Russell Matheson (Macarthur, Liberal Party) Share this | Hansard source

I rise today to speak on the Customs Tariff Amendment (Japan-Australia Economic Partnership Agreement Implementation) Bill 2014. This bill represents a great opportunity for Australia. I take this time to pay tribute to our fantastic trade minister, the member for Goldstein, Mr Andrew Robb, for his proven leadership, his effortless negotiation and commitment to building positive relationships between Australia and Japan. Australia and Japan have enjoyed close ties over the years, but this economic partnership agreement is a historic agreement that will benefit Australians for decades to come.

Under the leadership of the trade minister, Australians have witnessed the largest Australian trade envoys reaching out to Japan, China and South Korea. Each of these trade delegations have resulted in positive outcomes for the Australian economy, Australian business and Australian consumers. The Abbott government's message to the world is crystal clear: Australia is now under new management and we are open for business. I am proud to say that throughout all these rigorous negotiations our government has kept the national interest at the forefront of their decision making. The coalition stated from the outset that these agreements must be in our national interest, and we have delivered.

The Japan-Australia Economic Partnership Agreement is a great win for the Australian economy and for the people of Macarthur. It represents the best quality trade deal that Japan has ever concluded. More than 97 per cent of Australia's current trade with Japan will receive preferential access or enter duty free when the agreement is fully implemented, giving Australian farmers, producers, manufacturers and exporters a significant competitive advantage. The agreement encompasses a wide range of goods and services. Most importantly, it represents a fantastic deal for Australian farmers. As one of our most valuable beef markets, this new agreement with Japan will see our beef exports, which are currently worth $1.4 billion, receive an immediate and significant competitive advantage through rapid tariff reductions. Fresh beef producers and live cattle exporters will also benefit from reductions in tariffs. Additionally, and very importantly, Japan has agreed that Australian beef will never again be subjected to the 50 per cent global snapback tariff, creating certainty for our beef and cattle exporters.

Another excellent feature of the Japan-Australia Economic Partnership Agreement is the agreement by Japan to review and negotiate these outcomes on beef, which will provide a positive framework towards further liberalisation. This framework includes a review triggered immediately if Japan provides another country with a better deal on beef, aimed at providing Australia equivalent treatment; an automatic review aimed at improving access five years after this current agreement comes into force; and a review of the safeguard mechanism after 10 years to consider abolishing the safeguard or increasing the safeguard trigger levels which are set above current trade levels. This feature is incredibly important in ensuring that Australia's interests, and our commitment to building and maintaining trade relationships with Japan, is not second bested by other global competitors. It represents a great deal for the Australian economy and for Australian farmers. I am pleased to see aspects of this framework featuring in many of the agricultural and horticultural tariff items.

Dairy farmers and producers are also beneficiaries of this historic agreement with Japan. Dairy products, predominately cheeses, are one of Australia's biggest agricultural exports to Japan. These exports were worth $452 million in 2013. Under the Japan-Australia Economic Partnership Agreement, Australian dairy producers will receive significant preferential access on key dairy exports, including cheese, ice-cream and yoghurt. Exports of milk based products will receive immediate duty free access, with products including lactose, casein, milk albumen and milk protein concentrates. The Macarthur electorate has one of Australia's largest dairies, the Leppington Pastoral Company. I look forward to seeing the many benefits of this agreement for our dairy farmers and producers within the Macarthur region.

At the last election the coalition made a commitment to the Australian people that we would build a strong and prosperous economy and a safe and secure Australia. With this agreement we are delivering on this promise. Australian importers of Japanese manufactured items will benefit from reductions in Australian tariffs and, in some cases, the elimination of Australian tariffs on some items. This is particularly important for the agricultural sector. The Japan-Australia Economic Partnership Agreement will be a great coup for my electorate of Macarthur, which has a growing agricultural sector. A local advocate for this agreement is Mr Eric Gilleland and his sons Rhys and Brett of Macarthur Mowers and Marine who are looking forward to seeing the benefits of reduced tariffs in agricultural machinery and council and golf course mowing equipment. Macarthur Mowers and Marine have just secured an exclusive agreement with the Japanese manufacturing giant, IHI Industries, to import the high-quality Shibaura golf course and council mowing equipment for New South Wales. As the largest dealer for Japanese manufactured Shindaiwa power equipment in Australia, Macarthur Mowers and Marine stand to gain a competitive edge with more affordable prices for Macarthur consumers.

I am excited about seeing the benefits of the Japan-Australia Economic Partnership Agreement in the Macarthur electorate. Local Macarthur families will benefit from greater competition within the consumer goods market, meaning a better deal on many electronic and household products. This will help to reduce some of the cost-of-living pressures faced by families across Macarthur. My electorate can only stand to win from this agreement, and I look forward to seeing the fruits of closer ties with one of Australia's closest trading partners.

I commend this bill to the House and I thank the Prime Minister, the foreign minister, the trade minister and the Minister for Immigration and Border Security, as well as all of the departments who have worked so hard to secure this great deal for Australia and the people of Macarthur.

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