House debates

Monday, 16 October 2023

Private Members' Business

Trade with the United Kingdom

11:02 am

Photo of Colin BoyceColin Boyce (Flynn, Liberal National Party) Share this | Hansard source

The Flynn electorate is made up of diverse industries that contribute an incredible amount to the Australian economy exporting abroad. Thanks to the coalition, there will be more opportunities for industries in Flynn to expand into the UK market. The UK's trade agreement with Australia was the very first trade agreement that it reached following its exit from the EU. It was signed on 17 December 2021 and came into force on 31 May 2023. It is a highly ambitious agreement, commenced and negotiated by the Liberals and Nationals in government. Farmers and producers will have improved access to more than 65 million UK consumers who value safe, sustainably produced foods and beverages with a strong origin in Australia.

There are a few benefits for the industries in my electorate of Flynn. Roughly half of Australia's cattle population lives in Queensland, and roughly one-third of that is in Central Queensland. For beef, a tariff-free quota of 35,000 tonnes at entry into force will expand to 110,000 tonnes in year 10. Tariffs on beef will be eliminated after 10 years. Bundaberg and the North Burnett's rich red soil, abundant rivers and surrounding seas are the source of never-ending seasonal and varied produce, growing 25 per cent of Australia's fresh food produce. For horticulture, tariffs were eliminated on most fruits and vegetables at EIF, with tariffs on other products of Australian export interest to be eliminated over three years and all remaining tariffs to be eliminated over the next seven years.

In 2021 the sugar industry spent and generated $72 million and employed 520 people in the Flynn electorate, according to the Australian Sugar Milling Council. In my neighbouring seat of Hinkler, over the same period, the sugar industry had a total impact of $615 million and employed over 3,000 people. For sugar, the current tariff-free quota of 80,000 tonnes at entry into force will expand to 220 tonnes by October 2030 and will then be eliminated. According to the Queensland Farmers Federation:

Queensland milks 150,000 cows on approximately 430 farms located throughout southeast Queensland, Darling Downs, Wide Bay, Central Queensland around Monto, Rockhampton, and Eungella, and in Far North Queensland near the Atherton Tableland.

For dairy, there will be an elimination of tariffs over five years, with immediate access to duty-free quotas for dairy products during the transition period. According to the Queensland Department of Agriculture, Queensland commercial fisheries have produced an average of approximately 17,000 tonnes of seafood per year since 2015. For seafood, there will be an elimination of tariffs on most products on EIF and remaining tariffs over three years. Tariffs eliminated on EIF include those on all finfish and the 12 per cent tariff on fresh and frozen rock lobster. Chickpeas, sorghum, wheat and mung beans are the most significant commodities produced in the Central Highlands, with barley, corn, peanuts, sunflowers and forage crops also grown. For wheat, barley and other cereals, there will be an elimination of tariffs over four years, immediate access to a duty-free quota of 80,000 tonnes per year for wheat and a duty-free quota of 7,000 tonnes a year for barley.

Australian households and businesses will save around $200 million a year, with tariffs on almost all UK goods being eliminated on entry into force. Professionals will have the same access to the UK's lucrative jobs market as their European competitors, except from the Republic of Ireland. This means that Australian jobseekers can compete on an equal footing with EU nationals in the UK for the first time in more than 40 years. Young people will have more time to travel the UK for a working holiday and will be able to stay longer, with the age of eligibility to participate in working holiday opportunities raised from 30 to 35 years of age and stays allowed for up to three years in each country. Australian businesses will have a guaranteed right to bid for a greater variety of UK government contracts in a procurement market worth an estimated half a trillion dollars annually. UK businesses will be encouraged to invest in Australia thanks to the best investment practice rules, including to set up regional headquarters in Australia to leverage our network of free trade agreements.

Free trade agreement will deliver more for Australian jobs and businesses and opportunities for exporters. Australian producers and farmers will receive a significant boost by getting greater access to the UK market, which is welcome in the electorate of Flynn.

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