Why is Russia such a cesspool?

[churchill]

Trade Minister Simon Crean today welcomed the commencement of Australia's largest free trade agreement – the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA).

The historic agreement will span 12 economies with over 600 million people and a combined GDP of $3.1 trillion.

"The commencement of this agreement is a major milestone and opens up significant opportunities for Australian businesses in one of the fastest growing regions in the world," Mr Crean said.

"With Asia leading the global recovery and six out of ten ASEAN markets expected to grow at rates at least double the forecast OECD average in 2010, there is great potential for Australian exporters to enter new markets."

"This agreement is also an important building block towards deepening Australia's economic integration with the dynamic Asian region."

"As of today, the Agreement covers around 70 per cent of Australia's trade with ASEAN countries with which we do not have bilateral FTAs," Mr Crean said.

The agreement includes:

The immediate elimination of a 10 per cent tariff on $9.6 million of Australian processed cheese exports (in 2008) to Malaysia

The immediate elimination of a 5 per cent tariff on $7.2 million of exports of fresh grapes to Malaysia

The immediate elimination of a 3 per cent tariff on $22 million of wheat exports to the Philippines

The immediate elimination of a 5 per cent tariff on $3 million of sheepmeat exports to the Philippines

An immediate expansion from 7 to 36 subject areas that Australian education providers can deliver in Vietnam.

"By 2020, the deal will eliminate tariffs on 96 per cent of our current exports to ASEAN nations," Mr Crean said.

ASEAN accounted for 15 per cent of Australia's trade, valued at $83 billion in 2008-2009. This is as large as Australia's trade with China, Australia's largest trading partner

42 per cent of our total exporter base – about 18,500 Australian exporters – trade with ASEAN.

AANZFTA is Australia's first multi-country FTA and the most comprehensive FTA ever concluded by ASEAN.

In addition to Australia and New Zealand, AANZFTA has entered into force for the following ASEAN countries: Brunei, Burma, Malaysia, the Philippines, Singapore and Vietnam.

Indonesia, Cambodia, Laos and Thailand are expected to ratify the Agreement in the early part of this year.

"I urge the Australian business community to take full advantage of the many benefits that this far-reaching agreement has to offer," Mr Crean said.

http://www.trademinister.gov.au/releases/2010/sc_100103.html

[mark5335]

Regarding the OP's comment regarding wines from Aust/NZ, the existing TAFTA reduced the tariffs on Australian wines imported into Thailand by half. However, my observation is that the local distributors seem to have pocketed a large part of the tariff reduction rather than pass it onto wines consumers in Thailand...I didn't notice any reduction in Aust wine prices here. With the ASEAN FTA I agree it would be nice if this reduced the price of NZ wines here also.

Edited January 4, 2010 by mark5335

[sharecropper]

Regarding the OP's comment regarding wines from Aust/NZ, the existing TAFTA reduced the tariffs on Australian wines imported into Thailand by half. However, my observation is that the local distributors seem to have pocketed a large part of the tariff reduction rather than pass it onto wines consumers in Thailand...I didn't notice any reduction in Aust wine prices here. With the ASEAN FTA I agree it would be nice if this reduced the price of NZ wines here also.

I do miss buying decent Aussie wine here. I just refuse to pay the prices asked, and often get good quality French wine brought across from Laos instead, for an absurdly cheap price.

[craigt3365]

Regarding the OP's comment regarding wines from Aust/NZ, the existing TAFTA reduced the tariffs on Australian wines imported into Thailand by half. However, my observation is that the local distributors seem to have pocketed a large part of the tariff reduction rather than pass it onto wines consumers in Thailand...I didn't notice any reduction in Aust wine prices here. With the ASEAN FTA I agree it would be nice if this reduced the price of NZ wines here also.

I do miss buying decent Aussie wine here. I just refuse to pay the prices asked, and often get good quality French wine brought across from Laos instead, for an absurdly cheap price.

I would be worried about how the wine was stored. If exposed to excessive heat, it will be <deleted>. Back in the US, I noticed a huge difference between what was bought at the winery (i.e. stored at the proper tempertaure)...and what was purchased at the local grocery store (i.e. brought in via an unrefrigerated truck).

[sharecropper]

Regarding the OP's comment regarding wines from Aust/NZ, the existing TAFTA reduced the tariffs on Australian wines imported into Thailand by half. However, my observation is that the local distributors seem to have pocketed a large part of the tariff reduction rather than pass it onto wines consumers in Thailand...I didn't notice any reduction in Aust wine prices here. With the ASEAN FTA I agree it would be nice if this reduced the price of NZ wines here also.

I do miss buying decent Aussie wine here. I just refuse to pay the prices asked, and often get good quality French wine brought across from Laos instead, for an absurdly cheap price.

I would be worried about how the wine was stored. If exposed to excessive heat, it will be <deleted>. Back in the US, I noticed a huge difference between what was bought at the winery (i.e. stored at the proper tempertaure)...and what was purchased at the local grocery store (i.e. brought in via an unrefrigerated truck).

That's a fair point, but generally it is OK. I have had much worse bottles in Pattaya, where I think they just sit in a container at the docks for weeks, in the heat, yet you still pay top dollar for it.

The last time I imported some wine from Laos, I paid 350 Baht per bottle for Aussie Penfolds Bin 2, which in Pattaya would cost me 1,700 Baht or thereabouts. That was excellent and I will go with that from now on. At that price even if the wine is slightly degraded by its treatment thus far, it's already in the price, and I didn't have to throw one bottle away (it would have to taste like battery acid for me to do that anyway).

[churchill]

Why is it that it always seems to be Penfolds Bin 2 or Bin ? that comes across the boader at cheap prices ? I have been offered the same from Malaysia and although a good wine prefer something not quite so strong - Can one access a wine list showing could be imported ! to Thailand .

[sharecropper]

Why is it that it always seems to be Penfolds Bin 2 or Bin ? that comes across the boader at cheap prices ? I have been offered the same from Malaysia and although a good wine prefer something not quite so strong - Can one access a wine list showing could be imported ! to Thailand .

It's all a bit less formal than that, certainly in my case.

Mine comes in one or two bottes at a time, over time, and I pick up the case every 6 months when I go up North to my in-laws.

Any more than that, if the wine is stopped at customs in Thailand they will slap duties and penalties on it, defeating the object of the exercise.

I have seen a lot of Penfolds in Laotian border towns and also Cambodian border crossings. It makes you think what their marketing department is up to! And it is all the real stuff.

[ding]

I can tell you that the NAFTA and GATT "free" trade agreements have kicked America in the brains.

Wages, like water, will seek the lowest level. The claimed unemployment rate of 10% in the USA is bogus, it's over 18%. Firms have outsorced the task of outsourcing! And illegal labor is the norm inside America and is now the accepted rule.

There are now no customers to buy goods in the US. We were previously blamed for NOT saving. Now we're blamed for not spending.

Don't look for things to improve in the US. The elected "Democrats" are fiscally feeding the same ogre. I used to admire Australia and always like Ausies when travelling. Sorry to see them drinking the same Jim Jones brand Kool Aid.

Edited January 5, 2010 by ding

[samran]

I can tell you that the NAFTA and GATT "free" trade agreements have kicked America in the brains.

Wages, like water, will seek the lowest level. The claimed unemployment rate of 10% in the USA is bogus, it's over 18%. Firms have outsorced the task of outsourcing! And illegal labor is the norm inside America and is now the accepted rule.

There are now no customers to buy goods in the US. We were previously blamed for NOT saving. Now we're blamed for not spending.

Don't look for things to improve in the US. The elected "Democrats" are fiscally feeding the same ogre. I used to admire Australia and always like Ausies when travelling. Sorry to see them drinking the same Jim Jones brand Kool Aid.

Can't see what your comments have to do with an FTA and wine prices? But if it is of any importance to you, the Australian economy hasn't been touched one iota by this global financial crisis...sailing right through it. Ah yes, and all the while having managed to keep the same 'socialist' policies that Americans seem so afraid of.

[someoneelse]

Wine tariffs under the earlier Thai-Australia FTA are currently being reduced at a rate of 4% per annum - the rate is currently 20% and is phasing to zero by 2015 (see heading 22.04), however, the major determinant of wine prices in Thailand is excise and other taxes, rather than import duty.

Effective duty and tax burdens on exporters not subject to FTAs is 390.46% (given import duty of 54%).

Currently Australian wine attracts import duty of 20%, this results in an effective duty and tax burden of 282.18%.

See page 6 of http://www.flex-news-food.com/files/Wine_Thailand_270809.pdf for a description of how taxes and duties on wine products are calculated.

[churchill]

FREE-TRADE AGREEMENT

Thai wine-makers less enamoured with Afta than drinkers

While Thai consumers have benefited from the Asean Free Trade Agreement coming into full effect this month by enjoying imported wines at cheaper prices, local wine producers see the FTA presenting them with a major problem.

Visooth Lohitnavy, president of the Thai Wine Association, yesterday said AFTA would enable more foreign wines to enter the Thai market and enjoy a competitive advantage vis-เ-vis local producers.

He said many foreign wine producers had started to conduct bottling and packaging activities in Malaysia, with 40 per cent of the content made in that country in order to satisfy AFTA criteria and enable sales within Asean.

The Thai Wine Association's membership comprises major wineries, including Alcidini, GranMonte Family Vineyards, PB Valley Khao Yai Winery, Siam Winery, Silverlake Vineyards, and Village Farm.

Prior to January 1, imported wines were subject to a combined import duty and excise tax of 360 per cent. However, under AFTA, the import duty on wine products made in other Asean states has been removed, leaving imports subject to 200-per-cent excise duty - similar to the charge on locally produced wines.

continued http://www.nationmultimedia.com/home/2010/...i-30120196.html

[churchill]

So wines bottled in Malaysia and imported to Thailand will have their excise duty cut from 360% to 200% ?

Sounds like quite a good reduction to me - Still hoping for some good quality wine at more affordable prices -