The Australian-European Union (EU) Free Trade Agreement (FTA)
Prime Minister Anthony Albanese and European Commission President Ursula von der Leyen met on 24 March 2026 to sign the Australian-European Union Free Trade Agreement. The agreement is aimed at delivering benefits to key sectors including agriculture and mining, by making Australian products more competitive in the European market.
What is included in the FTA?
Part of the negotiations included protection of some European geographical indications (GIs), a form of intellectual property that protects product names linked to a specific region. Food, wine and spirits from outside the EU can also seek protection under the geographical indications regime, allowing Australian producers to restrict the use of names to products genuinely originating from the relevant region. While the agreement reduces trade barriers, it introduces new intellectual property and compliance considerations for Australian businesses. The deal has sparked concern among South Australian producers in industries manufacturing cheese, wine and processed meats.
Key issues for Businesses
For Australian producers, the key issue is not simply which names are protected, but whether their current branding practices will need to be modified to avoid infringing these protections. Product names such as “Feta” have been a key point of contention in negotiations. The EU has sought to exclusively protect these terms, while Australia has argued they are widely used locally and should remain available to domestic producers. The precise scope and conditions of protections will depend on the final legal text of the agreement, with comparable EU agreements typically including “grandfathering” provisions permitting long existing producers to continue using certain terms subject to conditions.
The conclusion of negotiations confirmed that Australia will protect 396 European GIs under the agreement, with the most controversial changes pertaining to:
- “Feta”, which may continue to be used by Australian producers who have been producing the product for more than five years.
- “Gorgonzola” and “Pecorino Romano”, which are likely to be subject to stricter geographical indication protections.
- “Prosciutto” and “Mortadella Bologna”, restricted to products originating from the relevant European regions.
- “Grappa”, which is expected to be protected as a geographical indication.
- “Ouzo”, which is expected to be phased out over a seven-year period.
- “Prosecco”, which is expected to be phased out for export markets over a ten-year period.
Australia has long recognised and enforced GIs in the wine industry with regions protected under the Wine Australia Act 2013, contributing to the recognition of regions like the Barossa and McLaren Vale in a global context.
Considerations for Consumers
The new trade deal is about more than just tariffs; it will change what you see in the cheese aisle. For consumers, the most noticeable change will be in product labelling. Familiar European-style names will begin appearing under different or unfamiliar names, rebranded from traditional European naming conventions.
When will the FTA be in force?
In order to be in force, the agreement still needs to be ratified and implemented. This process includes finalisation of the legal text and implementation of domestic legislation. The agreement is expected to be in force by early 2027. Meanwhile, businesses should begin taking steps to understand how these changes may affect their operations.
For intellectual property assistance, contact Wadlow Solictiors on (08) 8212 2955. For the full list of protections visit the Department of Foreign Affairs and Trade website at dfat.gov.au.
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