Warren Truss (Wide Bay, National Party, Leader of the Nationals) Share this | Link to this | Hansard source

My question is to the Minister for Trade. I refer the minister to his criticism of the government’s lack of consultation with the mining industry prior to its decision to impose a great big new tax on mining. As the Minister for Trade and a former minister for resources, was he consulted by the ‘gang of four’ before they made their mining tax decision?

Simon Crean (Hotham, Australian Labor Party, Minister for Trade) Share this | Link to this | Hansard source

Wonders never cease! It has taken three years to get a question on trade and what do we get? We get a question on consultation. It matters to have a decent memory in this place. I remember back in 1999, as Deputy Leader of the Opposition, when there was supposed consultation between the then government and us in relation to new taxes. The Labor Party of the day gave its full support to a revenue-neutral outcome in terms of taxation, a letter and an agreement that was signed off by the Treasurer of the day, Peter Costello—and an agreement that was never honoured. So do not come in here and talk to us about consultation. The key question for you is: do you honour your commitments?

Opposition Members:

Opposition members interjecting—

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! To shorten proceedings, I indicate to the minister that that was a lengthy preamble and he should go to the question.

Simon Crean (Hotham, Australian Labor Party, Minister for Trade) Share this | Link to this | Hansard source

It has taken three years to get a question. I am entitled to give it a preamble.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Order! The minister should contain his enthusiasm.

Simon Crean (Hotham, Australian Labor Party, Minister for Trade) Share this | Link to this | Hansard source

I am enthusiastic about trade but they are not, Mr Speaker. They never ask a question about it. If they are interested in the impact of trade in relation to this tax, I can tell them the conversations I have had in Japan and China recently are ones that are very supportive of the direction of this tax because it will increase the supply side of the equation, get a better match between the demand for our resources and our ability to more efficiently produce it. What we are doing is introducing a tax that takes out the disincentives that currently exist—disincentives that relate to the requirement to pay royalties before any profit is turned. This tax that we are introducing will effectively eliminate those royalties upfront.

Don Randall (Canning, Liberal Party, Shadow Parliamentary Secretary for Roads and Transport) Share this | Link to this | Hansard source

Were you consulted?

Simon Crean (Hotham, Australian Labor Party, Minister for Trade) Share this | Link to this | Hansard source

As for consultation, of course I was consulted. We operate as an effective cabinet, not a rabble like you are over there. The only person in this parliament it would seem who does not believe we need reform in the mining industry is that person sitting over there, the Leader of the Opposition. For him there would be no change; for us, we want to make this industry more efficient, more competitive, and the proposals that we have put forward are going to do that. Not only will we continue to have those discussions amongst ourselves; we will continue to have them with the industry to achieve a sensible outcome for the future of this country. The sooner you get on board and support that direction, the better for this country.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

Not that I am overly sensitive, but the minister should address his remarks through the chair.