way trade valued at $9.9 billion in 2023. The UAE also acts a distribution hub for the Gulf region.

"This is a great deal for Australian farmers and producers – over 99 percent of Australian products will enter the UAE tariff free.

"This deal means more than just numbers. Every product we export to the world translates to thousands of Australian jobs."

Quotes attributable to Minister for Agriculture, Fisheries and Forestry, Julie Collins MP: 

"The Australia-UAE FTA is an excellent outcome for the Australian agriculture, fisheries and forestry sector, saving industry $50 million a year.

"It further enhances market access and diversification opportunities for our producers to an extremely lucrative market, not only in the UAE but across the whole of the Middle East as the UAE is an important trading hub for the region.

"I am proud to say that it is the first FTA to contain a standalone chapter on sustainable agriculture and food systems, recognising agriculture’s essential role in ensuring food security, driving climate resilience, emissions reductions and other environmental outcomes. It also ensures that sustainability measures are not applied with a “one-size fits all approach” and do not create barriers to trade for our world class agricultural exports.

"In 2023-24, Australia exported over 70 per cent of its agricultural, fisheries and forestry production to 169 markets globally – the most diversified trade has ever been.  This is thanks to our Government."