Losbter
Live rock lobsters have been making its way into China via the "grey channels." Pixabay

Australia's Trade Minister Don Farrell is "confident" that China's trade ban on rock lobster imports will be lifted by Christmas, following ongoing discussions and improving bilateral relations.

China had imposed a ban on Australian imports after Canberra demanded an inquiry into the origin of the Covid virus in Wuhan. However, this year, bilateral ties between the two countries eased, with the Asian country lifting the ban on some Australian imports.

"I'm confident that based on all the discussions I've had ... I've still got confidence this will happen," Farrell said in an interview with Sky News, Reuters reported.

Earlier this year, China had removed trade tariffs on wine and barley after Australia dropped World Trade Organization complaints against Beijing over the two products, The Daily Advertiser reported.

However, Australia has been unable to take up an official recourse in the case of lobster ban, as China has linked technical reasons for the block. It has pointed to excessive levels of contamination in the rock lobster, and imposed strict monitoring, testing and auditing rules.

Farrell maintained that the issue was "an impairment to that those good relations" which the two nations have built after a prolonged 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."

Australian officials and Treasurer Jim Chalmers were expected to advocate against the ban during their visit to China this month.

Lobster farmers had hoped the trade restriction will be eased when Chinese Premier Li Qiang visited Australia in June. While the farmers were expanding into new markets in Vietnam and Europe, they say "it's nothing like the China market."

Even as Australia is baffled by the ban, live rock lobsters have been making its way into China via the "gray channels."