John McVeigh (Groom, Liberal Party) Share this | Hansard source

I welcome this opportunity to address the JSCOT report into the Indonesia-Australia Comprehensive Economic Partnership Agreement and the Australia-Hong Kong Free Trade Agreement. This is in the context of the Morrison government's continuing pursuit of our very ambitious export growth agenda. Australian businesses that export, on average, hire 23 per cent more staff. They pay 11 per cent higher wages and have labour productivity rates that are 13 per cent higher than those of nonexporters. That's why trade contributes to our economy, creates jobs—higher paying jobs—and adds to our capacity to pay for the essential services that Australians demand and rely upon. Therefore, I welcome the findings of JSCOT in this report that the parliament should proceed as soon as possible to implement the Indonesia and Hong Kong free trade agreements. That's why the government is certainly progressing in that regard and is keen to ratify those agreements as soon as possible.

The Indonesia-Australia agreement, once implemented, will mean that over 99 per cent of Australia's good exports will enter Indonesia duty-free and under preferential arrangements. Frozen beef and sheepmeat, for example, will have their tariffs halved, with them being eliminated entirely after five years. Removing all remaining tariffs on dairy exports is so important for our ailing dairy industry. And there are opportunities in the vocational education, mining and related services, and tourism sectors, amongst others.

The Hong Kong-Australia Free Trade Agreement provides a comprehensive, ambitious agreement to govern the trade and investment relationship, including modern e-commerce rules governing free data flows across borders; guaranteeing access for service suppliers into key sectors such as finance, education, transport, tourism and professional services; and guaranteeing tariffs will be bound at zero per cent.

What is industry across Australia saying about this? The National Farmers' Federation stresses that the only way we can really provide greater certainty for our agricultural exporters is by signing free trade agreements. The dairy industry is certainly celebrating the Indonesian agreement in terms of job prospects and growth in existing exports. The grain industry, similarly, particularly focuses on Indonesia's stockfeed manufacturing market. The list goes on. In terms of food and agriculture value chains, the Australian Food and Grocery Council certainly celebrates the fact that more jobs and more impact in rural and regional Australia as a result will flow from the agreement. AUSVEG similarly talks about Indonesia being so important to us—because they're a close neighbour, quite obviously, but, most particularly, because they're expected to be the world's fifth-largest economy by 2030—particularly relating to opportunities in carrots and potatoes in their case.

I mention these examples because the government is implementing what industry is calling for in the interests of economic growth. The Australian Chamber of Commerce and Industry talks about the Hong Kong agreement providing so much more market access for our insurance, banking and fintech industries, as well as reducing red tape, which is certainly what our government's all about. And of course the Business Council focuses on not only the agricultural opportunities that I've mentioned, but those in education and vocational education as well.

Today in Canberra, we have the 10-year strategic plan for the red meat industry being released. The chair of the Red Meat Advisory Council, Don Mackay, has talked about Indonesia being such an important partner for us in the live cattle trade, in the beef industry, and the fact that this agreement will secure more trade certainty for red meat products. This is the same situation with the Hong Kong agreement. I appreciate the fact that Hong Kong provides us with so much potential, given that out of my home city of Toowoomba we have a weekly freighter flight from the Wellcamp Airport that goes directly into Hong Kong, flown by Cathay Pacific. This flight, amongst other things, takes meat products from our own Oakey Beef Exports—a significant exporter and certainly the largest employer in the township of Oakey, outside Toowoomba.

This is about fair dinkum outcomes. This is about building on the advantages and efforts that we have in place already. That's why the National Farmers Federation CEO, Tony Mahar, says that lower tariffs and expanded quotas for a whole range of products—and, again, he talks about dairy, beef and sheepmeat, but also sugar—are so important. Let's remember that it's the NFF that's been in Parliament House this week celebrating its 40th anniversary, such is the significance of that organisation.

With regard to education, the Group of Eight universities talks about advantages. My colleagues referred to the Australian grape and wine industry, and of course the same goes for the minerals sector in our economy.

I've referred to my own experience in the Darling Downs. Ours is a dairy, grains, cotton and beef production area. As I mentioned, that weekly freighter flight from Wellcamp Airport straight into Hong Kong promises so much for future export growth and more jobs that don't exist at present in our economy. In my own case, prior to politics I had a significant background in the cotton industry and direct exports into Indonesia, having spent many years in Jakarta, Yogyakarta and other places, such as Bandung. We have a cotton industry trade that doesn't progress as much anymore, but this means—

A division having been called in the House of Representatives—

Proceedings suspended from 11:03 to 11:17

Debate adjourned.

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