Tony Abbott: free trade deal reflects shared values of Japan and Australia

Prime minister says agreement’s economic benefits cement shared commitment to ‘democracy, freedom and the rule of law’

Tony Abbott has hailed the completion of a new free trade deal with Japan as “a marvellous and historic day” that will deliver specific economic benefits and closer diplomatic relations between two nations with shared values.

In a press conference on Monday night in Tokyo to mark the conclusion of seven years of bilateral trade negotiations, the Australian prime minister declared this was the first time Japan had “negotiated a comprehensive economic partnership agreement or free trade agreement with a major economy, particularly a major economy with a strong agricultural sector”.

The agreement finalised over the past 48 hours will reduce the tariffs on Australian beef imports to Japan from the current 38.5% to 19.5% (for frozen meat) and 23.5% (fresh meat).

The reduction is a concession from the Japanese, who are fierce protectors of their agricultural sector, but the tariff cut for fresh meat is due to take effect over a very long time frame – 15 years.

Going into the final stretch of the talks, Australian farm groups, such as the National Farmers Federation (NFF), warned they wanted to see the punitive Japanese beef tariff reduced to zero. The NFF on Monday urged the government to cut a good deal or walk away. Australian beef exports to Japan were worth $1.4bn in 2013.

Trade minister Andrew Robb said the new pact would also deliver beneficial quotas for Australian dairy and cheese. In a statement released on Monday night the government said the deal would provide “significant new duty-free access” for Australian dairy products.

Read more. Guardian Australia, here

TT EARLIER: Tell me a story … about free trade

• TFGA says Japanese FTA not all beer and skittles

• Jan Davis: There’s a good chance we’ll regret this complacency in the future On the face of it, Australia appears to have secured the first two wins of a trifecta on free trade agreements (FTAs) in Asia, with South Korea and now Japan signed up. Now there is only China to go and then, in theory, we can all enjoy the fruits of the Asian Century. I believe in a free and open market ­in a real world; and I am not suggesting we should return to imposing tariffs However, too often we are the only ones who operate with these halos around our heads, virtuous to the core, with our farmers barely operating profitably beyond the cost of production. Let me explain …

• Peter Whish-Wilson: Abbott should fix Australia’s FIRB rules first before any China deal

• Jan Davis: Level playing field? You must be joking

• Andrew Ricketts, in Comments HERE: Well said. How many of those 600 in Abbott’s entourage represented Tasmanian agricultural industries in general (not just their own business)?