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The Nationals join dairy farmers in opposing Labor’s European Union Trade Deal, citing unfair market access and threats to Australian industryThe Nationals are backing Australian Dairy Farmers’ opposition to Labor’s EU trade deal, arguing unfair market access, increased imports and export restrictions threaten Australian dairy farmers and local industry. By news@gippsland - 6th November 2026 - Back to News The Nationals are supporting Australian Dairy Farmers (ADF) calls to ditch Labor's terrible European Union Free Trade Agreement (EUFTA). Leader of The Nationals Matt Canavan said The Nationals backed ADF's calls that no deal is better than a bad deal. "Dairy farmers don't want Labor's sell-out of EUFTA. If it's bad for our dairy farmers - why is Labor pressing ahead with it?" Senator Canavan said. 
The Nationals oppose Labor’s EU trade deal, citing protections for 56 European dairy names and substantial EU subsidies that disadvantage Australian cheese makers and farmers Challenging dairy trade dealMr Canavan said, "It is a dud deal sold on dodgy figures. Labor has misled the public and the Senate to declare a $10 billion so-called benefit from the deal, increasing up to $30 billion, which relied on the EU getting rid of all agricultural tariffs." "But that is not the deal Labor delivered. The final agreement retains significant restrictions on Australian agricultural exports, including dairy, meaning the modelling was based on market access the Government never secured," he said. Shadow Minister for Agriculture, Fisheries and Forestry Darren Chester said the Coalition stands with the dairy industry. "Australian dairy farmers are among the best in the world and deserve a government which fights for their interests on the global stage. The Government must return to the negotiating table and secure a deal which delivers genuine benefits for Australian agriculture and addresses the industry's concerns," Mr Chester said. Dairy trade imbalanceIn 2025-26, Australia imported $858 million worth of European dairy products - 71,912 tonnes – while exporting just $28 million, or 349 tonnes, in return. That is an $830 million dairy trade deficit before the agreement even comes into force. Under the deal, Australia will phase out its remaining $1.22 per kilogram tariff on European cheese over three years. Yet Australian butter, skim milk powder and high-protein whey exports will remain restricted by small duty-free quotas and substantial tariffs beyond those limits. The agreement also introduces protections for 56 European dairy geographical indications, which means future cheesemakers are locked out of names like feta and gruyere. European farmers also benefit from the EU's Common Agricultural Policy, backed by €386.6 billion in agricultural funding over 2021–27. The Nationals' Murray Plains candidate Brett Hosking said Victorian dairy farmers were already under pressure because of Labor's water buybacks and Murray-Darling Basin Plan. "This is just another example of our dairy industry being disadvantaged by bad Labor governments. For too long our dairy and agriculture industries have been sold out by Labor - which is exactly why we need a change of government," Mr Hosking said. Seeking dairy trade exemptionsADF president Ben Bennett said the ADF was calling for a dairy-specific exemption from new tariff concessions for European dairy imports and restrictions on established Australian dairy product names. "Europe gets greater access to our market and protections for its product names. Australian dairy gets limited access in return, along with new restrictions on our own cheesemakers," Mr Bennett said. "The Australian Government has agreed to open the borders to even more cheap European dairy imports, while our products still face restrictions going the other way. A trade deal that puts our ability to produce and process our own dairy products at risk is not in the national interest," he said. Concerns over dairy importsMr Benneth said, "Opening the floodgates to subsidised European dairy imports at the expense of Australian farmers, jobs and our sovereign food production is not in the national interest. The EU has protected its sensitive farm industries. Australia must do the same for dairy as a sensitive domestic industry. Because this is not a level playing field. It's a one-way street." Kyabram dairy farmer Andrew Murphy said more dairy imports would lead to less local dairy farmers and less local produce. "Our dairy industry is crucial to this region but when we lose even one dairy farmer, the entire community is impacted. As a local farmer, I urge Labor to rethink this terrible deal, which only makes life even harder," Mr Murphy said. Pictures from Agriculture Victoria Facebook page.
Source: http://gippsland.com/ Published by: news@gippsland.com
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