AUSTRALIA will look to use leverage from US tariffs to broker a deal with the European Union on free trade, a move welcomed by a local MP and a local winemaker.
Indi incumbent Independent MP Helen Haines and King Valley business owner Michael Dal Zotto have fought hard to bring security to Australian investment via the Free Trade Agreement and have called on Trade Minister Don Farrell to bargain in the interests of Australian farmers.
The EU faces a 20 per cent tariff on exports to the US, while Australia has been lumped with a 10pc tariff.
Trade talks between Australia and the EU stalled in 2023 after the EU stood firm on allowing access to Australian agricultural exporters.
Geographical markers the Italians link to products such as the wine variety Prosecco and cheese varieties feta and parmesan are also a topic or the talks.
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Dr Haines said renewed trade negotiations will be welcome in many corners due to the uncertainty created for markets across the globe by the tariffs imposed by the United States, it is vital that any deal does not sell out the interests of Australia’s farmers, winemakers, grape growers and other agricultural industries.
"Some 60pc of Australia’s Prosecco is grown in Indi (electorate), an industry which was under threat in the proposal put forward by the European Union in the last round of negotiations," Dr Haines said.
"I fought tooth and nail together with our local winemakers for them to retain the ability to use the name prosecco and the government was right to walk away from the deal at that time.
"What was on the table in 2023 did not represent a good deal or fair trade for Australian winemakers."
Dr Haines encouraged Mr Farrell to negotiate in the bests interest of Prosecco growers and winemakers.
"It is better to have no deal than to sign up to a bad deal for Australia," she said.
"A deal that sells out prosecco is a bad deal for Australia."
Michael Dal Zotto from Dal Zotto Wines - which pioneered Processo in the King Valley - said as an industry they have worked hard and invested enormously into being able to grow the Prosecco market in Australia and likewise with ensuring they can continue to call it Prosecco.
"We have had great support from Helen and Minister Farrell in maintaining the current position of being able to use prosecco and would like this to continue," Mr Dal Zotto said.
After the tariffs were announced, Mr Farrell said Australia will continue to sell product into the United States and they're going to look for other markets as well to sell products in.
"The agreement with the European Union did fall over beef imports into the EU," Mr Farrell said.
"The world has changed for Europe and they have been set a much higher tariff into the United States.
"If they're sensible they will make us a better offer on the issues that made the agreement fall over last time and we will get a free trade agreement with the EU, the largest economy in the world."
