Re: Trade with other nations
Originally Posted by Bruce
Don't worry there will be plenty of countries wanting to do free trade deals BUT what are you offering them to make them interested in securing such a deal?
For example Australia can offer you food (we export 65% of what we produce), coal, iron ore, uranium, lithium, lead, gold, silver, copper, nickel and much, much more at very good prices but we have plenty of customers for these things already. What concessions is Britain offering that will make us want to sell to you?
It will be interesting to see what deals are on offer and it could all change if Trump causes a world recession.
BTW I am no expert on International trade these are things our financial press is asking
Australia is open to a FTA, but is not going to rush into one.
The following is an extract from a report to the Australian Parliament.
4.92Associate Professor Melatos recommends that it may be to Australiaís advantage not to rush into the trade negotiations with the UK. In order to maximise its return from any trade agreement with the UK post‐Brexit, Australia should:133
4Wait for uncertainties in global trade architecture to be (at least, partly) clarified, including clarification on the UKís trading relationship with the EU.
5Wait for the extent and nature of UK weaknesses to be (at least, partly) clarified.
6Wait for the likely negative economic impact of ĎBrexití to become apparent
Likely lower economic growth due to reduced labour movement, reduced trade on less favourable terms, more contested role in financial services.
7Design the most flexible TA (and investment agreement) consistent with this new reality of likely lower economic growth.
Piggy‐back off any UK trade negotiations with larger economies (including the EU) in order to ensure a more advantageous negotiating baseline.
The UK is unlikely to make significant trade and investment concessions to Australia if these preferences must then be extended (at much greater cost) to TAs with larger countries.
Nobody is rushing to do Free Trade Deals with us, they are waiting to see what happens.
We have agreed with the EU how to split the existing WTO Free Trade Deals we have as part of the EU.
Some WTO Countries have raised objections, which stops us fast tracking these .
The deadline for WTO members to put their reservations to the proposed Goods Schedule in writing was yesterday (October 24), which is three months after the draft UK and EU proposals were circulated on July 24. The EU's draft only concerns splitting existing TRQs, while the UK's includes its commitments and TRQ plans as a single package.
As previously reported by IEG Policy, up to 20 countries including Argentina, Australia, Brazil, Canada, China, India, Japan, New Zealand, Russia and the US have raised objections to the proposals presented by the UK and EU, 15 criticising the EUís draft and 19 objecting to the UKís.
The UK had initially wanted to follow a simple process of "technical correction" to the commitments it currently has in the WTO as an EU member, although it had recognised it might have to bargain over TRQs.
The above is not Fake News, Liam Fox made a statement to Parliament about it on 25th October last year.
What is Fake News is all the rubbish posted about Novation.
That can only be done by agreement, which is not happening.
You will note that some of the objections are from countries which we do not have Free Trade Agreements with, the USA and China in particular.
WTO Rules allows them to make formal objections which can hold things up for years.
I will repeat, I am not against Brexit, I am very critical of the mess we have made of it.
These proposals should have been made on the day we invoked Article 50, not with only a few months to leaving day.