House debates

Monday, 14 September 2015

Bills

Omnibus Repeal Day (Autumn 2015) Bill 2015; Second Reading

8:53 pm

Photo of Warren EntschWarren Entsch (Leichhardt, Liberal Party) Share this | Hansard source

The other side can trivialise a lot of this stuff. Yes, there is a lot of cleaning out the cupboards, if you like, but there is also a lot in the Omnibus Repeal Day (Autumn 2014) Bill 2015 that is going to save money. The opposition would not understand that saving paperwork and bureaucracy is actually a net benefit to small business. Given their background, they have no understanding whatsoever of small business. Let us look at the size and scope of the achievement that we are working on here. So far, with just three repeal days, we have cut $2.45 billion worth of red tape. That is equivalent to every man, woman and child in this country putting $100 into the national piggy bank. Compare this to the other side in the Rudd-Gillard-Rudd days, when federal regulation was bleeding us to the tune of about $65 billion, or more than four per cent of our GDP. This government is not just about saving money, though; it is saving time. There is less time spent in filling out paperwork, less time in waiting in queues and less time in searching for information. As a result, we are building on things that really matter: more competition, more innovation and more productivity.

Today I specifically focus on four industries where we are streamlining processes and cutting red tape: exports, small business, tourism and aged care.    Exports are critical to our country's future prosperity and for jobs. The government is pursuing free trade agreements and cutting red tape in our export industry. In Far North Queensland, sugar is a major export. I heard the previous speaker talking about sugar. The Cairns bulk sugar terminal celebrated a milestone earlier this year.    In March, for the first time, 52,000 tonnes of high-polarity Brand 1 raw sugar was loaded onto a vessel and shipped to Japan. That is the weight of the Sydney Harbour Bridge. I visited MSF Sugar in Gordonvale soon after with our trade and investment minister, Andrew Robb. CEO Mike Barry spoke about future potential.    This new export was made possible because of the Japan-Australia Economic Partnership Agreement that came into force on 15 January this year. The agreement was one of the many measures that the government took to boost Australian trade with Japan. Now we have also now signed a free trade agreement with Korea and we are certainly going to sign one with China, in spite of the nonsensical scare campaign that the other side has been running. We are looking forward to new opportunities now that we have liberalised Australia's trade with these three major trading partners.

Some great news for our export industry is the introduction of a mandatory port access code of conduct for grain export terminals. All bulk wheat exporters will now get fair and transparent access to port terminal services regardless of who owns the facility.    We have also removed the need—this may sound a bit insignificant and they may laugh about it on the other side—for cattle to have tail tags if they are being exported to the European Union. Eliminating the tag system will save cattle producers over $1 million per year—back into the pockets of cattle producers. The other side would not understand. They would not know what a cattle tag was. They probably do not even know what a cow is. Nevertheless, that is something that we consume and export in large amounts. The requirement to have tags was a labour-intensive exercise for businesses, and we certainly have better ways now of animal management prior to trucking.

The 2015 budget is helping small businesses invest more, grow more and employ more through significant tax cuts and tax deductions for every asset valued up to $20,000. My small business community has certainly welcomed this legislation being passed through both houses recently. The red-tape cuts are also very welcome news.    We have improved the pay-as-you-go instalment system by changing the entry and exit thresholds, meaning that certain small businesses will no longer have to interact with the PAYG instalment system. Businesses that choose to use this new method will only need to calculate their actual instalment income on a quarterly basis. Removing this unnecessary regulation will save Australia $2.7 million annually in compliance costs. Again, that is not a small cost for small businesses.

We are cutting red tape in the 457 visa program to streamline processing of sponsorship, nomination and applications. Owners like Mr Dev Rao, who runs Marinades Indian restaurant in Cairns, will see a more user-friendly 457 visa program. Dev has had an ongoing saga with 457s. The opposition may find this rather amusing, but nevertheless there is a cost to business. One of the 457 visa rules is that his chefs can only renew their visa if they pass an international English language test system. Dev's situation is unusual because it is not possible for him to find his chefs already trained in the kitchens of the Sheratons or the Hiltons. The cuisine at Dev's restaurant is very specific: it is the traditional, authentic taste of food stalls and family restaurants in the back streets of Calcutta. His chefs do not have the educational qualifications of mainstream chefs. They speak enough English to look after their own affairs but, because they are working in the kitchen, they do not have that level of interaction with people. That is why they struggle with the English language test. If a chef does not pass the test, Dev has two choices: either he sends them back to India or pays them an annual salary of $92,000, plus nine per cent superannuation.

Dev pays this salary and super because if the chef left it would have a huge negative impact on his business.

This has been going on for over eight years and Dev says, 'English language requirements are punishing for small multicultural businesses.' And I said to Dev: 'We have heard you. This government is reforming the 457 visa program.'

Debate interrupted.

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