Insight - Tariff reductions assisting Australian agricultural exports to Thailand

Tariff reductions enabled by Australia’s free trade agreements have helped increase Australian exports of some agricultural commodities to Thailand in 2020 and 2021. This is despite the challenges posed by COVID-19. The removal of quotas and reduced tariffs make Australian products more competitive in the Thai market.

Australia continues to implement its own commitments under Thailand-Australia Free Trade Agreement (TAFTA) and ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA) and is working with Thai counterparts to finalise further tariff reductions for Australian exports.

What exporters should do

Exporters and producers may wish to review recent tariff rate reductions under Australia’s FTAs with Thailand and evaluate the impact these have on the viability of the Thai market for their products.

Resources

Producers and exports can review tariffs and quotas under both TAFTA and AANZFTA using the Department of Foreign Affairs and Trade’s FTA portal.

Recent tariff rate reductions under FTAs with Thailand:

Product Tariff rate 2005 Tariff rate 2021
Butter 30% 0%
Cheese 30% 0%
Beef 30-40% 0%
Almonds, hazelnuts, walnuts and pistachios 10% 0%
Potatoes 7%+ 0%
Maize (corn) 6.67%+ 0%
Tea 10% + 0%
Coffee 10%+ 0%

 

Variations may exist within commodity categories and across TAFTA/AANZFTA

For further information and assistance, contact Amber Parr, Minister Counsellor (Agriculture) Bangkok.

Import requirements for Thailand are available through the Manual of Importing Country Requirements website.

Additional information about the Thailand market is available on the Austrade website.

Market overview

  • Despite the COVID-19 pandemic, Australian agricultural, fisheries and forestry exports to Thailand rose by $92 million in 2020.
  • Australian beef and veal exports to Thailand have risen from $56.3 million in 2016 to $74.3 million in 2020. Australia is Thailand’s largest supplier of beef (47% market share).
  • Since 2015 Australian cheese exports to Thailand have consistently risen from $16.7 million to $31 million in 2020. Australia is Thailand’s second largest supplier of cheese.
  • Thailand is Australia’s second largest market for butter after China. Between 2016 and 2020, Thailand imported an average of $15.8 million of Australian butter.

Australian export data sourced from ABS Catalogue 9920.0. World export and import data sourced from UN Comtrade