After years of lobbying by the red meat sector, the Middle East has extended the shelf life of chilled meat imports.
But producers have warned the increased access would not replace the live sheep export industry that services the region, which the Albanese government has vowed to phase out.
The Gulf Cooperation Council - a union comprising Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates - has increased the maximum shelf life of imported vacuum-packed chilled meat.
Beef and buffalo meat has been increased to 120 days, and sheep and goat meat has increased to 90 days.
Agriculture Minister Murray Watt said the improved access allowed products to be sent via sea freight rather than by air.
"Exporting by sea is now possible, saving approximately $3/kg of product, but our product can also keep their premium price longer, which means higher profit," Senator Watt said.
"We understand that our livestock industry has been doing it tough lately with rapidly decreasing livestock prices caused by an oversupply in the market.
"That's why we've been working extra hard to secure better market access conditions for our export producers."
The Albanese government has previously indicated it believes the chilled meat market will help replace the live sheep market.
Australian Livestock Exporters' Council chief executive Mark Harvey-Sutton said the news was a positive development for the sheep industry, but it would "not do anything to replace the live sheep trade".
"The government is trying to portray it as such, but it's a misguided notion to replace live sheep with chilled products," he said.
"The Middle East is already a large importer of chilled meat. The live trade and box trade compliment each other very well, and the reason being is they cater to the different segments of the market."
An independent report that will guide the live sheep phase-out is expected to be handed to the government on Wednesday.
Although many of the Middle Eastern nations had individually accepted the extended shelf life, its implementation varied from country to country. The new announcement harmonises the policy across the region.
Recent advances in the quality of packaging material and the stability of refrigeration equipment in the supply chain have allowed this change to occur.