Confirmation this month the European Union would provide the United States with a dedicated country-specific quota for high-quality beef was a disappointing outcome for Australia's cattle industry.
The long-anticipated decision came despite significant advocacy work by Australian industry and government which ultimately softened the blow by securing a seven-year transition period.
It is a significant concession and buys us critical time to pursue the Australia-EU free trade agreement (FTA).
Cattle Council president Tony Hegarty and I were, as it happens, in the US when the EU quota news was confirmed.
Our meetings with US beef industry representatives in Washington helped put the EU quota setback in some kind of perspective, given some of the significant global headwinds challenging efforts for ongoing international market liberalisation.
It's hard not to be impressed by the might of the US beef lobby and when it started applying pressure on the EU to 'ring fence' a portion of the 45,000 tonnes for itself, we knew the odds were stacked against us.
The agreement means the US will receive an initial allocation of 18,500 tonnes, increasing to 35,000 tonnes over the next seven years.
Australia will continue to access the remainder of the EU quota with other major suppliers, but we'll be competing with those other exporters to supply the remaining 10,000 tonnes, whereas recently we've been supplying 11,000 tonnes on our own.
Cattle Council didn't shy away from this matter while we were in the US and the Americans were very much aware of Australia's right to challenge such a discriminatory arrangement.
But had Australia elected to oppose the EU-US agreement, it would have most likely triggered the dissolution of the quota altogether - leaving Australia and other suppliers worse off anyway and confronted with the potential for wider trade ramifications.
We share Federal Trade Minister Simon Birmingham's disappointment that the EU has acquiesced to the US demands, but we also share his view that the outcome in no way represents any shortcoming in terms of the way industry and the Australian Government are working effectively together on the global stage to increase market access for producers.
That partnership puts our industry in good stead as we continue the Australia-EU FTA negotiations.
Now that there is at least some certainty in terms of HQB-GF quota access, we're even more determined to achieve a significant outcome for Australian red meat as part of the A-EU FTA, after all the FTA negotiations represent the first opportunity in 40 years to improve to Australia's beef market share, which currently accounts for only 0.2 per cent of EU beef consumption.
Australian beef is a valuable export earner for our economy we know our high quality, clean and green product is a compelling option for consumers around the world - provided we have access to shelf space in their local supermarket.
That's why producers expect effective government and industry lobbying to secure greater trade liberalisation and why a setback like we've seen this month doesn't deter us from our ongoing work to realise improved market access.
Note: With nominations for this year's Rising Champions Initiative closing on June 30, time is running out for young beef industry professionals aged 21 to 35 to put their name for this year's program.
