Teresa Gambaro (Brisbane, Liberal Party) Share this | Hansard source

I wish to speak on the unbridled opportunities my electorate has before them if we ratify this historic trade deal with China; I know that that now is going to happen. If a picture is worth a thousand words, then ChAFTA is worth a billion opportunities: $1.4 billion, to be exact. Never has a trade of this scope meant so much to so many people. With increasingly fragile global markets and increasing deficits across the world, now more than ever it is the time to increase our economic ties to countries that will continue to grow their economies despite predictions stating otherwise.

China continues to outstrip expectations in its growth forecasts. This means that we must continue to grow trade with China if we wish to grow with it. China already takes one-third of our exports; our economic fate is already intrinsically linked with our Chinese neighbours. With this trade deal, more than 85 per cent of Australia's goods that are being exported to China will enter duty free when ChAFTA enters into force, rising to 93 per cent after four years and 95 per cent when ChAFTA is fully implemented. This is a huge win for our exporters and it means more money to grow our economy.

China is already the strongest economy in Asia and soon China will be the biggest economy in the world. What ChAFTA does is give Australia and our exporters privileged access to the biggest market in Asia, which will soon be the biggest market in the world. Already, before it has even been ratified, the China-Australia Free Trade Agreement is making a difference, with Australian-owned vitamin company Blackmores hiring an extra 100 employees to cater for the increased demand that they expect will come off the back of the lowering of tariffs. Indeed, increased exports and cheaper imports will allow Australian businesses to hire more workers. Compared to a scenario without our FTAs with China, Korea and Japan, annual net jobs are forecast to be up to 7,925 higher in 2016; peaking at 14,566 higher in 2020; and returning to 5,434 higher in 2035 than it would be otherwise, as a result of the free trade agreement.

Despite the shameful and racist scare campaign run by Labor and their dishonest union mates, more Australians want the ChAFTA than do not. This is despite the incorrect, misleading and quite frankly bigoted TV ads that the CFMEU having been ramming down the throats of Australians every single night on our TV screens. It is a testament to the strength, character, optimism and good nature of Australians that they have seen through Labor, they have seen through the union's scare campaign and they have jumped at the enormous and endless opportunities that this historic agreement will provide Brisbane and Australia.

I am absolutely excited about what this agreement is going to mean for my electorate and what this agreement means for the many, many businesses that are in the CBD of Brisbane. Recently, I held mobile offices throughout my electorate; locals want this agreement, they support it and they see the incredible opportunities that are going to arise for themselves, for their children and for their grandchildren as we move into the Asian market.

Independent economic modelling shows that Australia's FTAs with China, Japan and Korea will together add $24.4 billion to the Australian economy over the period of 2016 to 2035. Increasing economic activity under the FTAs will also support higher incomes, and real wages are forecast to be 0.5 per cent higher by 2035 as a result of the FTAs. Higher incomes and lower prices under the FTAs will benefit every Australian household. Over the period from 2016 to 2035, real consumption per household is forecast to be $4,348 higher than without the three free trade agreements.

Specifically for my electorate of Brisbane, the opportunities are truly endless. To say this agreement is exciting news for Brisbane is an understatement. Not only does my electorate lay claim to some of the best and brightest people in the country but it also lays claim to individuals and businesses that are at the very forefront of competition and innovation in the world. The area of greatest opportunity to my constituents is the ability to export our world-class services so that we may be able to provide what we do well here and provide that to China as well. China is Australia's largest services market, with exports in services valued at $8.2 billion in 2014. This means more opportunities for local business and more opportunities for people in Brisbane.

In ChAFTA, China has offered Australia its best ever services commitment in an FTA. Most valuably, this includes new or significantly improved market access for Australian banks, insurers, securities and futures companies, law firms and professional service suppliers, education service exporters, as well as the many, many businesses in my electorate in the health, aged-care, construction, manufacturing and telecommunications industries. This will give businesses like River City Labs in Brisbane, which supports early stage and start-up companies in the mobile, internet, telecoms and technology sector, a springboard to access Chinese buyers.

The agreement also includes a 'most favoured nation' clause, under which Australia's competitive position into the future will be protected if China extends any more beneficial treatment to other trade partners in the sectors of education, tourism and travel related services, construction, engineering, and a whole litany of other sectors. So Australia wins again. This means that we will stay one step ahead of our trade competitors, who cannot compete with the quality of our products and the quality of our fantastic service industries.

I had the pleasure of joining architectural firm dwp/suters only a few months back to celebrate their 30 years in business. They are an award-winning architectural firm, already with global reach. They are already doing incredible work in Asia and they are based in my electorate. They will have a chance to provide the incredible expertise they have in building wonderful hospitals, other public buildings and cutting-edge products to Chinese people and businesses.

Brisbane, the legal and geographical capital of Queensland and the heart of the legal fraternity, will also have guaranteed market access. Australian law firms can establish commercial associations with Chinese law firms in the Shanghai free-trade zone.

Aged care is another area with ample opportunities ahead for local businesses in my electorate to explore. The senior living industry in China is yet to meet the demands of its very large aged population. It is still very much underdeveloped. It is waiting and hungry for innovative businesses to satisfy the huge demand for this type of service. As of February 2014, the aged population of China exceeded 200 million, almost 10 times the population of Australia. This number is as unfathomable as it is exciting, because local businesses like Ozcare Palm Lodge will be able to have direct access to that market.

It is similar in the early childcare area. Brisbane business Charlton Brown, a nanny agency which already provides services to China, will have much deeper access to potential customers. I want to acknowledge the incredible work that they do in Brisbane, training nannies and aged-care providers. They are an exceptional firm.

Equally exciting will be the opportunity for local fashion designers and retailers, who will have access to more than one billion potential clients. With growing disposable incomes, premium jewellery and clothing are expected to be much more popular among consumers in China. Fashion is fast becoming more global, with more international brands appearing in China. This free trade agreement will support the local fashion brands that I buy in my electorate. They will be able, if they wish, to hit the streets of Shanghai as well. In addition, the increasing exposure to international fashion trends and growing personal wealth are likely to drive stronger demand for luxury items in China.

This opens the door for small and innovative businesses in Brisbane to capitalise on the opportunities that we as a government have created. Businesses like sass & bide, Sacha Drake, Miss Henry in Paddington, and Jules & Roc in the valley, who provide the latest trends to locals, will now have access to one of the hugest populations in the world.

Consistent with Australia's other bilateral trade agreements, remaining Australian tariffs on Chinese imports will be eliminated progressively. This includes removing the five per cent tariff on Chinese manufactured exports, electronics and whitegoods, with consumers and businesses to benefit from lower prices and the greater availability of Chinese products. Classic economics dictates that demand is not satisfied until the appropriate amount of supply is produced. In this case, Australia may not on its own be able to produce and provide enough supply for the voracious Chinese economy, but this free trade agreement gives my constituents of Brisbane and the vast majority of Australians every single opportunity to grow their businesses.

This is a historic agreement, one that crosses the political divide. It has garnered support from Labor luminaries, Labor premiers and Labor state opposition leaders. While the opposition are in here today supporting it, sadly that has not always been the case. Today they have begrudgingly come into the chamber and they say they are going to vote for the bill, but they are still clinging to some of those CFMEU inspired talking points. I want to say to those opposite and to the Leader of the Opposition: get on with it. I know you have had input into the negotiations and now the deal looks much clearer than it did in the past.

I support this agreement. It is absolutely fantastic news for Brisbane. It is great news for Australia. I congratulate Minister Robb for his tireless work. He has been an exemplary minister and a superstar in dealing and sealing free trade agreements with Japan and South Korea, as well as signing this historic agreement. This government will be remembered for its free trade principles, and Minister Robb will be remembered as the architect. I commend the bill the House.

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