Berliner Tageblatt - EU close to sealing trade deal with Australia

Negotiations between Brussels and Canberra collapsed in 2023 after five years of painstaking discussions over a wide array of issues.

The stumbling block had been over products like beef and lamb.

This time around, talks are zeroing in on duty-free quotas for imported Australian beef, which the EU hopes to cap at around 30,000 tonnes per year, while Canberra wants access for 40,000 tonnes.

The EU's top trade negotiator Maros Sefcovic and agriculture chief Christophe Hansen will hold talks with Australian Trade Minister Don Farrell next Thursday, the EU executive said.

"The EU is committed to strengthening relations with Australia, a strategic and like-minded partner. As always, progress in the sensitive phase of negotiations will depend on substance," EU trade spokesman Olof Gill said.

Negotiations hit a wall in 2023 over Australia's push for significant access to the European market for its agricultural products.

But with Trump's tariffs upending the global trading order, the EU is ramping up efforts to build closer trade and security ties with other allies.

Brussels has recently clinched two deals that had been two decades in the making: the first with the South American Mercosur bloc, and then with India.

The EU is treading carefully to avoid a major new backlash from farmers, who are angry at the Mercosur deal because they fear it will cause an influx of cheaper goods produced with lower standards and banned pesticides.

European agricultural lobby groups will be paying close attention to the quotas for lamb, mutton and beef as well as sugar and rice, with the umbrella farm group Copa-Cogeca already warning against "any additional pressure" in sensitive sectors.

Supporters in the EU say a deal with Australia offers a range of opportunities.

The EU wants to cut its reliance on China for critical raw materials -- needed for clean technologies like wind turbines and electric car batteries -- and Australia's rich deposits would help Brussels diversify imports.

German Foreign Minister Johann Wadephul reiterated that during a visit to Australia on Thursday, saying Europe was "very interested in expanding further our cooperation in the raw materials sector".

He added that he hoped the broader trade deal would be signed "as soon as possible".

If the talks are fruitful, EU chief Ursula von der Leyen could visit Australia later this month.

The EU is Australia's third-biggest trading partner, after China and Japan, while Australia is the bloc's 20th-biggest trading partner.

J.Bergmann--BTB