The ChAFTA, signed by Chinese president Xi Jinping and Australian prime minister Tony Abbot in Canberra, Australia, will see current tariffs on Australian beef eliminated over a nine-year period, and on sheep- and goat meat over eight years.
The current tariffs levied on Australian beef are 12-25%, and for sheep meat and goat tariffs are between 15-23%.
Tariffs for offal – currently 12-25% – will also be eliminated over a four- to 10-year period, and the 10% tariffs on live cattle and sheep will be eliminated over four years.
According to the CCA, the deal will place Australian beef in a favourable position against competitors in this particular market.
Howard Smith, newly elected president of the CCA, said the potential benefits of the agreement were huge.
"ChAFTA will remove a significant burden from the beef supply chain, in the form of removing tariffs currently imposed on chilled and frozen beef, live cattle and co-products, including offals and hides," he said.
"It will also provide more opportunities for Chinese consumers to develop a taste for Australian beef, by alleviating the inflated prices currently paid for Australian beef due to import tariffs."
According to Meat & Livestock Australia, the red meat and livestock sector would benefit by as much as AUS$1 billion, due to the tariff elimination.
Smith continued: "In terms of farm-gate returns, economic modelling [Centre for International Economics] suggests that beef prices are estimated to increase by 8c/kg (dressed weight) above baseline level, should the current tariffs on beef be phased out to zero by 2024.
"There are also opportunities for increased farm-gate returns in the future through ensuring that producers are paid for the products they produce, including hides and offals."