Simon Crean (Hotham, Australian Labor Party, Minister for Trade) Share this | Hansard source

by leave—I am very pleased to convey to the House the news that I have this morning concluded negotiations with Chile on the Australia-Chile Free Trade Agreement. This morning I spoke by telephone to my Chilean counterpart, Minister of Foreign Affairs, Alejandro Foxley. As a result of those conversations, we finalised the remaining elements of the deal. This agreement will be formalised when Minister Foxley visits Australia in July to sign the agreement.

As the first trade agreement to be concluded by the Rudd government, this is a very strong result. This is the most comprehensive free trade agreement ever negotiated by Australia. Unlike the former government, we have delivered an FTA which meets all of our objectives and, importantly, delivers for all sectors of the economy. On goods, at the end of the implementation period or in 2015, the agreement will cover all existing trade—100 per cent of it. Tariffs covering 97 per cent of trade will be eliminated from day one of the agreement, which I expect to be 1 January next year. This is a first-class outcome on goods.

Sugar is the most sensitive sector for Chile, just as it was for the United States. However, unlike the Howard government, which wanted an FTA with the US at any cost, we made it clear that we would not accept the exclusion of sugar in this agreement with Chile. Members opposite should need no reminding that they abandoned our sugar industry, from New South Wales right up the east coast to Queensland, just to cut a deal with the US at any price.

I was not prepared to abandon Australian agriculture as the National Party did and, unlike the Liberal Party, I was not prepared to cut a deal at any price. It will be great comfort to Australian exporters to know that we have delivered for them on dairy tariffs, all meat and wine tariffs and all goods tariffs identified by Australian industry as priorities. The previous government talked big about FTAs but what did they actually deliver?

See this speech in context