Friday 17 July 2009

South Korea’s On The Verge Of A European Free Trade Agreement – 17/7/09


We will be so envious of South Korea if their free trade agreement with the European Union takes effect. Their luxury goods are set to become much cheaper if their 8-to-13 percent import tax is removed.


Hmm, if this trade pact does happen, we wonder if Australia's Minister for Trade, Simon Crean, will re-evaluate the high import tariffs on our European luxury goods?


A reduction in import tariffs for clothing, handbags and shoes would add further value to Australia as a tourist destination, as well as aiding the growth of the important local consumer. Even if some of the tariffs were reduced by half for imported ready-to-wear, it could be a saving of close to 7 percent, it all helps...


Of course, there is the argument to protect Australian-made, which we agree with. But quite frankly as we don't have a heritage of artisans' workshops of note, we generally need to look beyond our shores for luxury specialists. And when Europe has some of the finest luxury products in the world, it’s a shame we have to pay such a high price for wanting them. But that's another topic for another time.


If you are interested in
South Korea
’s impending trade pact, read more in the Korea Times article, Gucci, BMW, Audi To Become Cheaper.

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Melinda O’Rourke is the founder and Director of MO Luxury, a dynamic, Sydney-based management firm specialising in luxury brands and services. Melinda and her associates at MO work with local and international brands across prestige retail, fashion, fine jewellery, timepieces and specialised services. Melinda is well-connected, well-read, and well-versed in the demands of the luxury market and its client base. Her advice is firmly based in objectivity and ultimately, accountability. Melinda offers constructive counsel and both strategic and creative thinking and is able to draw upon a strong network of specialised talent to compliment the MO Luxury team as needed. Melinda enjoys excellent industry relationships and is regularly quoted in the business and fashion media. Read more about MO Luxury, www.moluxury.com.au