Steve Irons (Swan, Liberal Party) Share this | Link to this | Hansard source

It is very hard to follow such a good answer as that.

Tony Smith (Speaker) Share this | Link to this | Hansard source

The member for Swan will come to his question.

Steve Irons (Swan, Liberal Party) Share this | Link to this | Hansard source

My question is to the Minister for Trade and Investment. Will the minister advise the House what the government is doing to strengthen our trade and investment relationship with our important neighbour Indonesia?

Steven Ciobo (Moncrieff, Liberal Party, Minister for International Development and the Pacific) Share this | Link to this | Hansard source

I thank the member for Swan, who I know has a long-term interest in Australia's trade and investment relationship with Indonesia. As the Prime Minister outlined earlier in question time, I was very pleased to join with Indonesia's trade minister, Tom Lembong, yesterday to highlight that we will formally recommence discussions around a comprehensive economic partnership agreement between Indonesia and Australia. Historically, this relationship has been a little bit underdone. Indonesia is the 16th largest economy, yet it is only Australia's 12th largest trading partner, with trade worth around $14.8 billion, two-way trade in services worth around $3.8 billion and an investment stock of only around about $10 billion. There is so much more that we can do with respect to the relationship in trade and investment with Indonesia.

Those on this side of the chamber remember the dark days of the previous Labor government because of the kinds of knee-jerk policy reactions that the Labor Party took which, at the time, unfortunately, damaged that trade and investment relationship. So you can understand that, when I had the opportunity to sit down with the trade minister from Indonesia, I wanted to make sure that we were both on the same page with respect to putting that relationship back on track and maximising the opportunities that exist. The coalition is supremely focused on what we can do to ensure that, as the economy transitions away from the resources and energy boom, we build momentum on the great work that was done by my predecessor, Andrew Robb, with respect to the free trade agreements with the three North Asian powerhouse economies. We are doing that, and I believe that this announcement will be another key stepping stone.

But the question is: what was the precursor to getting this relationship back on track? I think that the trade minister, Tom Lembong, summed it up best when he said: 'I certainly share your excitement and optimism about the process we are now recommencing. I would like to add that this is a direct result of the excellent chemistry between President Jokowi and Prime Minister Turnbull. I think we are all benefiting from having two very business minded leaders leading our two countries, and I would add that I am struck by the vibrancy and the freshness that I think both leaders and, so far, both sides in this negotiation have brought to the table.'

What this makes clear is that, as we continue to transition, the coalition will remain steadfastly focused on driving jobs, driving growth and driving opportunities for Australian goods and services exporters because we know that is where the future lies. Unlike the knee-jerk policy response we have seen from previous Labor governments, the coalition will be a safe pair of hands to continue building on the great momentum that we have had in the trade and investment portfolio, and I am so pleased that this relationship under this Prime Minister is back on track.