“Free trade agreements must support local employment and industry, and all indications are that the agreement with China does not.” Among many others, Australian barley exporters will also receive a significant boost by immediately removing their 3% tariffs. China is Australia`s largest barley export market with this $995 million trade last year. However, despite the drawbacks, chAFTA`s removal of key tariffs has generally opened up many potential growth opportunities for small businesses using the Chinese consumer market and has given local small businesses a competitive advantage over other international markets. The highlight of ChAFTA is the potential threat to Australian workers. Policy and trade union leaders are discussing whether the deal allows Chinese companies to attract foreign workers to Australia without first assessing Australian workers. In the absence of the agreement, foreign companies must ask the Immigration Office to set up their own workforce. They do not have to do so with ChAFTA, but the importation of these workers is still subject to migration legislation. The free trade agreement has enabled Australian companies to take advantage of this economic growth in China and offer their products and services to a growing market at very low risk. Not only that, but also Chinese consumers and entrepreneurs are increasingly open to the goods and services of Western companies. They are looking for a certain level of service and quality that they believe is not always available in the local market. As such, they have turned to Western companies to look for quality products and services – that`s where you and your business come in.
ChAFTA has been welcomed almost everywhere by the agricultural industry in Australia. Many farmers welcome the prospect of increased demand for their products by reducing and eliminating tariffs on their exports to China. The milk, beef, wine and wool industry is one of the industries most affected by these reductions. According to the Department of Foreign Affairs and Trade (DFAT), these will be their customs results: it took a decade of negotiations, but in 2015, the Chinese and Australian authorities finally signed the Sino-Australian Free Trade Agreement (ChAFTA), marking the beginning of a new era in bilateral trade relations, as optimistic observers generally describe.