Preparing to export

A quick guide to the Korea-Australia free trade agreement

Australia and Korea have built a robust trading relationship over many years. This relationship was strengthened with the introduction of the Korea–Australia Free Trade Agreement (KAFTA) in 2014. Here’s what KAFTA means for trade between the two countries.

The Korea–Australia Free Trade Agreement (KAFTA)

The Korea-Australia Free Trade Agreement (KAFTA) entered into force on 12 December 2014.

KAFTA eliminates or reduces barriers to the trade in goods between Korea and Australia. This benefits Australian businesses that seek to export Australian goods to Korea or want to import Korean goods for sale in Australia.

As a result of KAFTA, more than 99%of Australia's goods exports to Korea are eligible to enter duty-free or with preferential access.

Some of the key outcomes on entry into force of the agreement include:

  • Korea eliminated tariffs on raw sugar, wheat, wine and some horticulture.
  • Korea will eliminate its 40% tariff on beef by 1 January 2028, which will help to level the playing field for Australian beef exporters.
  • Duty-free quotas for cheese, butter and infant formula and high tariffs will be eliminated on many dairy products by 1 January 2033.
  • Tariffs on Australia’s manufactures, resources and energy exports will be phased out by 1 January 2023.
  • Tariffs on priority products, including liquefied natural gas, titanium dioxide, unwrought aluminium, automotive parts, and sea salt, have been eliminated.
  • Tariffs on all Australian pharmaceutical products (including vitamins) have been eliminated.

Source: DFAT

Are you preparing to export?

Whether you are an experienced exporter or exploring export opportunities for the first time, it's critical to understand what is required and to stay up to date. Our friendly team can guide you through the process of obtaining the right export documents you require to ensure smooth customs clearance and facilitate duty exemptions.


 

Found this useful?

Subscribe to our newsletter and receive the best business tips and articles straight to your inbox.

Thank you for signing up to our newsletter. You're one step closer to receiving more insightful information to help better your business.

We take your privacy seriously and by subscribing to our newsletter you agree to the terms of our Privacy Policy available below.