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Free trade focus

By Julie Bishop - posted Thursday, 28 March 2013


The head of the Australian Agricultural Company, David Farley, this week urged the Gillard government to urgently conclude Australia’s FTA with South Korea as beef exports from Australia faced the “very real risk of being detrimentally impacted”.

One of the key sticking points is Craig Emerson’s refusal to include in any negotiations provision for Investor-State Dispute Settlement (ISDS) in trade agreements, which nations such as South Korea have requested.

These clauses allow investors to begin dispute settlement action directly against foreign governments, as opposed to the World Trade Organisation framework that mediates disputes only between governments.

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The reason for the Gillard government’s intransigence on this issue is reported to be a fear that companies will use such provisions to take the government to court over its decision to mandate plain packaging for tobacco, for example.

This is unacceptable as the government is putting its political fortunes ahead of the interests of exporters and their employees.

The Coalition would, as a matter of course, put ISDS clauses on the negotiating table and then negotiate ISDS provisions on a case-by-case basis. It is also vital that we repair relations with Indonesia that have been damaged as a result of the government's ban on live cattle exports, which is still causing harm to our animal export industry.

The appointment of Kelvin Thomson, an outspoken opponent of the animal export sector,to the role of parliamentary secretary for trade, hardly inspires any confidence that the government is serious about our important export industries.

The Coalition is committed to expanding our exports and jobs growth through strategic bilateral and regional FTAs within an overall foreign policy framework focused on economic diplomacy.

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About the Author

Julie Bishop is the Federal Member for Curtin, Deputy Leader of the Opposition and Shadow Minister for Foreign Affairs.

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