Fiona Scott (Lindsay, Liberal Party) Share this | Link to this | Hansard source

I move:

That this House:

(1) notes that:

(a) the University of Western Sydney (UWS) and the Beijing University of Chinese Medicine (BUCM) signed a memorandum of understanding (MOU) as part of the landmark China Australia Free Trade Agreement, and the forged relationship will provide:

  (i) broader and improved healthcare options as a result of the clinical and research trials conducted by the UWS's National Institute of Complementary Medicine and the BUCM to validate and translate Chinese medicines into an integrated healthcare setting;

  (ii) the international framework for Australia to become the leading western accreditor of the $170 billion dollar global traditional Chinese medicine market; and

  (iii) formalised connections with the internationally regarded researchers at the BUCM which will further enhance the reputation of the UWS as a leading centre of research excellence that delivers practical social and economic outcomes for the residents of Western Sydney;

(b) the MOU between these two universities was among 14 commercial agreements signed between Australia and China, and will secure unprecedented levels of market access to the world's second largest economy, with a population of 1.36 billion and a rapidly growing middle class; and

(c) households and businesses will also reap the benefits of cheaper goods and components imported from China, placing downward pressure on the cost of living and the cost of doing business; and

(2) commends the Government on its approach to securing a historic free trade agreement between Australia and China.

Today I stand very proud: proud of the community I represent, proud of an innovative university that has gone beyond its reach—a university that sees the future of our great nation. Through our free trade agreement the University of Western Sydney has signed a memorandum of understanding with the Beijing University of Chinese Medicine. This free trade agreement will open up so much opportunity to the people of Western Sydney. But all too often we hear about the doom and gloom of free trade agreements and why they may be bad for Australia. But the fact is that, overall, a good free trade agreement is about providing a win-win partnership between both countries. This free trade agreement, and in particular the memorandum of understanding with UWS, will provide so many opportunities and new investments and new industries.

Lindsay sits wedged between two of the fastest growing regions in our country, the north-west growth sector and the south-west growth sector, and I would like to acknowledge the presence today of my other Western Sydney colleagues that represent this very diverse and innovative region. I would also like to congratulate the amazing work of the Prime Minister, the foreign affairs minister and the trade minister for enabling this wonderful opportunity to come before the people of Western Sydney. One of the most impressive aspects of this free trade agreement is that it will open up the people of Western Sydney to exposure to a $170 billion industry. The work this government has done in opening the doors of the people in my electorate of Lindsay to involvement as a global industry partner will be absolutely crucial to its success.

I would like to congratulate the University of Western Sydney for seeing this opportunity to establish the new facility in Western Sydney, which the university will make happen, to specifically study and evaluate and validate traditional Chinese medicines. The landmark deal will see the Beijing University of Chinese Medicine link with the University of Western Sydney's National Institute of Complementary Medicine to evaluate different herbal medicines. The plan will use western research to give many of the medicines the credibility they need to be accepted as a genuine alternative or complementary therapy. But there is more than just this.

It is an agreement that will see Chinese remedies translated into an integrated healthcare setting, and that has an enormous spin-off. There are massive patenting opportunities, while there will be more options for patents, and doctors, too, will benefit by potentially offering alternatives to medicines that are overprescribed like we are currently seeing with some antibiotics. I am a person that suffers with this. I am allergic to penicillin and other sulphur drugs. I can only take antibiotics, which means I need to be careful when I do take them in case I have a chronic illness and I need antibiotics in the future.

This deal opens the door to a whole new world in the way we look at prescribed medicines. The new faculty will aim to develop new treatments for unmet medical needs and new medicines for export all around the world. It will also see synthetic re-creations of active ingredients in those medicines, taking pressure off local flora and perhaps, down the track, the fauna populations. As it stands, the new centre will initially be studying the effectiveness of Chinese herbs. In its embryonic stage the Beijing University of Chinese Medicine will give UWS $20 million to build a research and patent facility that will directly employed 60 people, and that does not include workers employed on the site's construction or the cost to get the facility up and running.

But while that is all great news for Western Sydney there is even more exciting news that this MOU has brought to the region. For instance, the Baiada group are looking at a 256-hectare site in the south of my electorate where they want to employ in the vicinity of 25,000 people at a new science park. They have gone to Nashville, they have gone overseas, they are looking at how they can actually bring a new silicon valley to our part of Western Sydney. We are not talking one or two jobs here. We are talking jobs in the thousands. We are talking about Western Sydney being the innovative health leader for well into the future.

This is exciting for an area where it is estimated that anywhere between 180,000 to 220,000 people have a job deficit. In my electorate alone two-thirds of the workforce have to commute every single day. That is about 65,000 people. When we talk about building in the vicinity of 25,000 smart jobs, this is significant. The government's infrastructure plan through the Werrington arterial will link to the Werrington Business Park as well as the Dunheved Business Park. The Penrith Business Alliance estimate that each of these parks will be worth 6,000 jobs. That is more smart jobs for the people of Western Sydney. This is what innovative, smart free trade agreements are going to mean to the people of Western Sydney.

It was my great pleasure to have the Minister for Foreign Affairs in my electorate on Thursday. She has been crucial in the drafting of this policy. And how proud was I to sit there? I could see the policy that she put together in an embryonic stage whilst we were in opposition, now with corporate partners coming online to invest in what will be an amazing future for our part of Western Sydney; a region that for so long has been overlooked—a region that people really have not given the due respect that it has deserved.

I have received a letter from the Vice-Chancellor of the University of Western Sydney. He said, 'I am sure you agree it is notable that the partnership in question was the sole ChAFTA subagreement witnessed by President Xi Jinping and Prime Minister Abbott. This illustrates the centrality of views of both the leaders of complementary medicine to the ChAFTA's overarching aim, which is, at its core, to produce substantially beneficial and progressive socioeconomic outcomes for both countries. This particular subagreement certainly promises to do just that.

I am pleased to add that Western Sydney, Australia's third-largest and fastest-growing economy, will be a significant beneficiary of this objective. The subagreement effectively positions the University of Western Sydney's National Institute of Complementary Medicine as a pivotal contributor to the global growth in accredited traditional Chinese medicine. The partnership with the Beijing University of Chinese Medicine will significantly strengthen the evidence based efficacy and take up of traditional Chinese medicines internationally through substantially increased research and development capacity.

Australian industry revenue from complementary medicines, of which traditional Chinese medicine is a significant component, is conservatively estimated at $3.5 billion per annum. Prior to the execution of the subagreement, revenue was expected to grow to $4.6 billion by 2017-18, with accompanying employment figures exceeding 40,000. Pleasingly, these are already-strong projections and, of course, will need to be revised in the positive.

The global growth of traditional Chinese medicine is very strong, reflecting the heightened levels of domestic support in China. A 2013 KPMG assessment of the Chinese pharmaceutical industry highlighted a 165 per cent increase in government investment in this industry segment since 2005. In 2011 the PRC government identified research and development as a priority, which includes the establishment of a clinical research and development system. The subagreement enables Australia—and more pointedly, Western Sydney—to be the beneficiary of this process.

Already the subagreement has led to the securing in principle of a bilateral commitment to establish an Australia-China academy for innovative health care in Western Sydney. This facility will support internationally recognised preclinical and clinical research by visiting local specialists within a world-class teaching and research setting. In addition, it is clear that through investment attraction and employment growth potential, the subagreement offers further confirmation of Western Sydney's capacity to transition from a declining manufacturing sector to move towards an innovation based industry. Like you, the university believes that this shift is not only entirely achievable but imperative for securing the region's international competitiveness and prosperity for coming decades.'

I am very pleased to bring this motion before the House. I am very pleased to advocate for the people of Western Sydney and I am excited as to what the future of our region can bring.

Mrs Bronwyn Bishop (Speaker) Share this | Link to this | Hansard source

Is the motion seconded?

Russell Matheson (Macarthur, Liberal Party) Share this | Link to this | Hansard source

I second the motion and I rise to support the member for Lindsay's motion on the China-Australia Free Trade Agreement, particularly in relation to the growth of complementary medicines in Australia.

The complementary medicine industry is growing rapidly in Australia. A recent report by Complementary Medicines Australia indicates that the complementary medicine industry in Australia generates more than $3.5 billion in revenue per year and that this is expected to grow to $4.6 billion by 2018, supporting over 40,000 jobs. Australian companies export around $200 million worth of complementary medicines to more than 20 countries in south-east Asia, Europe and the Americas.

Exports continue to grow at a higher rate than domestic consumption. Domestically, two out of three Australians use complementary medicines as part of their integrated health care each year. Through this, the government collects in excess of $200 million per annum in GST on the sale of complementary medicines and services. There are also a number of benefits for everyday Australians. For instance, more than 40 per cent of users take complementary medicines for chronic medical conditions where current treatments may be expensive, ineffective or have unwanted side effects.

I am very proud to say that the National Institute of Complementary Medicine is based at the University of Western Sydney in my electorate of Macarthur in Sydney's south-west. The institute was established in 2007 by Prime Minister Tony Abbott when he was Minister for Health and Ageing under John Howard. Since then, the institute's reputation as a world-class leader in this industry has well and truly flourished. It provides leadership and support for strategically directed research into complementary medicine and the translation of evidence into clinical practice and relevant policy.

The institute's advanced research and policy work in this field is intended to lead to better health outcomes for Australians, to increased manufacturing and farming opportunities in this country and to capture international export prospects, as well as to deliver new knowledge based jobs for Australians. The institute currently employs more than 50 staff and research students performing world-class clinical trials, preclinical studies and research, and has a remarkable international reputation in the field of traditional Chinese medicine.

The National Institute of Complementary Medicine is funded by the university, industry partners, philanthropy and research grants and contracts. It is working to gain approval from the Australian Therapeutic Goods Administration for the first prescription drug in Chinese herbal medicine, and is currently leading a phase-3 clinical trial in the treatment of vascular dementia.

Australia's world-class reputation in Chinese medicine is recognised and respected by the People's Republic of China, due in part to the collaborative work the institute has conducted with its partners in China. Over the years, the institute has established close working relationships with many of China's leading pharmaceutical and herbal medicine companies, hospitals and universities. These relationships have opened up a range of investment and innovation opportunities for Australia, which are likely to get stronger into the future. As a leading global research entity and regulator of Chinese medicine, the National Institute of Complementary Medicine is key to unlocking the market potential in China. In addition to its scientific research, the institute's significant role in policy research has led to Australia being the first nation to regulate the practice of Chinese medicine.

As I have mentioned, the institute has created significant domestic investment and innovation opportunities, and plays an important role in broadening opportunities for tertiary study in this growth industry. At UWS's Campbelltown campus, students can undertake bachelor and master courses in complementary medicine. The institute equips graduates to become nationally registered practitioners of traditional Chinese medicine and work within the healthcare system as independent primary care practitioners. UWS also offers postgraduate training to current traditional Chinese medicine practitioners to assist them to grow as specialists in their clinical practice. The Master of Health Science (Traditional Chinese Medicine) course, for instance, is the only degree of its kind in Australia and is sought out by a wide variety of practitioners.

The complementary medicine industry offers significant economic and health opportunities for this country. I would like to take this opportunity to congratulate and commend the National Institute of Complementary Medicine for their hard work in supporting these opportunities. I note that there are other members from Western Sydney—the member for Chifley and the member for Parramatta—who are going to speak around the free trade agreement in a private member's bill, and I wish them all the very best.

Ed Husic (Chifley, Australian Labor Party, Shadow Parliamentary Secretary to the Shadow Treasurer) Share this | Link to this | Hansard source

It gives me pleasure to speak on this because, like the member for Lindsay, I had the honour and privilege of being able to graduate from the University of Western Sydney. As Western Sydney residents, we wanted to see, particularly amongst our generation and future generations, the ability for people to attend tertiary education within a region that we call home and that we believe holds great economic promise for the rest of the nation.

I graduated in the early nineties when the university had just started to take form. It had been in the pipeline for quite some time. In 1987, in the lead-up to the university being formally established, it was supposed to be named Chifley University—a name I certainly would not have had any issue with given the privilege I have in representing the electors of Chifley in this place. However, controversially, in 1989 the then state coalition government did not agree and decreed that it would become the University of Western Sydney. The fights over the name have well and truly gone and I think we all support the university in its continued operation and the fact that it is a platform for great opportunity, as I said earlier and as I reflected on a few moments ago, for the young people of our region.

You can see this through the growth of the university. I attended the Werrington campus—first the Kingswood campus and then the Werrington campus. You could see the growth through Bankstown, Campbelltown, obviously in Parramatta and at the site that it had in Westmead, which was the initial launching platform into Parramatta itself, and in Hawkesbury. Bringing together different colleges of advanced education, as they were once known, and bringing them under the umbrella of a university was a major deal. As I said, it is something that we can be rightly proud of.

I have spoken very positively in times past of the university and I will continue to do so. It does not necessarily mean that I look at the university through rose coloured glasses. There have been concerns on decisions that have been made by the university from time to time. There was a great deal of concern a few years ago when the university was looking to shut down its course of economics. We might be talking about a free trade agreement today, but not offering an economics course seemed to be rather odd given the fact that the economy of Western Sydney is one of the largest in the country and we need to ensure that we train up our own army or barrage of economists coming from the region that have an affinity with the region. Certainly, at that point in time, the argument was made by the university that the demand was not there for the economics course to be maintained and hence it was not continued—or the argument was that it would not be continued, although economics and business courses are, thankfully, offered by the university,

It does beg the question of how to assign resources for certain things, like the things that we are talking about today, in a climate where financial pressure is well and truly on. That financial pressure is no doubt being exercised, in my mind and in the minds of many of ours on this side of the House, on the proposed changes to higher education funding reform. There is $1.9 billion in cuts to universities that are being proposed in the current bill, mark 2. There will still be $100,000 degrees for undergraduate students. There are about $171 million in cuts to equity programs; $200 million cuts in indexation of grant programs; critically, $170 million in cuts to research training; and $80 million in cuts to the Australian Research Council.

The reason I mention those last two points, in particular, is to pick up on a point that the member for Lindsay made about innovation. It would be great for our university to be able to partner effectively with business in our region and ensure that we have a transfer of knowledge, a sharing of assets—particularly by start-ups, by innovative firms and by the university. We need to find the money to do that. But if they are under the financial pressure that is potentially going to be imposed on them by the bill that is being debated in the House and in other places then that is going to be a cause for concern, and people will rightly ask why we are championing, on one hand, what is being put forward in the substance of this resolution when we are not able to see other things occur.

I continue to hear rumours, for instance, about the future of the Hawkesbury campus, and that is of great concern to me. Those rumours may be unfounded, but people are sufficiently concerned to raise those with me. I have also heard rumours that the heart of UWS will be moved from Werrington to Parramatta. I understand that the Parramatta campus has grown phenomenally and one of its champions is here in the House, the member for Parramatta herself. While Parramatta is an astoundingly great campus, there is something important about maintaining the heritage of Werrington, being in the heart of Western Sydney in the way that it is. I am concerned about that heart being taken out of Werrington, out of the electorate of the member for Lindsay, and moved out of there. There are also questions—I mentioned Hawkesbury. As much as there is celebration about the expansion plans that have been announced for Parramatta, there is undeniable evidence that Western Sydney will continue to grow westward. There are about half a million people expected in the north-west and the south-west. We need to be making sure that we dedicate as much investment as necessary for the people that are moving in there.

I make this argument not from a parochial basis. I am not arguing this as the member for Chifley; I am arguing this as a member who believes in the growth of Western Sydney and that we should have the infrastructure there for people across the region. Naturally, I am very proud of the fact that UWS has a presence at Nirimba, which is in the Chifley electorate, but it will also have those growing pains and those growing pressures continue. As I said, I am very happy if the university is branching out, particularly in terms of using the auspices of a free trade agreement to work with our friends in China, but at the same time we want to make sure that they can also deliver for the region. The continuing need to deliver for the region as it continues its fast pace of growth is something that has to be front and centre.

I have not yet had the opportunity to meet formally with the new Vice-Chancellor, Barney Glover. I do look forward to doing so at some point. His people seek to assure me that they are balancing out their growth plans in a way that will deliver for the region. I look forward to hearing the actual detail to back up the claim. But I do want to ensure, as I have regularly argued both here and elsewhere, that as Western Sydney continues to move its expansion westward people in those areas do not suffer a lag in service or infrastructure. At the same time as meeting those new needs I want to ensure, as I am sure—and this is regardless of your politics—we all want to make sure, that existing service in the electorates, for example, of Parramatta, of Chifley, of Greenway, of Lindsay, of Macarthur continue to be sustained, and sustained thoroughly.

But there are, as I have indicated before, concerns about what is happening on that front. We are certainly happy about, and the member for Parramatta has rightly advised of, the strong links that the university has had with the pharmaceutical industry and the collaboration that has occurred there. We would want to see that broadened, and I understand that the member for Parramatta will expand on this issue further. I think we are unified on our side of the House about the future of universities like the University of Western Sydney. I also look forward to hearing the vice-chancellor's comments on what the impact of the higher education bill would be on the University of Western Sydney if those cuts are to eventuate. Western Sydney would be rightly, justifiably concerned about the impact on the quality of education in our region if the higher education changes being put forward by this government take effect as they are celebrating, in part, an international expansion while there is so much pressure on the domestic front to deliver service.

So I think there are questions to be asked of the coalition members from Western Sydney about what assurances are being given for the University of Western Sydney's continued operation of delivering high-quality education to the people of our region into the future. I think there are also questions to be asked obviously and respectfully of the university management about how they will manage growth into the years to come. While we certainly recognise, respect and celebrate international expansion, we want to ensure that the core function of this university, delivering education for Western Sydney students, is maintained. While we may have differences about aspects of policy, and certainly some of the things I have said will be contested by those opposite, I think we are unified in wanting to see Western Sydney students getting a quality level of university education that is enjoyed by others in the country.

Julie Owens (Parramatta, Australian Labor Party, Shadow Parliamentary Secretary for Small Business) Share this | Link to this | Hansard source

I am really pleased to be able to stand in this House today and congratulate the University of Western Sydney for an extraordinary job of building a relationship with the Beijing University of Chinese Medicine, a task that they commenced well over a decade ago and which culminated very recently in a memorandum of understanding which will move an already existing relationship in a new and fabulous direction. It shows a genuine commitment by both universities to building a future in clinical research. I am a little more concerned that the government speakers today, in moving this motion, take a little more credit than perhaps is due to the government by linking this agreement to the China-Australia Free Trade Agreement. It is not actually part of the free trade agreement, and none of the press releases by the University of Western Sydney or, for that matter, by the Australian Trade Commission, when this memorandum of understanding was signed, mention the free trade agreement at all.

This is a longstanding agreement. In fact, there is already a high-level agreement between the University of Western Sydney and the Beijing University for Chinese Medicine that dates back some time. We also know that internationally the National Institute for Complementary Medicine at the University of Western Sydney has been formally recognised by the Chinese government, and those high-level collaborative agreements have already been in place between both China and Korea. This is an activity that is incredibly important in Western Sydney not just in terms of health but also in terms of the economy. Complementary medicine in Australia alone is a massive market. Two-thirds of Australians use complementary medicines and therapies each year, representing an annual expenditure of over $3.5 billion in Australia alone.

The National Institute for Complementary Medicine was established by the University of Western Sydney back in June 2007. One of the previous speakers mentioned that it was funded by the Howard government, and we should always give credit where credit is due. That was a very forward thinking decision back in 2007. The institute has continued to grow between then and 2013, when the former Centre for Complementary Medicine Research came under that same government framework. They have been doing really quite remarkable work. They have already successfully completed clinical trials on a broad range of things such as irritable bowel syndrome, infertility, menopause, dementia, cardiovascular disease, breast cancer, fatigue, cold sores, delayed onset muscle soreness and a whole range of others. This has been a focus at the highest level of skill and research in this university for over a decade. The National Institute for Complementary Medicine at Western Sydney is one of only two Australian universities that is licensed by the Therapeutic Goods Administration to test the quality of these medicines and it has been doing a remarkable job.

The relationship now with the Beijing University of Chinese Medicine is an incredibly important one. It will lead to a new research led Chinese medicine clinic in Sydney based in Westmead in my electorate with the potential for Australia to tap into the $170 billion global traditional Chinese medicine market, an incredibly lucrative market and an area of research that is growing in the world. It was good to see the University of Western Sydney investing in it at such an early stage some 10 years ago. The Beijing University of Chinese Medicine already has relationships with universities elsewhere in France and in Canada and a strong relationship already with the University of Western Sydney, but this is a major step forward.

Again I stress that, while we are today talking about the University of Western Sydney, it is disappointing that the government speakers tried to take a little bit more credit than was due in this particular memorandum of understanding. It was in fact signed in front of the two Prime Ministers, as the Australian Trade Commission press release says, but it is the result of a decade of work and support from the previous Howard government and a relationship that already exists and is well established.

I congratulate the University of Western Sydney. I am very proud of it. Well done.

Debate adjourned.