AUSTRALIAN barley growers are waiting for the outcome of a proposed tariff on Australian barley exports into China.
People’s Republic of China, Ministry of Commerce (MOFCOM) are potentially imposing a tariff of 73.6 percent and subsidy margin of 6.9 percent.
This is as a result of China’s ongoing anti-dumping and countervailing duties investigations under the World Trade Organisation.
Australian barley exporters and the Australian Government have been provided with 10 days to respond.
It is understood MOFCOM may provide their final determination on, or before May 19.
Grain producers Australia Chairman and Rupanyup grower Andrew Weidermann said the news was a kick in the guts.
“This will stop barley trade with China. We are currently in conversation with the government to negotiate with them.
“From my perspective, the key thing about agriculture is that pre and post COVID, it will keep the economy moving.
“I’ve heard it could be an estimated 12 million tonne barley crop for this season so that could mean $500 million out of the economy.
Mr Weidermann said that if the tariff is imposed, the flow on effects won’t be felt immediately.
“We have very low grain stores at the moment and if we store it until next year, there will be a lot more water under the bridge between now and then when we go to sell it.”
He said that similar situations had happened in the past.
“This has happened to other grains before, where tariffs have been imposed and then lifted, but this will have an impact,” he said.