Negotiations that have dragged on for eight years are expected to culminate as European Commission President Ursula von der Leyen arrives in Canberra to meet Prime Minister Anthony Albanese.
The free trade deal is expected to be announced on Tuesday afternoon, after previously being stalled by disputes over agricultural access and geographical naming rights.
The EU has been reluctant to increase beef and lamb quotas, but the National Farmers Federation said this should be a non-negotiable.
"With everything going on globally, there couldn't be worse timing to lock in an agreement that sells Australian agriculture short," federation president Hamish McIntyre told AAP.
"The NFF is concerned the EU will offer sub-par access for Australian producers while also deploying more billion-dollar subsidies to their producers - a double blow for Australian farmers."
The NSW Farmers Association said it had been "increasingly nervous" agriculture would be traded off or used as a bargaining chip for a deal.
"And we don't believe that's in the national interest," it said.
Both organisations have declared no deal would be "better than a bad deal".
Trade Minister Don Farrell held talks with his counterpart Maros Sefcovic on Monday but final details of the deal were yet to be decided.
Meat and Livestock Australia, which serves as secretariat to the Australia-EU Red Meat Market Access Taskforce, said the agreement was the only opportunity to remedy the competitive disadvantage it faced in the EU.
"Settling for a sub-optimal outcome at a time of growing global trade uncertainty would weaken Australia's trade resilience and apply a handbrake to diversification into a market of 27 countries and 450 million consumers," task force chair Andrew McDonald said.
"Our preference is that the EU genuinely engages in free and fair trade."
Former Australian trade official Prudence Gordon said the current quotas were prohibitive and not commercially meaningful for farmers.
"It's not really worthwhile for most exporters of beef and lamb meat and other products like rice and sugar and dairy products to enter that market because the quotas are so tiny, but also the tariffs are really high," Dr Gordon told AAP.
Europe wanted to strip Australian farmers of the right to use geographic naming indicators such as feta, parmesan and prosecco but a compromise appears likely as part of the final agreement.
Dr Gordon said if the quotas were compromised, it would indicate Australia prioritised international collaboration over agricultural exporters.
"The US decision to walk away from its trade agreements has given greater incentive to this negotiation to get it concluded," she said.
Ms von der Leyen will become the first female foreign leader to address federal parliament on Tuesday.
Luxury car taxes and Australia's world-first social media age ban are also expected to be discussed during her bilateral talks with Mr Albanese.
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