Project number: 2012-705
Project Status:
Completed
Budget expenditure: $31,238.64
Principal Investigator: Phillipa Jones
Organisation: China Policy
Project start/end date: 16 Sep 2012 - 29 Apr 2013
Contact:
FRDC

Need

The Australian lobster industry has reported that the ongoing interruptions to trade between Hong Kong and mainland China have impacted on them through:
• Financial loss from seized products and lost payments
• Impact on fishers with lower beach prices
• Shipments on hold causing product losses
• Emergence (and disappearance) of transient buyers
• Requests to send shipments via Vietnam and Thailand.
Such disruptions are unpredictable and are not likely to cease. Consequently the risk to Australian exporters is likely to become untenable and the trade might cease or be significantly reduced, leading to enormous loss of capital value in the industries.

In the case of Australian Wild Abalone it is reported that all trade between Hong Kong and Shenzhen has ceased since the initial border disruption in November 2010. A delegation comprising Abalone exporters, CRC and ACA representatives visited China in November 2011 and were asked by their importers to help improve the trade and market access for Abalone directly into mainland China.

There needs to be improved understanding of the constraints to trade and the mechanisms available to remove them. This includes ensuring that Australia's government trade negotiation positions are robust and strategic, based on sound industry knowledge. Identification of the mechanisms to improve trade and market access and the supporting information needed to capitalise on them will be critical.

Objectives

1. To produce a report for SRL and WRL on how to pursue the development of direct trade routes for Australian rock lobster exports to mainland China

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