In PlannedEconomyLand at present no trade takes place, and all production must be consumed domestically. Negotiations have commenced on a trade agreement with Australia that could open PlannedEconomyLand up to free trade with Australia.

The President of PlannedEconomyLand tells you to read the following article from the local newspaper and explain to him the reasons why he should or should not agree to PlannedEconomyLand having a free trade deal with Australia. Use diagrams to explain your answer to the President.

Newspaper article:

Farmers warn trade deal with Australia could hit PlannedEconomyLand agriculture

President says PlannedEconomyLand cattle and sheep farmers will lose out if Australian producers are given tariff-free access

Farmers fear imports of cheaply-produced Australian beef, lamb and sugar will damage agriculture in PlannedEconomyLand (PEL).

Farmers are warning of "damage" to PEL agriculture if Australian beef and lamb producers are granted tariff-free access to the PEL as part of the first major trade deal.

The National Farmers' Union (NFU) assembled agricultural leaders of PEL on Tuesday afternoon to voice their concerns amid reports of a split in the cabinet over whether to approve a wide-ranging free trade deal with Australia.

The trade secretary, Liz Truss, is racing to conclude negotiations ahead of the G7 summit, which the PEL is hosting in June. The Australian deal is considered crucial, as it would mark the first free trade agreement negotiated.

The PEL farmers fear soaring imports of cheaply produced Australian beef, lamb and sugar, which they say would drive down the price of food produced to a higher standard, and at a higher cost, in PEL. They are warning of implications for animal welfare and environmental standards. Sheep and beef farmers in more remote parts of PEL are considered most at risk.

"I cannot state the damage that I feel it would do," said Minette Batters, president of the NFU, describing beef, lamb - and sugar - as "sensitive areas of trade".

Launching the negotiations last year, the governmentpublished a mandatein which it said the PEL remained "committed to upholding our high health, environmental, labour, food safety and animal welfare standards".

Farmers say so-called "open access" would set a dangerous precedent for future trade deals with other countries.

"The conversations I have with the US, with the New Zealanders, with the Canadians, they would definitely be looking for the same," said Batters. "If we give away our negotiating capital to Australia, which is the second-largest exporter of beef in the world, second to Brazil, the others would most definitely want it."

Any increase in lamb imports would have a "very disruptive impact", according to Phil Stocker, chief executive of the National Sheep Association, and could "lead to a price war and price reductions".

He added: "Or it would mean suddenly having to look at more export markets for our lamb, which is produced to high standards, whilst bringing in lamb from the other side of the world, often produced in ways that our public wouldn't allow in the PEL."

The new Department of International Trade of the PEL said: "Any deal we sign with Australia will include protections for the agriculture industry and will not undercut PEL farmers or compromise our high standards. We will continue to work with the industry, keeping them involved throughout the process and helping it capture the full benefits of trade."

The President of PlannedEconomyLand says to you that he thinks that if trade is allowed with Australia he thinks it would be a good idea to put a tariff on imports of lamb.

Explain what you think of this idea and show the effects it would have on all parties who would be affected. Explain your answers using examples and diagrams (either on computer or by hand and attached as a photograph).

please answer and explain as detail as possible