Trade Agreement Outline
In the long term, Australian producers may be able to supply domestic retailers and downstream producers at a lower cost than domestic producers. The United Kingdom and Australia specialise in the manufacture of various products, which should explain the decline in the semi-processed British agri-food and agricultural sectors. For example, the trade flow data underlying GTAP 9 show that Australia has a significant comparative advantage in its exports of livestock meat, dairy products, wheat, pigs, poultry and other live animals compared to Great Britain. However, it is likely that the marginal positive effects on UK production (compared to VAC) of processed food reflect a combination of a redistribution of resources from declining industries and the fact that processed foods will now have access to lower-cost inputs. As the full details of the potential free trade agreement between the UK and Australia are not yet known, two key scenarios have been defined to assess the impact of a number of potential outcomes. These illustrative scenarios are used to generate the potential magnitude of the impact, but should not be interpreted as specified options for a future agreement. In accordance with the literature, the provisions of the Free Trade Agreement are modelled to reduce the costs of trade between the United Kingdom and Australia. The deal is safe for the future, in line with the government`s climate ambitions and pending rapid technological developments such as artificial intelligence. The depth of the UK-Australia free trade agreement, which has been finalised, may deviate from the central scenarios used in the modelling. A sensitivity scenario, with a limited trade agreement between the UK and Australia, has been modelled and still has positive economic benefits for the UK. 38 Degrees: Submission to the diT consultation on future trade agreements As the details of a possible free trade agreement between Britain and Australia are not yet known, the potential effects have been estimated over broad scenarios. These effects illustrate a number of potential outcomes. The scenarios do not reflect specific provisions that could be included in a possible agreement between the United Kingdom and Australia.
Australian trade, which was recorded as road or rail transport, was omitted from the table and calculations. In 2017/18, this accounted for 0.03% of trade between the UK and Australia. Five government agencies have called on the UK government to prioritise trade in services, two of which raise concerns. Many interviewees were interested in a bilateral free trade agreement with Australia and it is easy for financial and related professional services to do business and use expertise in the region and allow UK companies to expand into this market. Government interviewees also stressed the need to ensure the free movement of skilled workers between Australia and the UK. Comments also referred to the value of harmonizing service standards. Several public bodies have also identified the benefits of the free movement of financial services officers and have welcomed strong elements in the field of financial services in a future free trade agreement. Respondents also found that cross-border trade in financial services supports competition in financial markets and creates a wide choice for customers. . . .