Trade Minister Mark Vaile today welcomed the Polish Government's decision to lower the tariff on non-EU high quality furniture leather by more than half.  The import tariff will fall from seven to three per cent.

The significantly reduced tariff will take effect from 1 January 2002 and the Polish Government says the tariff may be altogether abolished as early as February 2002. 

"This is welcome news for Australian leather producers and will create greater opportunities for competitive leather exports to this market," Mr Vaile said.

"Australia stands to become a key supplier to the Polish leather upholstered furniture industry which is performing very credibly in the market."

The waiver is a result of intensive lobbying by the Australian Government and removes the unfair advantage provided to tanned cow leather imports from some European countries.  Poland is a valued partner for Australia, and of increasing commercial interest given its size, rapid development, location and future as an EU member.

The Polish Government also announced that it would continue to maintain the duty on coarse wool at zero per cent and on skins and hides to between zero and three per cent.

"These tariff reductions show the value of pursuing better export opportunities for our textile producers," Mr Vaile said.  "Australian TCF exporters also stand to gain better market access from the new WTO round launched at Doha. "

Exports of trade, clothing, footwear and leather products to Poland in 2000-01 totalled $628,000 with leather exports totalling $439,000.  The reduced tariff should see these figures grow significantly.

"The TCF sector has faced significant structural change and continues to operate in a very competitive global market," Mr Vaile said. "Because of the industry's success in improving its competitiveness it is a significant contributor to Australia's export performance with exports in 2000-01 totalling $1.5 billion, an increase of 7.3 per cent on last year's figures."