“It vindicates the government’s preferred approach of resolving trade issues through dialogue rather than disputation,” he said.

In an interview with ABC radio in Adelaide, Farrell said he was “very hopeful” that tariff-free wine could be sold into China “by the end of this month”.

“I think this decision will be the final decision. They’re just going through their processes.”

Australian Grape & Wine chief executive Lee McLean said the decision was a “positive step” towards resuming trade with what was formerly the largest export market.

“We remain cautiously optimistic about the forthcoming decision and will await MOFCOM’s (China’s commerce ministry) final determination,” he said.

“We appreciate the collaborative efforts from both the Australian and Chinese governments, and industry partners, in working towards a resolution.”

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China lifted tariffs on Australian barley in August last year following a similar process, after Labor paused a WTO dispute in exchange for a review.

Beijing imposed $20 billion in sanctions on Australian products, during heightened tensions in 2020.

Sanctions worth $2 billion remain on wine, rock lobster and some abattoirs.

China’s Ambassador to Australia Xiao Qian on Monday said the review was “moving on the right track, in the right direction”.

Senator Farrell recently met his Chinese counterpart Wang Wentao on the sidelines of the WTO’s ministerial conference in Abu Dhabi last month.

AAP

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