Nick Champion (Wakefield, Australian Labor Party) Share this | Hansard source

On behalf of the Joint Standing Committee on Foreign Affairs, Defence and Trade, I present the committee's advisory report, incorporating a dissenting report, on the International Fund for Agricultural Development Amendment Bill 2012.

The International Fund for Agricultural Development is a Rome-based UN agency whose mission is to enable poor rural people to overcome poverty through providing access to financial services, markets, technology, land and other natural resources. After concerns were raised about IFAD in the early 2000s, Australia withdrew from the fund in 2004. This was because, at that time, it was considered that:

Following various crises during 2007-08—a global food crisis and a fuel crisis as well as the global financial crisis—the government started contemplating the reasons for withdrawal and how this stood in view of Australia's investments in global food security.

In April 2011, AusAID released a report reviewing Australia's engagement with IFAD. The report concluded that there was a strong business case for Australia to rejoin IFAD. The bill was subsequently introduced into the House and is intended to allow Australia to legally accede to the Agreement Establishing IFAD.

The Selection Committee referred the bill to the Foreign Affairs, Defence and Trade Committee and asked the committee to determine whether IFAD had fully addressed the concerns which prompted Australia to withdraw from the organisation and to consider the additional financial and human resources required by AusAID to support Australia's engagement with IFAD.

The committee considers that the various reforms introduced by IFAD since 2004, in part as a response to Australia's withdrawal, have addressed Australia's concerns. Specifically:

Further, by becoming a significant contributor to IFAD, Australia places itself in a prime position to influence the direction of the organisation and maintain its program of reform.

The report also identifies other benefits arising from Australia rejoining IFAD and these should not be ignored. These include:

The committee has also concluded that the burden on Australia's projected aid budget imposed by rejoining IFAD is small, and the additional staff employed, in particular Australia's Rome-based counsellor, will be able to promote Australia's interests with the other Rome-based UN agencies.

The committee concludes that there is significant benefit in Australia rejoining IFAD and has recommended that the bill be passed by the House.

In conclusion, I would like to thank all those who provided submissions to the review, and to AusAID, who provided evidence at the public hearing. I would in particular like to commend Hansard, which provided the proof transcript within hours of the conclusion of the public hearing. This enabled the committee to meet a very tight deadline for considering the bill. Finally, I thank my colleagues on the Foreign Affairs Sub-Committee—particularly the member for Berowra, who I know has a keen interest in these things—and the secretariat. I commend the report to the House.

In accordance with standing order 39(f) the report was made a parliamentary paper.

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