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What a China-Australia FTA could mean for the wool industry

 
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加入时间: 2006/02/16
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文章时间: 2006-7-26 周三, 下午3:20    标题: What a China-Australia FTA could mean for the wool industry 引用回复

Wool is an important trade commodity for both countries (almost 50 per cent of Australia's wool exports by volume go to China; currently 75 per cent of China's wool needs are sourced from Australia).

By 2010 China's demand for wool will almost double to command 62 per cent of all global demand for apparel wool.

The Australian and Chinese wool industries are highly complementary. China has a domestic wool industry that produces wool suitable for furnishings and carpets, while Australia produces the wool China requires for the manufacture of garments for domestic use and export.

Full liberalisation of the trade will bring significant benefits to the Australian industry namely:

Sheep industry farm cash income would increase by up to 7 per cent
Employment in the wool industry would increase by up to 13 per cent
The value of greasy wool exports would increase by US$600m over and above the expected increase in the trade without an FTA.
The volume of greasy wool exports to China would increase by up to 20 per cent over and above the expected increase in the trade without a FTA.
Full liberalisation will also bring significant benefits to the Chinese industry namely:

China's textile and clothing industry would increase the level of value added production by nearly US$400 million
China's textile and clothing exports would rise by US$1.3 billion with its textile and apparel exports increasing by over US$800million.
Wool production in China would continue to grow, as Chinese and Australian wools are overwhelmingly complementary.
Real gross domestic product in China would increase by US$457 million
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