China and Australia sign free trade agreement, agriculture becomes the focus of capital attention.

According to the preliminary agreement negotiated between China and Australia, the China-Australia free trade zone agreement will reduce their market access. Australia's biggest concern in the free trade agreement is the access of its agricultural products to the Chinese market. The main concern of the Chinese side in the negotiations on the free trade agreement is the qualifications of Chinese enterprises to enter Australia and some restrictions.

According to reports, after the implementation of the agreement, Australia's exports to China will receive a tariff reduction of about 1.001 billion US dollars, and the products with higher tariff relief will be concentrated in energy, steel and metal products. Beef, wool, other agricultural products and dairy products in agricultural products.

Susan, Commercial Commissioner of the Australian Trade Commission, told the media in March that Australia is one of the largest suppliers of agricultural and fish products to China. Under the China-Australia Free Trade Agreement, tariffs on Australian agricultural products exported to China will be reduced in stages: tariffs on all dairy products will be eliminated in 4-11 years, and the current tariff will be as high as 20%. The 12% tariff on wine will be eliminated within 4 years. The agreement will continue to increase the scale of Australian exports to China and provide high-quality agricultural products to China's domestic middle class.

At present, the tariff on Chinese beef imports from Australia is 12 per cent and 25 per cent. According to the arrangement of the China-Australia Free Trade Agreement, the import duty on beef will be abolished within nine years. The current tariff on mutton, which currently stands at 12 per cent, will be abolished within eight years. In addition, the 3 per cent tariff on Chinese barley imports from Australia will also be reduced to zero. After the agreement comes into effect, tariffs on China's imports of beef and mutton, wine, dairy products, lobster and abalone from Australia will be gradually reduced. It also means that consumers will be cheaper to buy agricultural products, dairy products and other products imported from Australia.

The reduction of tariffs will bring a series of positive effects, including reducing the import costs of enterprises, reducing the pressure on consumers to pay, and increasing the confidence of investors in the agricultural sector of the two countries. Some brokerage personages said that the signing and implementation of the China-Australia free trade agreement will help deepen cooperation between enterprises and mergers and acquisitions between industries, and promote deep cooperation between the two countries in the fields of agriculture and food.

Specific to the capital market, a number of listed companies have been laid out in Australia, involved in beef cattle farming and other aspects of business.