ABC Radio AM

  • Transcript, E&OE
Subjects: Singapore Australia Free Trade Agreement; South China Sea, Parliamentary Procedure

KIM LANDERS: Minister good morning.

STEVEN CIOBO: Good morning.

KIM LANDERS: The Singapore Australia free trade agreement wassigned more than a decade ago, how will this update change it?

STEVEN CIOBO: Well it is a comprehensive update –it's an update that is providing Australia the best access to Singapore andanything that Singapore does subsequently will also flow to Australia in termsof trade agreements so it's a very good outcome for Australia and Singapore. Awin, win – one that sees further liberalisation in relation to goods andservices trade as well as with respect to investment.

KIM LANDERS: Is this arecognition that the Asian region has changed enormously in the past decade andthat old economic alliances need strengthening?

STEVEN CIOBO: It is a recognition that the globaleconomy has changed and certainly what we've seen over the years that there isopportunity to upgrade free trade agreements. The Coalition is unapologeticallypursued an aggressive agenda of opening up world's best market access into keynorth Asian markets for Australia and also Singapore. What we've done withrespect to China, South Korea and with Japan. This has put Australian exportersin the very best possible position with respect to those large markets and weare doing the same now with Singapore.

KIM LANDERS: Singapore's Prime Minister says our two nationshave a joint economic interest in ensuring that tensions between the US andChina over the South China Sea don't spiral out of control. I am wondering ifyou know exactly what the damage would be to Australia's economic interests ifthose tensions did indeed flare?

STEVEN CIOBO: Well I think that would beself-evident. I mean, obviously all countries are invested in a peaceful andstable region. Australia is wanting to be a very pro-active participant inensuring peace and stability. That's just good common sense.

KIM LANDERS: Do you do specific modelling though on what mightbe at risk if things get out of hand?

STEVEN CIOBO: No.

KIM LANDERS: China is the largest trading partner for Australiaand Singapore – does that highlight how tricky that strategic situation is?

STEVEN CIOBO: Well Australia's got a very strongtrack record of successfully dealing with different parties – I mean if youlook at the closeness of our relationship with the United States, our relationshipwith China, with Japan, with Korea. I mean there is often the case that thereare from time to time, irritancies and tensions between these respectivecountries but Australia continues to maintain a strong relationship with all ofthem. It is a credit to our foreign service, it is a credit to the leadershipand you know I would recognise that Australia has been a beneficiary of strongtrade ties and of course strong historical ties between each of our respectivetrade and defence alliance countries.

KIM LANDERS: On that broad issue over the contested region ofthe South China Sea, will the Australian Government carry out freedom ofnavigation exercises within the crucial 12 nautical mile zone radius of theislands claimed by China?

STEVEN CIOBO: Well the Foreign Minister has madenumerous public comments with respect to this and those comments areessentially that Australia does support the international convention thatapplies, that Australia continues to support freedom of navigation but we don'tmake comments on specific exercises that the Australian Defence Forceundertakes.

KIM LANDERS: So you can't confirm whether that would be withinthat crucial 12 nautical mile radius?

STEVEN CIOBO: WellI just repeat what the Foreign Minister has said time and timeagain. Australia's position has been clear and consistent in this regard but wedon't comment on each individual exercise that the Australian Defence Forcemight undertake.

KIM LANDERS: If I can take you to another matter. There has beena second embarrassing parliamentary blunder for the Federal Government. TheCoalition has mistakenly voted for an amendment to a Bill which called on theGovernment to explain why it's failed to close tax loopholes. How did thishappen?

STEVEN CIOBO: Well, what matters is this has beenfixed and I made the comment earlier Kim that the fixer has fixed it andChristopher Pyne has solved this issue but let's be clear. This was also aprocedural –

KIM LANDERS: Well why did he have to solve it in the firstplace? Who is to blame?

STEVEN CIOBO: It was a procedural error and it was aprocedural error in the House. There were multiple parties involved and that iswhy this error took place. And looking to bouquet to the opposition, theysupported the Government in having declared effectively null and void becauseit was a procedural error.

KIM LANDERS: Kind of you to throw the bouquet, but Labor at thesame time was saying that it shows that the Government is incompetent – ifyou're struggling to navigate Parliament with a one seat majority – does thatmean that the Government could be within a whisker of losing that majority atany moment?

STEVEN CIOBO: Well Kim, let's look at what theGovernment's actually delivered this week. We've delivered now an upgrade, acomprehensive upgrade to Australia's FTA with Singapore. We've delivered taxrelief to 500,000 Australians that are ordinary wage earners and in middleincomes. And we've delivered and made good on our commitment to CFA volunteersin Victoria. Now that sounds like a good track record of a government that isfocused on delivering for the Australian people and frankly if Bill Shorten andthe Labor Party want to run around and pretend that a procedural error in theHouse of Representatives in anyway indicates anything otherwise, well good luckto them. But you know, I'm not going to be distracted by the kind of sillypolitical games the Labor Party likes to focus on. I'd actually rather talkabout our strong track record in what we've achieved in this week alone that'sactually delivering better outcomes for ordinary Australians.

KIM LANDERS: Steven Ciobo thank you very much for speaking withAM.

STEVEN CIOBO: A pleasure.

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