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TOKYO - AUSTRALIAN'S farm minister on Friday ruled out a free trade agreement with Japan unless Tokyo reduces trade barriers for key agricultural goods.
Negotiations between the two countries on a free trade agreement (FTA) have been held up by disagreement over agricultural tariffs.
'Australia cannot accept an FTA ... which excludes from liberalisation the major sectors of beef, dairy, grains and sugar,' said Australian Minister for Agriculture, Fisheries and Forestry Tony Burke.
'That said, we do hear the concerns which have been put to us very clearly and all need to work towards a mutual understanding,' he said after meeting with his Japanese counterpart Masatoshi Wakabayashi.
Japan maintains hefty tariffs on agricultural imports to protect its politically powerful farmers, historically a support base for the ruling Liberal Democratic Party.
Japan's government has also voiced concern that the country is overly dependent on foreign food imports.
But Mr Burke said Australia 'has no capacity to swamp Japan's agriculture sector'.
'For many products in the horticultural field, Australia is a counter-seasonal supplier complementing, rather than competing with, Japan's own products,' he added.
Mr Burke said he encourages Japan to see a trade deal with Australia 'as an opportunity to secure its long-term food security rather than as a threat'.
'We are a very reliable supplier,' he said. 'Japanese customers know that Australia has never failed to supply Japan, even in drought years.'
Japan imports coal, metallic ore and natural gas in addition to agricultural goods.
Imports of Australian beef have also been rapidly increasing in recent years after a mad-cow disease scare in the United States in late 2003 prompted a ban on US beef imports that has since been partially lifted. -- AFP
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