CANBERRA: Since Korea and Australia signed a free trade agreement a year ago, the nation’s exports to Australia have increased 32.5 percent, to about 11 trillion won ($A12.7 billion), officials said.
Korea’s imports from Australia fell 10.5 percent, which is not so steep a drop given the plunging price of the latter’s main export item of iron ore, they said. In comparison, Japan’s imports from Australia dropped 15.8 percent over the period.
Especially brisk were shipments of compact cars. As the FTA reduced import duties from 5 to 0 percent, the export of small vehicles has rocketed 93 percent and those of midsize to large cars, the tariff rate for which fell from 5 percent to 1.7 percent, has increased 13.7 percent. Korea’s import of frozen Australian beef soared 27 percent, accounting for 54 percent of the imported beef market in Korea.
“It is welcome news that President Park Geun-hye has put priority on service industries reform and is seeking the parliament’s support for it,” said Australian Ambassador William Patterson, on the first anniversary of the FTA’s conclusion, Thursday. “If Korea opens its services market, Australia’s investment will increase in areas such as education, tourism, legal services and financing, creating a win-win situation for both.”
