Senate debates

Wednesday, 9 August 2023

Questions without Notice

Trade with China

2:49 pm

Photo of Louise PrattLouise Pratt (WA, Australian Labor Party) Share this | | Hansard source

My question is to the Minister for Agriculture, Fisheries and Forestry, Senator Watt. Late last week we heard the good news of China lifting its trade barriers in relation to barley. However, I note several news articles in recent days suggesting that a number of barley exporters remain locked out from the Chinese market. Can the minister please provide an update on the status of these exporters?

2:51 pm

Photo of Murray WattMurray Watt (Queensland, Australian Labor Party, Minister for Agriculture, Fisheries and Forestry) Share this | | Hansard source

You're right, Senator Sterle: another question on agriculture from the Labor Party, the only party that asks questions or shows an interest in agriculture in this chamber.

Today, I have good news for Aussie farmers, especially in Western Australia, Victoria and South Australia. The Albanese government is committed to ensuring Australian farmers, processors and exporters have the best possible access to international markets. Senator Pratt, as you alluded to, there have been positive developments in recent weeks in stabilising our relationship with China, and that has seen the removal of trade impediments in horticulture, cotton and timber and of course last week's removal of tariffs from Australian barley. The Albanese government's calm persistence and sensible dialogue have expedited an outcome for Australian barley producers with the removal of tariff barriers.

I have seen that reporting that you referred to, Senator Pratt, about some key grains exporters still not having access to the Chinese market, so it gives me great pleasure today to provide the Senate with an update. Earlier today, the Department of Agriculture, Fisheries and Forestry received formal notification from the Chinese customs agency that CBH grain and Emerald Grain Australia would be reinstated as registered exporters of barley to China. This, as I say, is great news for Australian farmers and the whole grain supply chain.

The Albanese government certainly welcomes this decision. The removal of the suspensions for these two exporters was the result of ongoing technical discussions between our two countries and follows last week's decision to remove the duties applied to Australian barley. I caught up with representatives from CBH, as I know many people did, last night at the Showcase WA function here in Parliament House. I know that Rob Dickie and Brianna Peake join us here in the gallery this afternoon. There are good days and bad days for Australian agriculture, and today is a good day. Both companies will be able to recommence trade with their Chinese customers from today. I'd like to acknowledge the advocacy of Senators Wong and Farrell over a long time, as well as the many officials and industries who have helped along. Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Pratt, first supplementary?

2:53 pm

Photo of Louise PrattLouise Pratt (WA, Australian Labor Party) Share this | | Hansard source

I thank the minister for that good news. Given this good news, what will the benefit be for barley farmers and exporters, particularly in my home state of Western Australia?

Photo of Murray WattMurray Watt (Queensland, Australian Labor Party, Minister for Agriculture, Fisheries and Forestry) Share this | | Hansard source

We know that the Liberals and Nationals are laughing on the inside and happy on the inside. They can't express their real happiness about good news for Australian agriculture, so they've got to bottle it up inside and feel a little bit cheerful. They're having a little chuckle to themselves about how good it is to have a Labor government back in charge, running agriculture policy in this country.

Across Australia, one in four jobs relies on trade, so access to international markets is essential for the profitability of Australia's export focused—

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator McKenzie, silence, thank you.

Photo of Murray WattMurray Watt (Queensland, Australian Labor Party, Minister for Agriculture, Fisheries and Forestry) Share this | | Hansard source

Prior to the imposition of the antidumping and countervailing duties, China was Australia's largest barley export market at nearly $1 billion per year. But since the imposition of tariffs in 2020, which of course occurred under a coalition government, trade in barley with China has effectively ceased. Australian barley is known in China for being high quality and competitively priced, and the removal of duties allows for the re-establishment of these mutually beneficial, long-held relationships between the Australian barley industry and Chinese users.

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Pratt?

2:55 pm

Photo of Louise PrattLouise Pratt (WA, Australian Labor Party) Share this | | Hansard source

Clearly the Albanese government is working hard to support farmers, processors and exporters to gain a wider market, to grow their market share around the world. While these developments on barley are great, I note there are still some industries which face trade impediments with China. What are we doing in the Albanese government to assist in these matters?

Photo of Murray WattMurray Watt (Queensland, Australian Labor Party, Minister for Agriculture, Fisheries and Forestry) Share this | | Hansard source

Thank you again, Senator Pratt, for your interest in these issues. While these developments on barley are certainly very positive signs, there is more work to be done to remove the trade barriers that were imposed a couple of years ago by China on Australian wine, beef and lobster. I know this is an issue that Ministers Wong and Farrell have repeatedly raised with their Chinese counterparts, as did I when I met with the Chinese agriculture minister in Rome a few weeks ago.

Our government truly believes it is in both countries' interest to see these impediments removed, just as we have seen with barley. In all of the discussions between our government and our counterparts in China, we've always made clear that we see wine and these other impediments as being just as urgent as barley. Our position has always been that we'd much prefer to see these matters resolved through dialogue and negotiation, rather than having to undertake WTO cases. That's the approach that's worked in relation to barley, and we're very hopeful that we'll come to a similar arrangement in relation to wine. The Albanese government is stabilising our relationship with our major trading partner, and that is great news for Aussie farmers.

Hon. Senators:

Honourable senators interjecting