Bruce Scott (Maranoa, Deputy-Speaker) Share this | Link to this | Hansard source

I rise tonight to highlight the importance of trade agreements, particularly the economic partnership that was struck with Japan and witnessed in this parliament last week with the historic speech by the Japanese Prime Minister. I want to highlight how bilateral trade agreements can bring benefit to the countries concerned. If you look at what happened 31 years ago, when Australia signed an agreement with New Zealand for closer economic relations, the record shows that the value of trade has grown for Australia seven per cent year on year—it compounds by seven per cent year on year—and the growth has been similar for New Zealand. The agreement has grown both economies and created opportunities for both countries. The agreement, albeit it small in relation to what we have just signed with Japan, nonetheless underpins the importance of establishing trade agreements or partnerships that can be struck on a bilateral basis with many countries.

The historic agreement that was struck between Japan and Australia on 8 July 1957 was a very progressive agreement that has lasted all this time. Japan has been one of our most important trading partners for more than 50 years. That was, in 1957, a very historic moment and a very important moment in our history. Also, it underpins the importance of leadership. We all know, and Prime Minister Abe referred to it in his own speech in this parliament, it was post the Second World War. But it showed real leadership from both the Australian and the Japanese point of view—prime ministers and trade ministers at that time. It is interesting that Prime Minister Abe's grandfather, Prime Minister Kishi, signed that original agreement in 1957. We are going to be building on that agreement with this new partnership between Australia and Japan. And of course the relationships that have been built between our two countries over that period of time demonstrate not only an understanding but, importantly, a trust in each other. If you do not have that trust, it is going to be very hard to build the relationship that is so necessary to establish these trade agreements.

So, what does that mean for my electorate of Maranoa? In relation to beef, 25 per cent of the beef enterprises in Queensland are in Maranoa. We are going to see the tariff for frozen beef falling from 38.5 per cent to 30.5 per cent, giving us an immediate competitive advantage, and that will phase down to 19.5 per cent over the next 18 years. Since 2006 we have actually been losing some market share to the United States of America, and that is why this agreement is so important. The tariff facing Australian fresh beef will fall from 38.5 per cent to 32.5 per cent, giving us, once again, an immediate competitive advantage, and then it will phase down to 23.5 per cent over the next 15 years.

Grain, similarly, is terribly important. We often overlook grain, but in terms of wheat, Japan is one of our third-largest export destinations. What the minister and the government have done is secure access to a more efficient simultaneous buy-and-sell process whereby some wheat varieties—Australian Hard and Australian Premium White, which are mainly in northern Australia, particularly my electorate of Maranoa—will be allowed a more efficient trade. But Australia will also be the only country that can export barley for feed duty-free to Japan without using the complex quota system. Our exports to Japan are now worth some $244 million—once again, a great benefit to my constituents of Maranoa. There are benefits for horticulture in the Southern Downs, and there are benefits for wine in my electorate. There are benefits for horticultural products—stone fruit products. This is great news for Australia— (Time expired)