Trade Department to Introduce Tariff Quota Limit on Wool
Source: Fibre2fashion Date: 2007-08-09
The Trade Department recently announced to carry out ‘Tariff Quota Limit’ on wool, which will have a huge effect on producers of Australia, local wool processing enterprises as well as globally.
Brian van Rooyen, Vice-Chairman, Australia Wool Innovation Company said that the manufacturers and retailers of Europe, America and Japan are highly dependent on China for processing of wool.
In recent years, the trade relationships between the two countries have grown up especially, in the woolen sector. introduction of ’Tariff Quota Limit’ is feared to threaten the trade relation between the two countries. Now it becomes a priority for Australian wool and Chinese processing industry to protect their trade relations and strengthen the global wool textile market.
Around 70 percent of the raw wool imported by China is from Australia. At the same time, China accounts for 65 percent of Australia’s entire wool exports.
At present, Australian Embassy and Free Trade Association for Wool Industry are trying to solve this problem. Chinese enterprises insist that this ‘Tariff Quota Limit’ must be implemented in order to stabilize the market.
