Ian Macdonald (Queensland, Liberal Party) Share this | Hansard source

I beg your pardon, Chair; you're quite right. I just wanted to repeat for other senators' benefit what I'd said earlier. Sun Metals is an international Korean company that came to Townsville a couple of decades ago to refine zinc. They have refineries all around the world, and if they're going to expand, they can make investments anywhere, which means that they won't invest in Australian plants, which means fewer jobs for Australians. A couple of weeks ago I was opening the Mount Isa Rodeo Hall of Fame, and I met Australians who work for Sandvik Mining and Construction, a Swedish company that earns more than $500 million in income and thus will not be eligible for the tax cuts, which means the guys I was talking to at the rodeo may find that their head company in the future invests more in Africa or South America than they do in Mount Isa.

The list goes on. ERM Power, a homegrown Australian electricity supply company, will not be in the same race competitively with tax. Aurizon, a company involved in railway transportation in Queensland, partly owned by the Queensland government, will not get the same tax cuts as other people in the transport industry. Senator Cormann mentioned Qantas in response to my question. Not only Qantas but also Virgin Airlines will not benefit from increased investment, because they're not going to get the tax cut.

I continue with the higher-range turnovers: Wilmar Australia Holdings. In the town that I live in, Wilmar is not always the best name to mention—although they own four or more sugar mills, crush the cane and employ thousands of workers. They're a Singaporean company who can and do invest anywhere in the world. Why would they be interested in increasing investment in Australia when they can invest in other parts of the world and take home more of the profits they earn? Similarly Glencore, which now operates the Mount Isa mines, is a Swiss company. They can invest in Australia, or they can invest in Africa or the Americas. They know that, if they do that, they'll get a better return, because they'll pay less tax, since the Australian tax system is not competitive.

Teys Australia Ltd, a homegrown Rockhampton based meat-processing company with processing facilities in Rockhampton and Biloela, is on this list. They're not going to be eligible for reduced tax. Teys compete against some big multinationals in the meat-processing area. I know Senator Hinch is very keen on processing meat within Australia, and here is an Australian company doing it. With the limit Senator Hinch is proposing, Teys will not have the benefit of reduced taxes, which means their investment will be more circumspect. I go to the bigger companies. Myer employs tens of thousands of Australians in its various operations. This list goes on and on.

Progress reported.