Tim Hammond (Perth, Australian Labor Party) Share this | Hansard source

Sorry, the rebate—of course. One doesn't want to get bogged down by the language in relation to where we're at. The WET rebate—it's terrifically named, I reckon—was introduced in order to try and support small Australian wine producers, as the member for Riverina outlined at the start of his second reading speech, and I certainly agree with him. He went on to say:

The wine equalisation tax rebate—

He says 'WET tax rebate', so that might be controversial—

supports the Australian wine industry by providing wine producers with access to a tax rebate on sales of eligible wine.

Absolutely. Why does it do that? It does that to support small business. Again, we are in heated agreement in relation to how we can try and shape this legislation in order to achieve that aim. What better way is there to try and achieve that aim of supporting small business than the appropriate modification of the WET rebate? The member for Riverina went on to say:

A wine producer will need to own at least 85 per cent of the grapes used to make the wine throughout the winemaking process.

That just makes sense; that's a good initiative. He also said:

Wine producers will be required to sell wine packaged in a container not exceeding five litres …

I noticed that the member for Brand also emphasised that aspect of the legislation. I think five litres is an interesting volume. As I understand it, it was a volume of wine that was often purchased, particularly during university days, to ensure that, through the moments of extraordinary hard work and stress, there was a little bit of light in the shade. So, again, that would seem to make sense. It's good to see that some traditions may continue. Again, it's a situation where I'm delighted to see that we have significant common ground in relation to supporting this legislation.

You have already heard, Mr Deputy Speaker Goodenough, and those present in this debate have already heard, how important supporting the small wine producers is in relation to our great home state of Western Australia. The member for Brand, the member for Forrest and even, as the member for Brand indicated, the member for Kingsford Smith have remarked on the great whites both in and out of the water in the Margaret River region. That is certainly the case. Margaret River produces some spectacular chardonnay, which is terrific for those chardonnay socialists who probably inhabit the other benches as opposed to ours. We are the real deal over here. That's not to suggest chardonnay is not the real deal, but you know what I mean. That's together with chenin blanc—there's a terrific chenin produced by a winery in the Margaret River region called Aravina Estate, which is absolutely tremendous—and other white blends, such as sem sauv blanc, verdelho, of course, and the like.

Let's not forget that there is a burgeoning wine industry closer to the CBD and, actually, in a part of the world that used to be part of the federal electorate of Perth. That is my electorate. That is the wine industry in the Swan Valley. But, in relation to the Western Australian wine industry, one of the things that we can be very proud of is that it certainly punches above its weight in relation to not only quality but also value. What we see with the Western Australian wine industry is that it produces about 45 million litres of wine annually, and, whilst it only represents five per cent of Australia's wine production, it represents 12 per cent of its value and over 20 per cent of its fine wine. That's really saying something about why it is so important that this measure backs in those small producers that focus on quality as opposed to quantity.

What we also see, of course, is that a lot of this stuff really comes back to jobs, and we're not doing our jobs properly in this place unless we remain razor-sharp focused on all legislation that comes through here that is designed to promote jobs. The wine industry in Western Australia employs over 52,000 people directly, let alone the countless thousands and thousands that it employs indirectly. Western Australian wine exports amount to around $50 million per annum—a significant number. Wine grape plantings in Western Australia were about 13,000 hectares in 2012, and about 70 per cent of that is in the Margaret River and Great Southern regions. Let's not overlook the other burgeoning regions in the Great Southern, such as Denmark, Mount Barker, Porongurup and Albany, all producing terrific wine. The value of the industry in 2015 in Western Australia was estimated at $2.8 billion. Almost half of that value in Western Australian wine is generated through sales to consumers within the state.

Let's go a bit closer to home. Let's not forget the Swan Valley. A little-known fun fact: the Swan Valley was the first ever wine-producing region in WA, planting in 1834. It is also one of the warmest viticultural regions in the world, which means some of the wines it's able to produce are absolutely unique to that area. With a good set of lights, you can probably get to the Swan Valley in about 17½ minutes. I tell you what: I would encourage anyone who's coming to Perth to make a beeline north, before they head down south, to experience some of the unique wines the Swan Valley produces. They do a Verdelho liqueur, which is tremendous, and a liqueur shiraz as well. Again, it is also very well known for some of its warmer climate white wines: Chenin blanc, Verdelho, shiraz and Petit Verdot, some of the best in the country. Some of those iconic Western Australia wine labels, such as Houghton, Sandalford and Lamont, all hail from the Swan Valley.

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