Kim Beazley (Brand, Australian Labor Party, Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Deputy Prime Minister and Minister for Trade. Can the Deputy Prime Minister explain why the estimated return to Australian wheat growers was only $285 per tonne from the 2002-03 pool, when AWB Ltd was signing contracts with Saddam Hussein of up to $521 per tonne—like this one—assessed and approved by his department on 12 January 2003? Given the $236 per tonne difference between returns to AWB Ltd and estimated returns to our wheat growers, why did he not act to protect their interests and ask where the $236 per tonne was going? Deputy Prime Minister, why did the government turn a blind eye to the fact that Saddam Hussein was making almost as much money from Australian wheat as Australian wheat growers?

Mark Vaile (Lyne, National Party, Minister for Trade) Share this | Link to this | Hansard source

The Labor Party continue to run this political scaremongering campaign whilst there is an inquiry under way. They are denigrating the reputation of Australian wheat growers in doing this, led by the Leader of the Opposition—

Opposition Members:

Opposition members interjecting—

David Hawker (Speaker) Share this | Link to this | Hansard source

Order! The Leader of the Opposition’s question was clearly heard. I am having great difficulty hearing the minister’s response. Members will show more respect. Has the Deputy Prime Minister completed his answer?

Mark Vaile (Lyne, National Party, Minister for Trade) Share this | Link to this | Hansard source

The Labor Party continue to assert that these contracts were certified by the Australian government. The contracts were certified by the UN; they were signed off on by the UN. As the Leader of the Opposition knows, the process that has taken place in the United Nations—

Kim Beazley (Brand, Australian Labor Party, Leader of the Opposition) Share this | Link to this | Hansard source

Mr Speaker, I raise a point of order going to relevance. He is not answering the question as to why he approved them. That is an Australian—

David Hawker (Speaker) Share this | Link to this | Hansard source

The Leader of the Opposition knows full well that there is only one standing order and that the minister’s answer shall be relevant to the question. The minister is in order.

Mark Vaile (Lyne, National Party, Minister for Trade) Share this | Link to this | Hansard source

It has been explained in answers to previous questions exactly why that seal is on the front cover of the document that the Leader of the Opposition is waving around, but he continues to assert the allegation that the Australian government certified and signed off on these contracts, when they were contracts under the UN oil for food program and they were certified by the UN. They were checked off by UN customs officials—and he knows that. Yet they continue to run this campaign that is denigrating the reputation of Australian wheat growers and affecting Australian wheat growers’ ability to work in markets across the world.

Barry Wakelin (Grey, Liberal Party) Share this | Link to this | Hansard source

My question is addressed to the Prime Minister. Would the Prime Minister outline to the House the result of his and the Deputy Prime Minister’s discussions today with AWB Ltd?

John Howard (Bennelong, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

I thank the member for Grey, who represents many wheat growers, for this question. Today, with the Deputy Prime Minister and other senior ministers, I met the Executive Chairman and the Acting Managing Director of AWB Ltd to discuss the current tender for wheat in Iraq. I emphasised that the government was not prejudging the outcomes of the Cole inquiry or making any judgments about AWB. I also made it clear that the question of the single desk was a separate issue and not currently under consideration by the Australian government. The government’s principal concern, and I know it is of the member for Grey, is the wellbeing of Australian wheat growers.

The government noted the statements by the Iraqi Grain Board that business relations with AWB would be suspended until the results of the Cole inquiry were known. The government is continuing to make representations to the Iraqi government on access for Australian wheat into the Iraqi market, noting reports that the tender process has been deferred.

Taking advantage of the time available from this deferral, the government will send a delegation to Iraq to discuss the current Iraqi tender. The delegation will leave as soon as possible. The delegation will be led by my colleague the Deputy Prime Minister and trade minister. It will include the Executive Chairman of AWB Ltd, Mr Brendan Stewart, for the very simple reason that AWB holds the wheat in the pool. The delegation will also include representatives of Australian wheat growers.

The delegation’s goal is to protect the interests of Australian wheat growers and the value of the wheat in the Australian pool. The delegation will explore all options to secure the continued access of Australian wheat to this important market. Among these options AWB Ltd has indicated its willingness, on a voluntary basis, not to exercise its veto on this tender if necessary to secure a positive outcome for Australian wheat growers. The Australian government is committed to working with the Australian wheat industry to secure our longstanding markets and the best outcome for Australian wheat growers.

Kim Beazley (Brand, Australian Labor Party, Leader of the Opposition) Share this | Link to this | Hansard source

My question is to the Prime Minister and follows that question and the previous one I asked the Deputy Prime Minister. Prime Minister, given that UN Security Council resolution 661 imposes a legal responsibility on national governments, and nobody else, to enforce UN sanctions against Saddam Hussein’s regime, do you accept any responsibility for the suspension of Iraqi imports of wheat from Australian farmers?

John Howard (Bennelong, Liberal Party, Prime Minister) Share this | Link to this | Hansard source

The Australian government has discharged its responsibilities under all UN resolutions. The Australian government has gone further. The Australian government has done more than any government in the world to establish a freestanding independent inquiry of integrity to get to the bottom of this matter. Let me say on behalf of every member who sits behind me: this government has nothing to apologise for. This government has done the right thing by the wheat growers of Australia and will go on doing so.