Australia to resume China hay exports, paralyzed since 2021

Sydney, Australia, Sep 29 (EFE).- The Australian government confirmed Friday the resumption of its hay exports to China – blocked since February 2021 – in another step in the rapprochement between the countries to normalize their diplomatic and commercial relations.

These were paralyzed more than two years ago when the commercial permits of 25 Australian companies that market hay expired in China, of which only three of them were able to renew them and continue their activities.

But in a further step toward normalizing bilateral relations, Chinese authorities on Wednesday issued new permits for 20 companies and renewed authorizations for two others.

In confirming the measure, Canberra said it welcomes the decision to resume hay exports to China, according to a foreign ministry spokesperson in a statement sent Friday to EFE.

The measure once again represents the recovery of hay exports to China, which before this suspension involved annual shipments of 360,000 million tons of this product, worth about AUD160 million ($103.3 million.)

Last month, China eliminated the 80.5 percent tariffs it imposed on Australian barley in 2020, a measure that blocked a market valued at about AUD916 million in the fiscal year 2018-2019.

The barley tariffs and problems renewing permits for hay exports were part of a series of restrictions that Beijing imposed in 2020 against several Australian products, such as wine, coal, lobster and timber, among others.

Australia is still struggling to restore trade with China in lobster, meat and wine.

The measures were imposed by China after the government of then Australian President Scott Morrison promoted an investigation into the origin of Covid-19, although China, Australia’s main trading partner, denies that this was the reason. EFE

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