China pulls handbrake on Australian lobster imports

A resolution to lobster trade impediments to China is proceeding at a crawling pace as Beijing makes more demands of the industry.

China alleged Australian lobsters were contaminated - which Canberra denied - and the trading hurdle remains a point of contention within the trading relationship.

Beijing has flagged stifling restrictions on lobsters including strict monitoring, testing and auditing rules.

Australia's agriculture department has submitted a response to Chinese counterparts about their technical concerns over lobster imports following discussions.

Lobster farmers are loathe to speak publicly about the restrictions because of the sensitivities of the negotiations.

Australian officials are set to head to Beijing for talks in the coming week and the treasurer is visiting soon after.

Australia had always been forthcoming when China has raised concerns about technical issues, Trade Minister Don Farrell said. 

Minister for Trade Don Farrell speaks (file)
Don Farrell is confident Australian lobster will be back on Chinese tables soon.

"We've always responded to every request by the Chinese ... and we continue to do that," he told AAP.

The Chinese embassy in Australia was contacted for comment.

The trade minister acknowledged the Chinese have "their own way of processing all of these issues" and removing the embargo was taking longer than Australia would have liked.

Australian ministers had publicly expressed optimism over recent months that lobster impediments would topple imminently.

The shellfish is one of the last remaining trade barriers after China scrapped billions of dollars of trade tariffs on Australian products including wine and barley. 

Australia shelved its World Trade Organisation complaints against China over wine and barley in exchange for Beijing agreeing to a fast-tracked review of tariffs, which it then dropped. 

But the same lever cannot be pulled for lobster, with it being a technical impediment rather than an undue trade tariff that went before the WTO, leaving Australia with little official avenues for recourse.

Senator Farrell said it remained "an impairment to that those good relations" Australia had built back up with China after a years-long trade war.

"We want that issue resolved," he said.

"I'm confident that we will make progress and very soon, lobster will be back into China."

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