Once-in-a-generation test for Australian sheepmeat trade

Australia is at a critical, defining moment in negotiations with the European Union - and the outcome of the Australia - EU Free Trade Agreement (FTA) must deliver a genuinely fair deal for Australian sheepmeat.

Sheep Producers Australia supports the continuation of negotiations only on the clear and non-negotiable condition that Australian sheepmeat receives substantially increased, commercially meaningful market access.

Sheep Producers Australia Director Allison Harker said a significant improvement in trade access would need to be reached to ensure the Government’s stated objective to secure a trade-enhancing agreement.

“When negotiations commenced, the EU clearly understood Australia’s purpose, to achieve significantly improved market access for Australian agricultural products,” she said.

“The intention was to unlock opportunity - good result for Australia and its sheepmeat sector.”

“The final outcome must not lock Australian sheepmeat into a perpetual competitive disadvantage, compared with access already granted to other suppliers, and it must not be compromised by restrictive conditions that render access meaningless in practice.”

The broader trade picture reinforces why this deal must be fair and equitable.

The EU maintains a strong trade surplus with Australia - both overall and specifically in agricultural goods. Australian red meat supply chains rely heavily on EU inputs - including equipment, technology, finance and professional services - yet Australian lamb and mutton account for less than one per cent of total EU red meat consumption.

“Addressing this imbalance will go a long way to supporting the EU’s own rhetoric of a ‘level playing field’,” Ms Harker said.

“The EU benefits from open access to Australian markets and supply chains, while continuing to tightly restrict access for our world-class sheepmeat and lamb.

“The potential gains from a fair Australia–EU FTA are too significant to risk - stronger export returns, greater market diversification, and long-term resilience for Australian sheep producers.”

Ms Harker urged sheep producers across Australia to make their voices heard by contacting their local Federal Member of Parliament and reinforcing how critical a fair Australia–EU FTA is for farm businesses, regional jobs and long-term industry resilience.

“This is a defining moment for Australian sheep producers,” she said.

“Direct, local advocacy matters. MPs need to understand what’s at stake for regional and remote communities if this deal falls short.”