Aussie Free Trade Agreement with EU lashed

AUSTRALIA’S long-awaited free trade agreement with the EU has been met with scathing criticism by representatives of the red meat and dairy sectors Down Under, along with that of farmer representative bodies.

Leongatha South dairy farmer and Dairy Farmers Victoria Board member Benjamin Vagg was emphatic in his views, declaring, “It’s not free trade, it’s just more market access for the EU.”

He elaborated, “They dump their produce into Australia, at a cost, because of the protectionism of their domestic market.”

The Victorian Farmers Federation (VFF) says local farmers have been sold out and will be the big losers in the newly minted agreement.

VFF President Brett Hosking said it was clear the EU and Australia’s competitors had run rings around our negotiating team, with no improvement secured on the deal Australia rejected three years ago.

“Beef access is a third of what the industry was seeking, and for sheep meat, New Zealand got five times more,” Mr Hosking declared.

The Australian Dairy Industry Council (ADIC) hit out at what it labelled the ‘Un-Fair Trade Agreement’, saying it will intensify import competition and add to already significant operating pressures on local dairy processors and farmers.

“This is neither a free nor fair deal for Australian dairy, and it is a worse deal than what was on the table in 2023,” ADIC Chair Ben Bennett said.

“It is unfair on many fronts; most notably, it expands access to heavily subsidised European dairy imports, while failing to secure reciprocal access for Australia’s exports to the EU.”

That comes on top of an existing imbalance.

ADIC reports that in 2025, Australia imported 76,821 tonnes of EU dairy products valued at more than $980 million, while exports to the EU totalled just 134 tonnes worth $29 million.

“The numbers speak for themselves; there’s nearly a billion dollars of subsidised EU imports compared to a limited $29 million of unsubsidised Australian exports,” Mr Bennett said.

ADIC states the agreement imposes the EU’s geographical indication naming regime on Australia, restricting the future use of widely recognised product names such as feta and gruyere, while also removing one of Australia’s most significant dairy import tariffs on cheese.