Senate debates

Wednesday, 18 September 2019

Questions without Notice

Agriculture Industry

2:23 pm

Photo of Susan McDonaldSusan McDonald (Queensland, National Party) | | Hansard source

My question is to the Minister for Agriculture, Senator McKenzie. Can the minister advise the Senate what the Liberal-National government is doing to support sugarcane farmers across Queensland and to deliver stability and certainty to those who are struggling with high energy and fertiliser costs?

2:24 pm

Photo of Bridget McKenzieBridget McKenzie (Victoria, National Party, Minister for Agriculture) | | Hansard source

Thank you, Senator McDonald, for your question and for your strong advocacy for sugar growers in Queensland. The sugar industry is a major contributor to the economies of rural and regional communities in Queensland and northern New South Wales, generating more than $2 billion for the national economy and making it the third-largest sugar exporter in the world. In 2017, our government introduced the Sugar Code of Conduct to provide for pre-contract arbitration when growers, millers and marketers fail to agree to terms, contracts or agreements with each other and to guarantee grower choice for the marketing of sugar.

The review of the code last year sought feedback and evidence as to whether the code was operating as intended. Following significant consultation, the government committed to retaining the code, which continues to provide certainty for growers, millers, marketers and the many thousands of Australians employed in the sugar export supply chain. With the code in place, growers, millers and marketers are now able to get on with the job.

Our sugar farmers are suffering from the low value of sugar on the world market, further exacerbated by India's announcement of a six million tonne export subsidy of $216 a tonne starting next year. The Australian government is deeply concerned with India's excessive sugar subsidies. To help the sugar industry, the government have exercised our right to protect the 40,000 sugar industry jobs by initiating a dispute settlement action in the WTO against India's sugar subsidy regime. This panel was established on 15 August.

India's subsidies are vastly in excess of its limits under the WTO rules, contributing to a glut on the global sugar market and driving prices down to unsustainable lows, hurting Australia's globally competitive sugar industry. Our government continues to stand with sugarcane growers and the millers throughout Queensland and New South Wales.

Photo of Scott RyanScott Ryan (President) | | Hansard source

Senator McDonald, a supplementary question?

2:26 pm

Photo of Susan McDonaldSusan McDonald (Queensland, National Party) | | Hansard source

The Queensland Labor government is pushing ahead with Greens inspired legislation that will stop farmers from growing sugar cane on their rural properties. What impact would these laws have on rural communities in North Queensland who rely on a strong and resilient sugar industry?

Opposition Senators:

Opposition senators interjecting

Photo of Scott RyanScott Ryan (President) | | Hansard source

Order. I'm going to ask for silence across the chamber during questions. Senator McKenzie.

Photo of Bridget McKenzieBridget McKenzie (Victoria, National Party, Minister for Agriculture) | | Hansard source

Queensland cane producers are already struggling with sky-rocketing power prices, and now the Queensland Labor government wants to impose bizarre new rules on the use of fertiliser and agrichemicals. Queensland Labor's Environmental Protection (Great Barrier Reef Protection Measures) and Other Legislation Amendment Bill, commonly known as the reef bill, legislates for the government to give itself the power to request documents from all farm suppliers, employees, contractors and customers. In other words, the Queensland Labor government believes that all farmers are liars.

The proposed laws will also give Brisbane based bureaucrats the right to change the rules for agrichemical and fertiliser application at will and with minimal consultation. In some cases, the proposed laws will stop farmers from growing sugar cane on their rural properties. The result, when combined with low sugar prices worldwide and rising costs such as electricity and water, will mean many of these farms will be unsustainable.

Photo of Scott RyanScott Ryan (President) | | Hansard source

Senator McDonald, a final supplementary question?

2:27 pm

Photo of Susan McDonaldSusan McDonald (Queensland, National Party) | | Hansard source

Given the Queensland Labor government isn't listening to sugarcane growers, can the minister explain the industry's response to the legislation and how sugarcane farmers on the ground have reacted to this Greens inspired legislation?

Photo of Bridget McKenzieBridget McKenzie (Victoria, National Party, Minister for Agriculture) | | Hansard source

This bill, if passed, will be devastating not only for farming families who have been in the industry for generations but also for local workers on farms, in sugar mills, in sugar transportation and at the ports. It will indeed hurt local economies.

The Queensland Labor government just hasn't been listening, despite running such a farcical consultation process. They went through Cairns, Townsville, Mackay, Bundaberg; they took 11,000 submissions from farmers, and yet they cannot listen. So let me put on the record some voices of real canegrowers on the ground. Burdekin canegrower Phil—

Photo of Murray WattMurray Watt (Queensland, Australian Labor Party, Shadow Minister for Northern Australia) | | Hansard source

The ones you like!

Photo of Bridget McKenzieBridget McKenzie (Victoria, National Party, Minister for Agriculture) | | Hansard source

I'm pretty sure these views are in the majority, Senator Watt, through you, Mr President. He said:

We are innovative and we are always striving for best practice and government just doesn't seem to recognise that …

Canegrowers CEO Dan Galligan said, 'Essentially the government will hand bureaucrats in Brisbane the power to shift the goalposts on canegrowers again and again and again.' Home Hill canegrower Glenn Betteridge: 'No-one is putting more fertiliser on than we absolutely need'— (Time expired)