Senator HARRADINE (11:18 AM) —by leave—Last night in my speech on the Textile, Clothing and Footwear Strategic Investment Program Amendment Bill 2004 I talked about a number of things, including the importance of the textile, clothing and footwear industry to Australia and particularly to Tasmania, and the number of workers who are still in the industry, despite substantial cuts. I addressed the issue of outworkers and the concerns that people have about the type of sweated labour that is imposed upon a number of workers in the industry, particularly overseas.

I also talked about the government's provision of assistance to TCF companies, mainly in the form of a strategic investment program. Obviously, this strategic investment program funding is vital to ensure that companies can invest in their equipment to become as competitive as possible. My concern is that the Australian government seems to be planning to further reduce tariffs in future years, with no reference to the tariff levels of our competitors. I do not think it is reasonable to risk the jobs and lifestyles of TCF workers for the sake of economic purity if our competitors are not matching the tariff reductions. The government should delay the planned 2005 tariff reductions to allow companies the maximum time to promote efficiencies and to ensure that Tasmanian workers are not forced to leave the state to look for work.

Over the past decade 36 per cent of jobs in the Australian TCF industry have been lost as part of the reduction in tariffs. At the same time, Australia's competitors have not been reducing their tariffs at the same rate. Of course, most TCF imports to Australia come from China, a country not known for its commitment to workers' rights or to human rights in general. For example, about 70 per cent of clothing imports to Australia come from China. It upsets me that we are seemingly all too willing to sacrifice Australian workers' jobs to facilitate the export market of a country that pursues continual and blatant human rights abuses, including not permitting workers to organise themselves into independent unions. Chinese workers are only allowed to join government sanctioned unions. China also jails workers for organising demonstrations.

This bill facilitates $747 million to be provided over 10 years, most of which is for the strategic investment program to help the TCF industry to continue to develop efficiencies and become more competitive. It targets the SIP grants to those parts of the TCF industry facing the greatest challenge from tariff reductions. The $747 million is, unfortunately, an effective reduction in the annual SIP funding. The SIP scheme is a good program to help the survival of the TCF industry, but it needs to provide more investment funds to a stable industry that does not have to deal with tariff cuts. The industry has, for many years, been undergoing substantial changes and adjustments; it needs some time for consolidation. I appreciate that, following the Productivity Commission's recommendation, tariff levels are now to be held at 2005 levels until 2010.

I am prepared to support the bill, together with the second reading amendment proposed by the opposition, as it facilitates further—though inadequate—funding for the industry. But I call upon the government, in turn, to support the TCF industry and the thousands of individuals who work in it—each of whom is a real person with real concerns about losing their jobs—by halting all tariff reductions until 2010.