House debates

Monday, 4 September 2023

Private Members' Business

Trade with the European Union

12:01 pm

Photo of Tania LawrenceTania Lawrence (Hasluck, Australian Labor Party) Share this | Hansard source

Berrys Creek Gourmet Cheese from South Gippsland in Victoria has been named Supreme Artisan at the 2023 International Cheese and Dairy Awards. They are the first Australian company ever to attain that great height. It's a fantastic example of Aussie endeavour, and I congratulate Berrys Creek and master cheesemaker Barry Charlton. I'll be keeping an eye out for a piece of Berrys Creek blue the next time I'm shopping. It's also an example of why the government is proceeding with great care in the negotiations for the free-trade agreement with the European Union. We have excellent manufacturers right here doing great work and, increasingly, beating the Europeans at their own game. In London earlier this year, our own Old Young's Gin from the Swan Valley in Hasluck took out the prestigious Craft Producer of the Year award, and Victoria's Four Pillars Gin's Cameron Mackenzie was named Master Distiller. Indeed, Western Australia traded $9.2 billion worth of goods with the EU last year, which accounted for 29 per cent of Australia's goods exports to the EU. While this mostly comprised gold and canola, WA has a growing range of products being exported, from wines made in Hasluck by Oakover and Garbin Estates all the way to ACUS water tanks.

There is, though, a significant trade imbalance in favour of the EU. We import more than double our exports to the EU across both goods and services. It is a market of 446 million people with a nominal GDP of US$16.6 trillion. There is significant scope for Australian exports to the EU to grow. In 2022, Australia ranked as the EU's 18th-biggest trade partner in goods, while the EU was Australia's third-largest trading partner after China and Japan. The interests of our current exporters and our up-and-coming businesses for whom export will be an option are paramount, so we do need to be appropriately cautious, which is what the government is doing. At the same time, in a world in which it is imperative that we diversify our supply chains and export ties and in which we seek to attract investment for our green energy transition, Australia has much to gain from the completion of this and other agreements. There are many products already being exported to the world which could be the subject of increased exports to the EU. These include our Wagyu beef, WA malting barley, seafood, truffles and Noongar country 's own jarrah honey. I spoke on this matter in November last year and noted that one of the major obstacles to the completion of the agreement was the former government's failure to take climate change and emissions targets and legislation seriously. We are now on the same page with the EU on climate matters, and negotiations have been able to proceed on that basis. It's marvellous the difference a little bit of science can make.

Organisations making submissions to DFAT on the agreement process have supported the proposed FTA. The Australian Grape and Wine Authority note significant advantages to Australian producers and exporters. The Australian Food and Grocery Council notes that the EU is the largest market not yet covered by a bilateral agreement. The Minerals Council meanwhile notes the potential benefits for the export not only of minerals but also of Australia's highly regarded mining services sector. Mining operations all over the world benefit from our expertise, with service exports by companies such as Blast Movement Technologies. Service exports are an important part of Australia's trade relationship with the EU, and there is scope for further growth.

The 15th round of negotiations concluded in April and did not bring the FTA to completion. The EU's report on the process however described discussions as constructive with both sides sharing a commitment to a rapid conclusion. DFAT too noted that the substantial progress made puts us on track for an early conclusion of an ambitious and comprehensive trade agreement. Trade Minister Farrell is resolute in ensuring that Australia gets the best deal possible, particularly for the agricultural and food sectors. And I'm pleased to see the opinion piece from Tony Mahar, from the National Farmers Federation, following the minister's trip to Brussels supporting his efforts. The Prime Minister has emphasised that the FTA will only be concluded when it contains new market access for our agriculture products, and that is appropriate.

Blessed are the cheesemakers, the vintners, the brewers, the growers, the farmers and the manufacturers across the nation. Their interests are being well represented by Minister Farrell, himself a vintner. We look forward to progress and to completion, in the interests of both Australia and the EU.

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