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Tuesday, 13 May 2003
Page: 14225


Mrs Crosio asked the Minister for Trade, upon notice, on 4 February 2003:

(1) Will the Government ask for public submissions regarding the proposed free trade agreement (FTA) with the US.

(2) Has the abolition of the Pharmaceutical Benefits Scheme (PBS), the Foreign Investment Review Board (FIRB) and the Australian Industrial Relations Commission (AIRC) been placed on the agenda by the US.

(3) Will the Government weaken Australia's quarantine laws as part of the FTA negotiations.

(4) Is the Government engaging in dialogue with Japan and ASEAN nations regarding the FTA negotiations with the US.

(5) What multilateral processes is the Government engaged in to enhance Australia's export prospects.

(6) Does the Government have any plans to diversify Australia's exports in the Asia-Pacific region.


Mr Vaile (Minister for Trade) —The answer to the honourable member's question is as follows :

(1) The Department of Foreign Affairs and Trade invited public submissions on the proposed FTA with the United States via advertisement in the national press on 23 November 2002, as well as on the DFAT website, and by direct invitation to a range of industry bodies and non-government organisations. By early February, DFAT had received nearly 200 submissions, including around 65 from industry groups and business and about 35 from non-governmental organisations and unions.

(2) The United States Trade Representative set out a list of specific objectives that the US wished to pursue in the negotiations in a letter to Congress on 13 November 2002. None of these three organisations is mentioned in that list. The list does refer to foreign investment screening in Australia, which is a function of the FIRB.

(3) No.

(4) Yes. The Australia-US FTA features regularly in bilateral discussions with our partners in the region.

(5) The Government is actively engaged in the Doha Round of multilateral trade negotiations, currently taking place in the World Trade Organization (WTO). The Doha Round offers WTO Members the opportunity to negotiate better market access for their exports in all sectors.

(6) In addition to pursuing a free trade agreement with the United States, the Government is pursuing better market access and lower costs of trade in the Asia-Pacific region. We are pursuing this through regional fora such as APEC and the AFTA-CER Closer Economic Partner Partnership involving New Zealand and the ten ASEAN countries. We have finalised a Free Trade Agreement with Singapore. We are negotiating a free trade agreement with Thailand and we are pursuing Trade and Economic Agreements with China and Japan. We also pursue active bilateral trade diplomacy aimed at improving market opportunities for Australian exporters. Our success is well demonstrated by the recently signed LNG gas deals with China and South Korea - worth $25 billion over 25 years and $1 billion over seven years respectively. Australia has a major economic stake in Asia, with Asian markets accounting for about 56 per cent ($67 billion) of Australia's total merchandise exports in 2002. Seven of Australia's top 10 export markets are in Asia.