By continuing to use our site you are agreeing to our. According to the Department of Foreign Affairs and Trade, in the financial year 2018-2019, most of that arrived in the form of iron ore ($63.1 billion), coal ($14.1 billion) and natural gas ($16.6 billion). The Australian grains industry and the Federal Government are currently pulling out all stops to dissuade China from imposing tariffs on Australian barley as the wind-up to its anti-dumping investigation which started in late 2018. This page includes a chart with historical data for Australia Exports to China. The Western Australian Government has always maintained good relationships with China as our major trading partner, and we will be making direct contact with the Chinese Consul General on the matter. Australian producers exported about $3.16bn in unprocessed wool to China in 2018-19, which represents a larger value and industry reliance on China than barley. Tourism is Australia’s largest services export and brings in $21.6 billion a year, making up about 5.4 per cent of exports. Please try again. “If an Indonesian business said, ‘Look, we want to buy more of your coal’, I’m sure the [Australian] coal producers would deliver.”. Exports to China in Australia averaged 3188860.78 AUD THO from 1988 until 2020, reaching an all time high of 14554765.09 AUD THO in June of 2020 and a record low of 64000 AUD THO in November of 1989. Wine, cheese, meat and barley have all been caught up in trade tensions between Beijing and Canberra, but China still accounts for 80 per cent of … Prairie wheat field Worldwide wheat exports by country totaled an estimated US$38.8 billion in 2019, down by -1.2% for all wheat shippers over the five-year period starting in 2015 when global wheat exports were valued at $38.7 billion. Australian producers exported about $3.16bn in unprocessed wool to China in 2018-19, which represents a larger value and industry reliance on China than barley. Last year, China bought $1.2 billion worth of Australian wine — or more than one-third of Australia's wine exports by value. Barley exporters, faced with a $500 million hit this year after being shut out of China, have done the same thing but they are further down the road. Australian exports to China face $6 billion 'D-Day' That is, Australia can be ‘less dependent’ on China by being ‘more dependent’ on, for example, India or Indonesia,” the academics said. China has been Australia’s top agricultural export market since 2010–11. According to Wood Mackenzie, Australia's iron ore and LNG exports to China are up 8% and 9% year-to-date respectively, compared to a year ago. “As part of the Australian barley industry, CBH has received information from the Chinese Ministry of Commerce (MOFCOM) that tariffs on Australian barley are likely to be imposed as a result of its ongoing anti-dumping and countervailing duties investigations. Get The New Daily free every morning and evening. The main grains grown are wheat, barley, canola, lupins and oats. Australian wine exports to China are booming. ... China introduced hefty tariffs on Australian barley and suspended beef imports from several Australian … University of New South Wales economics professor Richard Holden said Australia’s large export dependence on China left it vulnerable to changes in the global superpower’s economic policies and market conditions. The tariffs, based on dumping and farm subsidy claims, would end Australia's $1.5 billion barley trade to China; Barley is Australia's second most valuable agriculture export to China “If China does, terrific! As for barley, at least half of the nation’s exports typically end up in the Middle Kingdom, as part of an annual trade that was worth $1.5 billion in 2018 and $915.4 million in drought-affected 2019. Rather, simply that the basic incentives businesses have to get the risk/return equation right are, for the most part, not there to the same extent for the Australian government.”. His comments come after Trade Minister Simon Birmingham told the ABC’s Insiders that his Chinese counterpart was ignoring his calls amid an escalating trade dispute over beef and barley. Its low moisture and consistent quality make Australian barley malt with characteristics familiar to barley technical specialists in China’s malting and brewing industries. Australian winemakers have reported their most valuable yearly export trade since 2007, with China spending more on a smaller volume of wine. How Joe Biden’s presidential inauguration stacks up against Donald Trump’s big day, Impeachment or not, Trump’s grip on rank-and-file Republicans is strong and unlikely to slip, Value of new home loans hits record high for second month in a row, Morrison government confusion over China will damage the economy, experts warn, The New Daily uses cookies. Ms Raynes said China imported 4.5 million tonnes of Australian barley worth $1.2 billion on average. Since the 1990s, Australia and China have built a strong relationship around barley. Beijing slapped an 80 per cent tariff on imports of a number of Australian crops, including malting barley. China is the number one market for Australian beef, accounting for about 30 per cent of exports. Destinations other than China absorbed the US export surplus prior to China terminating its anti-dumping case against the grain. Australia takes China to WTO over barley tariffs. This appears to have caught some domestic market consumers napping … Around 88 per cent of Australia’s barley exports to China come from WA. WEEKEND news that China is considering putting hefty tariffs on Australian barley has halted any writing of new business into Australia’s biggest barley market for current and new-crop business. Beijing imposed tariffs of 80% on the crop after bilateral relations deteriorated . We sell heaps of those and other things to China and benefit hugely from it.”. But he said the federal government should protect the Australian economy from these adjustments using fiscal and monetary policy, rather than pressuring businesses to diversify their exports. Confidential documents seen by The Australian Financial Review indicate that China will claim a lack of co-operation from barley growers to justify imposing a 73.6 per cent duty on Australian … Your comment will not appear until it has been moderated. China often buys around half the barley Australia exports. Photo: Paul Carmody. Australia’s chemical industry has expanded significantly in recent years, now accounting for around 3.2% of Australian exports. “If countries other than China do not want to buy our iron ore, have holidays here, buy our barley, we cannot make them,” Mr Koukoulas said on Twitter. China accounted for 60 to 70 per cent of Australia's barley exports and it bought a record of more than 6 million tonnes, worth about $1.5 billion, in 2017. Australian beef exports to China were worth $2.67 billion last year and the current ban on beef importation from five major meat processing plants is anticipated to reduce the projected $3.5bn from exports to China by around 35% this year. Breaking that down to malt and non-malting barley, around 1.3 million tonnes of malting barley, and around 4.2 million tonnes of non-malting barley are also exported each year, though these figures vary from season to season. Thermal coal, which is used to generate power, is one of Australia's top-three exports to China. Australia is comparatively export focussed with approximately 70% of the total barley crop exported annually. “At a national level, claims of being ‘too dependent’ on China for exports assume that an alternative country stands ready to buy Australian goods and services. “In terms of exports, Australian businesses selling heavily into the Chinese market stand to lose the most if that market is disrupted,” the researchers write. The tariffs are a huge blow to Australia's barley trade with China, which is understood to cover about half of all barley exports. Australia’s total exports to China were worth A$194.6 billion ($126.5 billion) in the 2017/18 fiscal year, according to official data, meaning barley is around 0.5% of the total. Western Australian barley exports to China were valued at $805 million in 2018-19. Australia exported $732 million of malting barley, $647.6 million of feed barley, and $2 million of barley seed in 2018–19. In early 2018, China announced an investigation into United States sorghum which prompted the Chinese Government to impose an import duty of 178.6 per cent on the grain. China … WA’s grain exports typically represent 40% of Australia’s total grain exports and are sold into more than 30 countries throughout the world. China’s modern malting plants have an intrinsic preference for Australian barley. In 2015–16 they surged ahead with the total value increasing by 50% to over A$419 million.Headline figures like these give the impression of a bonanza, however, business is rarely that straightforward. escalating trade dispute over beef and barley, Super funds inject $30 billion into coronavirus recovery. The yet-to-be-finalised tariffs may include a dumping margin of up to 73.6pc and a subsidy margin of up to 6.9pc for barley imported from Australia. This is a function of the drought in eastern Australia, which has diverted a big chunk of the South Australian and Western Australian crops away from export as domestic maltsters and feedgrain users paid a premium to keep grain at home. If implemented promptly, tariffs payable by Chinese importers could affect two cargoes from Western Australia already on the water. This saw China rise from 4th to the top export destination for Australian … “Like Australians, Chinese people love a beer and premium Australian malting barley is in high demand. China is banning Australian wine, copper, barley, coal, sugar, timber and lobster exports from Friday, an unconfirmed customs official notice says. In 2017/18 the WA grains industry exported wheat worth $2.83 billion and barley … They have been designed for maximum efficiency using barley with physical and processing characteristics readily available from Australia. It is understood MOFCOM may provide their final determination on, or before 19 May 2020. It means SA, WA and Victoria are likely to have big export surpluses of grain to shift from December onward. Australia's relationship with China is taking a turn for the worse, with the Asian giant lapping a hefty tariff on Australia's barley imports. “The Chinese Ministry of Commerce’s proposal to impose tariffs on Australian barley is a major blow to WA farmers. As it stands, almost a third (32.6 per cent) of Australian exports go to China. He said Argentine barley exports to China next year could reach as much as 800,000 tonnes depending on prices and the Australia-China trade relationship. Australia is comparatively export focussed with approximately 70% of the total barley crop exported annually. The academics say “there are important qualifications, however”. China and Australia do not always see eye to eye when it comes to issues including human rights, or Chinese activity in the South China Sea. Although the proposed tariff on our barley exports is linked to an 18-month-old dispute, China’s actions came after Australia called for an independent inquiry into the origins of the coronavirus – prompting calls for more economic diversification. #6 Cereals (AUD$7.1 billion) Whilst we love our Weet Bix and Fruit Loops, cereal is a top export of Australia accounting for just under 2% of all exports. Copyright © 2021 The New Daily. Australia exported $732 million of malting barley, $647.6 million of feed barley, and $2 million of barley seed in 2018–19. This is an important market for WA growers, with no ready alternatives. Our barley producers operate in a competitive global market without any trade distorting subsidies and price their products in an entirely commercial way. Consumption comes from China’s dairy and beef sectors, which are users of China’s own barley and corn crops, or imported products. Wool ($3.3b), barley ($1.5b) and beef ($1.0b) were the top three commodities exported to China. Mr Huang's comments are an indication of the risk the ban poses to Australia's long-term beef exports to China, and the damage to Chinese companies and Australian … See below for industry and government responses. Exports to China in Australia decreased to 11392061.84 AUD THO in November from 12696184.43 AUD THO in October of 2020. Industry data … This saw China rise from 4th to the top export destination for Australian beef. China has accused Australia of using subsidies to help its farmers sell barley in China at below-market prices – a practice known as “dumping” – and threatened to impose an 80 per cent import tariff on the grain as a result. Market Economics director Stephen Koukoulas said pressing Australian businesses to diversify their exports was naive as they can only sell to countries that “want to buy the stuff we make”. Value of Australian wine exports ($m) in major markets Mr Huang said Xiamen Xiangyu had also stopped importing Australian barley since China imposed tariffs and duties of up to 80 per cent following an … Demand in China for Australian beef spiked dramatically in 2019, driven in large part by African Swine Fever (ASF) and the domestic protein shortage this created. All rights reserved. Harvesting barley in November 2019 at Cascade near Esperance, WA. Your email address will not be published. Australia is … “Australian barley exporters and the Australian Government have been provided 10 days to respond to the decision.”, WA Minister for Agriculture Alannah MacTiernan. Chinese imports of Australia … Australian barley exports in 2018–19 were $1.38 billion, down 31% over the year. Although the proposed tariff on our barley exports is linked to an 18-month-old dispute, China’s actions came after Australia called for an independent inquiry into the origins of the coronavirus – prompting calls for more economic diversification. For the year to March, it worked out to be about 130 million litres. The precarious relationship between the US as a long-term ally of Australia and China may have some effect on China’s response to historic pricing of Australian barley. Call 1800 900 090 Email ABARES Report a biosecurity concern Contact the media team. China’s demand for feed barley, especially in its southern regions, is considerable. Less than a decade ago Australia … Australia's barley exports to China were worth $600 million in 2019, falling from $1.5 billion in 2018 because of drought and an effort to diversify into more markets. But so far in 2020 Canada has already exported almost as much barley as it did all of last year, with the biggest months yet to come. We know that WA malting barley is highly valued by brewers in China, who will no doubt be disappointed if this proposal proceeds. Australian barley exports to China worth AU$1.4 billion (US$960 million) were shaken in October 2018 when China opened an anti-dumping investigation. Australia has a complicated relationship with China, but may have to make a stand. There was an error submitting the form. Based on the latest data from the Australian Bureau of Statistics, that has been the case between 1 December and 31 March, with China buying 628,140 tonnes of the total 1.3 million tonnes (Mt) of barley shipped to all destinations. China takes in more than 50% of Australian barley exports, most of which it is malted barley. Breaking that down to malt and non-malting barley, around 1.3 million tonnes of malting barley, and around 4.2 million tonnes of non-malting barley are also exported each year, though these figures vary from season to season. ‘Peak stupidity’: Calls to diversify Australian exports criticised. Australia is preparing to take China to the World Trade Organisation if it does not reverse its decision to impose tariffs on up to $1 billion in barley exports. Barley is not a random choice. China was Australia’s largest market for barley, with an export value of $915.4 million, followed by Japan ($226.7 million) and Thailand ($90 million). The weaker Australia dollar has spurred export sales of wheat and barley into Asia. “But to say we’ve got to change it, I just don’t understand it,” Mr Koukoulas said. Australian exports of cotton to China were worth more than $1.1 billion last year. Inflaming this is the US line that China constructed the COVID-19 virus. 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