After eight years of negotiations, the Albanese Government has called the Australia–European Union free trade agreement (A-EU FTA) a “landmark trade deal”. But Meat and Livestock Australia has dubbed it the “worst ever free trade agreement“.
Here is what the deal delivers – and what it does not.
Background
Australia secured a free trade agreement with the European Union in March 2026, covering a market of 450 million people and a combined economy worth $30 trillion.
From wine and olive oil to barley and seafood, 98% of Australian goods will enter the EU duty-free on implementation.
What it means for Australian agriculture
For the products that define Australian agriculture – beef, sheep, dairy, wheat, sugar and rice – full tariff elimination was not achieved.
The value of agricultural, fisheries and forestry exports was worth $75.8 billion in 2024-2025. In 2024, red meat exports reached 2.24 million tonnes, representing the largest volume of red meat ever exported, with beef reaching 1.34 million tonnes and sheep 614,327 tonnes.
The Australian wheat industry produces an average of 25 million tonnes per year – just 3% of global production, yet 10-20% of global wheat trade. Grains, oilseeds and pulses have been the fastest-growing agricultural export category, expanding at an average annual rate of 9% in real terms over a 20-year period.
These numbers reflect the strength of existing trade relationships with countries such as China, the UK and the UAE. Australia holds a strong international reputation as a reliable supplier of high-quality agricultural produce, with demand remaining robust both domestically and offshore.
Getting in is harder than it looks
The EU operates under some of the strictest agricultural rules in the world, particularly around traceability, sustainability and animal welfare. For Australian producers, this means full supply chain transparency from paddock to plate and detailed record keeping.
These requirements are reinforced through the European Union Cattle Accreditation Scheme (EUCAS), which sets out the specific conditions cattle must meet to be eligible for export into the EU. This includes strict rules around lifetime traceability, feed inputs and treatment history. If cattle fall outside these standards, they are excluded from the EU supply chain.
Meeting EU standards often requires investment in systems, infrastructure and ongoing compliance processes.
For Queensland cattle producers, aligning with these EU expectations can be complex and costly. Northern production systems are typically large-scale and built around efficiency and volume. This may make it challenging for producers to meet sustainability reporting and grass-fed certification requirements, given the time and cost associated with segregating EU-eligible cattle and maintaining traceability records.
Domestic landscape
Australia is yet to officially bring the deal into force, with domestic legislation required to give effect to the agreement’s terms. Ensuring producers have access to practical and adequately funded compliance support will be critical to helping the sector take advantage of the opportunities created by the agreement.
If you have questions about navigating EU market requirements, contact the Thynne + Macartney Agriculture team.
This information is intended to provide a general summary only and should not be relied on as a substitute for legal advice.
