The Australia-UK Free Trade Agreement (FTA) was signed on 17 December 2021 and is expected to enter into force in 2022.
It is a landmark agreement, and one of the first to be finalised with the UK since Brexit. For wine, the FTA will see the elimination of import tariffs on entry into force. This creates a level playing field for Australia’s wine exports with our major competitors from Continental Europe. Wine Australia has estimated that the tariff elimination represents a saving of approximately AUD $43million per year for the Australian wine sector.
Wine sector specific trade technical issues (eg carbonation, sweetening etc) are not included as part of the FTA, however it does provide a platform for future dialogue to continue to work together on technical issues. This work will continue through ongoing discussions and negotiation of Australia and UKs Wine Agreement and the existing processes established to amend it.
The FTA will need to undergo the usual ratification process within Australia and the UK after which it will enter into force. No timeframe is available for the finalisation of the ratification process, however it is expected to be completed during the course of 2022.
Austrade have provided immediate resources for Australian Grape & Wine members to assist with diversification or growth opportunities now available in the UK market:
Austrade FTA webpage to access case studies, sector outcomes and more.
If you would like Austrade to provide a briefing on the FTA and sectoral opportunities/changes, please contact Nicole Cosgrove, FTA Implementation Manager (firstname.lastname@example.org).