The Australian government has signed an agreement with China that aims to establish stronger agricultural ties and opportunities for collaboration and co-operation on organic goods.
China is the world’s third-largest market for organic products and currently Australia’s sixth largest market for organic exports by volume, yet the two nations do not have an organics equivalency agreement.
An arrangement would allow both governments to recognise each other’s existing standards, meaning local producers could rely on the Australian Organic export standard instead of having to seek additional organic certification within China. This could reduce complexity and cost for Australian producers, allowing the sector to expand.
Minister for Agriculture, Fisheries and Forestry, Julie Collins, met with her counterpart from China’s State Administration for Market Regulation (SAMR) Minister Luo Wen last week to sign a Letter of Intent on Cooperation in the Field of Organic Products Certification.
Cooperation under the agreement will look at opportunities for more efficient trade of organic goods exports. It also provides a mechanism for Australia’s Department of Agriculture, Fisheries and Forestry (DAFF) and China’s SAMR to cooperate on sharing information on organic product standards and certification to promote trade.
Collins said the government has been working hard to stabilise Australia’s relationship with China, especially within the areas of agricultural trade and exports.
“With our patient, calibrated, and deliberate approach, we are restoring Australian trade with China, our largest export market,” she said.
“With this process now advancing, we can look toward creating new opportunities. This letter of intent will strengthen bilateral cooperation and promote the trade and exchange of information in the field of organic products.
“It covers cooperating and sharing of information in relation to organic product standards, and organic product certification.”
DAFF and SAMR stated the organisations aim to progress the Letter of Intent to a Memorandum of Understanding, and a further extension of the renewed partnership between Australia and its largest export market.
Australian Organic Limited (AOL) is one of the industry bodies that welcomed this announcement, with chief executive officer, Jackie Brian, stating an equivalency arrangement with China would be very welcome in the sector.
The new agreement highlights the push from the Australian organic industry to create a legislated standard for organic products, as the sector has been struggling with unifying official certification and labelling laws. According to AOL, Australia is the last OECD nation without a domestic standard.
“Australia currently only has four certified organic equivalency arrangements in place with international partners – Taiwan, the European Union, Japan and Switzerland – so this next step towards equivalency with China has the potential to be a major springboard for our industry,” Brian said.
“It’s a strange situation, but if you want to export organic products you must meet the export standard, and yet there is no legislation on what constitutes ‘organic’ for domestic sale.
“We hope to see more equivalency agreements in place, but we know this process would be expedited if the Australian organic export also became the regulated domestic standard,” she said.