KING Island crayfishers are optimistic that China’s ban on live lobster imports will be lifted after the visit to Australia this week by China Premier Li Qiang.
“Lifting the ban takes the pressure off the local market, ultimately making it easier to move crays and hopefully at a more reliable price,”crayfisher and skipper of the Tainui III Justin Summers said.
“When trade resumes, the demand should stay steady, stopping the fluctuation of price,” Mr Summers said.
Trade Minister Don Farrell has predicted the ban will be lifted soon after Premier Li Qiang’s visit. The return of lobsters to the Chinese market would mark a milestone in the Australian government’s efforts to stabilise bilateral relations since coming to power in 2022.
In 2020, China banned minister-to-minister communications with Australia and imposed a series of official and unofficial trade barriers on Australian products, including beef, barley, coal, wood and wine, costing exporters $20 billion annually.
According to trade data, the value of rock lobster exports 2019 -20 was $543.6m. Individual businesses had to seek new customers and markets overnight. Out of necessity, the domestic rock lobster market expanded.
While local consumers benefited from low “off the boat” prices it is not sustainable for fishers. Some crayfishers have left the industry or sold their licenses. Lobster is the last remaining product still affected by increased Chinese tariffs.
Bilateral relations deteriorated significantly after the former Coalition government demanded an independent investigation into the causes of and China’s responses to the Covid-19 pandemic.
Mr Farrell said Li was the first Chinese premier to visit Australia in seven years.
“I think there’s both the willingness on our part and the part of the Chinese government to remove all of the impediments in our relationship,” he said.
China lifted tariffs on Australian wine in March and their restrictions on Australian beef last December.
“I’d be very confident that the visit this week will result in a very successful outcome for lobster,” Mr Farrell said.