In a move set to boost economic ties between Australia and the Middle East, the Australian government has successfully negotiated a free trade agreement with the United Arab Emirates (UAE).
The deal, which marks Australia’s first trade agreement in the region, has been met with enthusiasm from industry leaders.
Innes Willox, Chief Executive of the national employer association AiGroup, hailed the agreement as “good news for importers” and a gateway for Australian companies to access “a rapidly expanding economic market.”
Willox emphasised the significance of the deal, stating: “This is the first trade agreement Australia has made in the Middle East, and will give many companies the confidence to explore the region for the first time.”
The UAE, already a $9.3 billion customer for Australian goods, particularly alumina, meat, and oil seeds, is expected to become an even more crucial partner under the new agreement.
“This is particularly good news for our farmers and miners and those who service them,” Willox noted.
The trade deal is seen as a strategic move in diversifying Australia’s commercial relationships.
With the UAE’s growing economic influence in the Middle East and beyond, the agreement opens up significant opportunities for Australian businesses to expand their presence in a historically underdeveloped market for the country.
Willox praised the federal government for completing the deal, which has been under discussion for many years.
He also highlighted the timing of the agreement, stating: “It is particularly positive that this deal has been made during a period of heightened global tensions and economic uncertainty, which signals that these types of deals can still be made.”
The comprehensive nature of the agreement, covering investment, intellectual property, and digital trade, is expected to foster growth beyond traditional goods and education exports.
This broader scope is anticipated to provide Australian companies, particularly in industrial and energy-related sectors, with a secure entry point into the region.
As Australian companies seek to diversify their commercial relationships for a sustainable trading future, this new agreement with the UAE is seen as a significant step forward.
The deal is expected to reduce regulation for the export sector, which currently employs one in four Australians, further solidifying its importance to the national economy.
