On entry into force, Korea provided duty-free access on 84 per cent of Australia’s exports (by value in 2015) to Korea. On full implementation of the Korea-Australia Free Trade Agreement, 98 per cent of Australia’s agricultural exports to Korea will face no tariff. A selection of key outcomes is listed below.
- Beef: Korea will progressively eliminate its 40 per cent tariff on beef and 18 per cent tariff on bovine offal, by 1 January 2028.
- Sugar: Korea abolished its 3 per cent tariff on raw sugar immediately.
- Wheat: Korea eliminated its 1.8 per cent tariff on wheat and 8 per cent tariff on wheat gluten immediately.
- Dairy: High tariffs of 36 per cent on cheese and 89 per cent on butter are being reduced, and will be completely eliminated between 1 January 2026 and 1 January 2033. Australian dairy exporters will also benefit from growing Australia-only duty-free quotas for cheese, butter and infant formula.
- Lamb/goat/pork: Korea will eliminate its 22.5 per cent tariff on all sheep and goat meat by 1 January 2023. Tariffs on key pork exports of 22.5 to 25 per cent will be eliminated between 1 January 2018 and 1 January 2028.
- Wine: Korea eliminated its 15 per cent tariff on Australian bottled wine immediately on entry into force of the Agreement.
- Horticulture: Many products, including priorities such as cherries, almonds and dried grapes, enter Korea duty-free. Tariffs on other priorities such as macadamia nuts, fruit juices, mangoes, asparagus and lentils, ranging from 27 to 54 per cent, have either already been eliminated or will be by 1 January 2023.Taking advantage of counter-seasonal production, high tariffs on potatoes for chipping (current tariff 30 per cent), oranges (50 per cent), fresh table grapes (45 per cent), and mandarins (144 per cent) will be eliminated during our exporting seasons.
- Malt and malting barley: Korea is providing a growing Australia-only duty-free quota for malt and malting barley, and will eliminate high out-of-quota tariffs of 269 and 513 per cent by 1 January 2028.
- Seafood: Key products, such as southern bluefin tuna and rock lobsters entered tariff free from 1 January 2016.