June 4, 2013

Australian rapeseed producers have resumed access to Chinese market

Australian rapeseed producers now have resumed access to the Chinese market since 2009, with bulk shipments underway and further sales lined up.

"Since reaching agreement, Australia has already shipped AUD80 million (US$76.58 million) worth of rapeseed destined for the Chinese market and is looking forward to more high quality Australian product following in the coming weeks and months," said Department of Agriculture, Fisheries and Forestry (DAFF) Deputy Secretary Rona Mellor.

Australian farmers have been banned from exporting rapeseed to China in recent years due to concerns about the spread of blackleg disease, a fungal infection which can lead to crop yield losses of 50% or greater.

"The new agreement ensures we recommence the trade in a way that prevents the entry of blackleg fungus into China," said Mellor.

"DAFF and China's biosecurity agency (AQSIQ) have been working on the resumption of this trade since 2010. The Australian oilseed industry, along with key exporters in Australia and importers in China, asked DAFF to seek renewed access to the Chinese market on their behalf."

China's importers demanded that rapeseed must be sourced from areas of low pest prevalence for blackleg in Australia, and be processed in specific areas of China. AQSIQ has approved eight ports in non-rapeseed producing provinces to receive the shipments.

The joint Australia-China research programme on managing blackleg fungus is the key driver of resumed trade between the two countries.