Buyers will gain as food prices fall

Domestic consumers are expected to gain several benefits from the just-concluded free trade agreement between China and Australia, like enjoying lower duties on imported food and consumer products, industry experts said on Wednesday.

According to the FTA, tariffs on Australian wines, which had duty rates of between 14 percent and 30 percent, will be eliminated gradually in the next four years. Similarly the tariff for beef, which is between 12 and 25 percent, will be eliminated if the total amount is above 170,000 metric tons.

Dairy products including milk powder, which have a duty rate of between 10 and 20 percent, will also see gradual tax removals within nine to 11 years, with the special protection mechanism still in place for milk powder. Tariffs for nuts, fruits and fresh vegetables will also be eliminated. Duty for processed food such as honey, chocolate, cookies, cakes and other items will see steep reductions, said industry sources.