Chris Hayes (Fowler, Australian Labor Party) Share this | Hansard source

I am here to support the Customs Tariff Amendment (2012 Harmonised System Changes) Bill 2011, like, I assume, every other member here. No doubt my colleagues opposite also support it, but they might have had a bit of a spin on it; I do not know. They did? How did I pick that? I support this legislation. The purpose of this bill is to implement changes resulting from the World Customs Organisation's fourth review of the International Convention on the Harmonised Commodity Description and Coding System. Madam Deputy Speaker, you might think that this piece of legislation is not on the cutting edge of parliamentary reform, but we need to go into just a little bit of detail to understand why this is significant, why we stay on top of our game, why we have these reviews and why that is important for a country such as ours, which is an import and export based nation.

Australia is proud to be a signatory to the harmonised system convention along with the other 200 members of mainstream economies. Essentially the system is a list of numbered descriptions of goods which plays an integral part in our customs system. As one would expect, constant ongoing review is needed to ensure that this list is kept up to date. These amendments reflect those changes. I can speak of my own electorate and the types of industries that exist there. One of the biggest sectors would be importing and exporting. People need to have these commodity descriptions and coding systems, particularly in relation to food and other substances. And we need to have these reviews to ensure that our systems and processes are kept up to date. Australia is a signatory to the harmonised system convention and is required to implement the changes within it on 1 January 2012—that is obligatory. There are some important changes that have occurred since the last review. I am pleased to see that the particular focus of this latest review has been on the environmental and social factors. Practically speaking, this means identifying goods that are central to world humanitarian programs, such as food of specific importance to the food security program of the Food and Agriculture Organisation of the United Nations. In addition, the harmonised system will create new subheadings for specific chemicals and ozone-depleting substances controlled under the Rotterdam Convention and the Montreal Protocol.

These are things that can make a very significant change, and we have seen that in the past, particularly where controlling ozone-depleting substances in our environment is concerned. Not only have we moved to control those areas; we have done a fair bit so far towards repairing the damage that has already occurred to the ozone layer. So, while it may look insignificant, that is another area where we can apply ourselves to making sure that there is consistency among the mainstream economies in these harmonisations; we actually can deliver first-rate results.

I understand that these changes may not be seen as being at the cutting edge of regulation or as things to be highlighted in international agreements, but they are important. Changes like these, developed through research and international cooperation, help secure and protect us from the dangers that can flow from the importing and exporting of goods. It is also important to note that the bill will preserve the existing levels of trade protection and the margins of tariff protection that apply to imported goods, including goods imported to Australia under our free trade agreements.

These reviews take place every five years, and our importers and exporters know that, by doing these reviews, the government knows the framework within which they are operating. That being said, the government has been mindful of ensuring that industry gets as much time as possible to prepare for these changes and is in a position to implement them in their businesses. That is why industry—the stakeholders—have been widely consulted and kept up to date with the relevant information and will be through to the conclusion of the review itself. No doubt we will see a number of awareness seminars take place through the department in due course, and these will be significant in helping our industries and those importers and exporters understand their obligations, how the system will work and how they can work within the system to ensure that their businesses are run as effectively and efficiently as possible.

Australia is a trading community and is often at the forefront of advocating the implementation of positive change in this area. This nation is somewhat geographically challenged relative to the main economies of the globe—we are a long way from everywhere else—so it is essential that this government implement best practice, and that must be consistent with the practices of all our major trading partners. That is precisely what this bill seeks to do—to keep us up to date and consistent with our trading partners and to provide a framework which our importing and exporting industries can understand and operate within. I commend this bill to the House.

Debate adjourned.

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