Senate debates

Monday, 10 February 2020

Questions without Notice

Trade

3:08 pm

Photo of Malcolm RobertsMalcolm Roberts (Queensland, Pauline Hanson's One Nation Party) Share this | | Hansard source

My question is to for the Minister for Trade, Tourism and Investment, Senator Birmingham. Australia's table grape production will reach a record 240,000 tonnes this season, up 14 per cent from 2018-19, when grape exports increased 43 per cent to $580 million. The cause of increased production is Chinese demand outstripping supply, yet China is now cancelling orders owing to port closures due to the coronavirus. Our grape growers are harvesting this record crop right now. The Indonesia-Australia Comprehensive Economic Partnership Agreement could have given our producers an opportunity to export some of this extra production to Indonesia. This is not happening, though. Indonesia remains a challenging and unpredictable destination. In the main, this is because of Indonesian bureaucracy and intransigence. Will your office immediately advocate with Indonesia to implement the Indonesia-Australia Comprehensive Economic Partnership to open Indonesia to Australian table grapes?

3:09 pm

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Minister for Trade) Share this | | Hansard source

I thank Senator Roberts. I will deal with a couple of the matters the senator raised. He's correct. As market opportunities, business opportunities for Australian farmers and other businesses have opened up as a result of trade agreements struck by Australia, farmers and businesses have adapted their businesses to take advantage of those opportunities. They have planted more of certain varieties, they have grown more of certain commodities and that, of course, is as you would expect. That is one of the reasons why Australia has just recorded a record trade surplus, because our businesses have responded to the new opportunities available to them.

Now, with all business engagements come certain degrees of risk and certain degrees of unpredictable circumstances. Obviously the coronavirus, at present, has impacted upon many different business sectors and will continue to do so for an unknown period of time. We have been working to try to help those businesses access new market opportunities in a range of different ways. As I indicated to Senator Hanson last week: in terms of the seafood sector, we have provided a dedicated Austrade contact reference point for that sector to give them access not just to one different market but to also advise on other different markets that we have trade representation in and the ability to be able to service in those markets.

In terms of the Indonesia-Australia Comprehensive Economic Partnership Agreement, it doesn't just contain agreements across a range of categories to lower tariffs or increase quotas or, indeed, eliminate in some cases tariffs or quotas; it also does contain guarantees around the issuing of import permits to make bureaucratic procedures easier. I cannot, Senator Roberts, off the top of my head recall the place of table grapes in relation to that. If I have particular information in relation to table grapes that can be of assistance, I'll make sure that is provided to you and to the chamber.

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

Senator Roberts, a supplementary question.

3:11 pm

Photo of Malcolm RobertsMalcolm Roberts (Queensland, Pauline Hanson's One Nation Party) Share this | | Hansard source

Let me be more specific, then. In their submission to the inquiry into the Indonesia-Australia Comprehensive Economic Partnership Agreement, the department of agriculture, of your government, stated: 'Trade with Indonesia is unpredictable, suffering unexpected changes to import regulations and policies. The government needs to establish and nurture government-to-government links that support access for Australian exports.' Why is the government ignoring the advice of its own agriculture department?

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Minister for Trade) Share this | | Hansard source

I'd invite Senator Roberts to read the rest of the submission, which was actually arguing for the type of agreement that we have secured with Indonesia so as to overcome the types of problems that you have quoted, Senator Roberts.

So, yes, the department of agriculture absolutely identified that there have been market access barriers, and those access barriers are not just tariffs and quotas, but are regulatory factors as well. The type of agreement we have sought to strike with Indonesia is one that addresses those regulatory barriers. Not only do we have the automatic issuance of import permit guarantees in a range of categories that I referenced before, but also, as a first for our trade agreements, we have, with Indonesia, established under IA-CEPA an arrangement for ongoing dialogue in relation to non-tariff barriers. So those types of administrative and bureaucratic licensing approval type processes are now firmly entrenched in an ongoing process. If there is something in relation to table grapes, as I said, we'll certainly be taking it up with them using those procedures.

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

Order, Senator Birmingham. Senator Roberts, a final supplementary question.

3:12 pm

Photo of Malcolm RobertsMalcolm Roberts (Queensland, Pauline Hanson's One Nation Party) Share this | | Hansard source

The department's submission to the Indonesia-Australia Comprehensive Economic Partnership Agreement inquiry was in 2017. Growers have contacted my office this week to say that nothing has changed. They still cannot get Indonesian licences to export. What has this government done since 2017 to implement the recommendation of your own agriculture department?

3:13 pm

Photo of Simon BirminghamSimon Birmingham (SA, Liberal Party, Minister for Trade) Share this | | Hansard source

Negotiated, concluded and legislated for a free trade agreement with Indonesia, Senator Roberts. That is precisely what we've done since 2017. In doing so, we have, as I've just outlined, put in place processes around getting import permits and processes around dealing with licensing and approvals.

I can inform the Senate that table grapes enter Indonesia duty free as a result of trade agreements negotiated between Australia and Indonesia, and that Indonesia has consistently been a top two destination for many years, except 2014, in relation to table grapes, so there are access points into Indonesia for table grapes. But, certainly, if some growers are facing difficulty in getting those licence approvals for duty-free access of their table grapes into Indonesia, then, please, put them in touch with our office and we will do our best, through our DFAT and Austrade officers, to help them to get the permits and approvals that they need.