Australia's two largest barley producers will be able to again export their grain to China after a breakthrough in the trade relationship.
CBH and Emerald Grain were still prevented from sending their grain to China despite punitive barley tariffs being removed as they were kept off a customs list.
Agriculture Minister Murray Watt confirmed on Wednesday his department had been notified by the Chinese customs agency that both would be reinstated as registered exporters.
"This is great news for Australian farmers and the whole grain supply chain," he told the Senate.
"The removal of the suspensions for these two exporters was the result of ongoing technical discussions between our two countries."
Almost 130 Australian exporters are now registered to supply barley to China.
CBH welcomed the news and said West Australian barley and grain growers would benefit from the greater market access.
"We welcome this positive news and look forward to working with our customers to return to exporting Western Australian barley to China, a longstanding market," the company said through a spokesperson.
The company said it would continue to supply its customers in South East Asia, the Middle East, Mexico and South America.
Nationals senator Bridget McKenzie welcomed the announcement but cautioned Australian companies against over-reliance on the Chinese market.
"It's fantastic news, particularly for our grain growers and our barley growers, that they have more choices of markets," she said.
Senator McKenzie said businesses would be assessing the risk of the Chinese market "given the decisions of recent years, particularly across agricultural commodities".
"Hopefully, they will be prudent and conservative in where they choose to export," she said.
Senator Watt said he hoped the removal of barley tariffs would pave the way for barriers against Australian wine to come down.
Australian Associated Press
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