2017 EABC Business Delegation to Canberra Mission Report
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2017 EABC Business Delegation to Canberra Parliament House, Canberra 24-25 October 2017 Mission Report Overview On Tuesday 24 and Wednesday 25 October 2017, a delegation of EABC Members visited Parliament House in Canberra to meet with members of the Federal Government and Opposition. The delegation provided opportunities for members to engage in direct dialogue on the broad economic and business agenda, as well as the preparations underway for launching negotiations for an Australia-EU FTA. Programme The delegation programme on Tuesday 24 October included roundtable discussions with the Hon Michael McCormack MP, Minister for Small Business and the Hon Darren Chester MP, Minister for Infrastructure and Transport; followed by a Cocktail Reception with Guests of Honour the Hon Barnaby Joyce MP, Deputy Prime Minister, Minister for Agriculture and Water Resources, Minister for Resources and Northern Australia; the Hon Keith Pitt MP, Assistant Minister for Trade, Tourism and Investment; the Hon Chris Bowen MP, Shadow Treasurer; and Senator the Hon Mathias Cormann, Minister for Finance and Deputy Leader of the Government in the Senate. The programme continued with a working dinner with ministerial guests including the Hon Kelly O’Dwyer MP, Minister for Revenue and Financial Services; the Hon Craig Laundy MP, Assistant Minister for Industry, Innovation and Science; and Justin Brown, Deputy Secretary, Department of Foreign Affairs and Trade. The programme on Wednesday 25 October included roundtable discussions with Tom Skladzien, Chief of Staff to the Shadow Minister for Climate Change and Energy; the Hon Joel Fitzgibbon MP, Shadow Minister for Agriculture, Fisheries and Forestry and Shadow Minister for Rural and Regional Australia; Peter Woolcott AO, Chief of Staff to the Prime Minister; Senator the Hon Simon Birmingham, Minister for Education and Training; the Hon Peter Dutton MP, Minister for Immigration and Border Protection; Senator the Hon George Brandis QC, Attorney-General; the Hon Alan Tudge MP, Minister for Human Services; and the Hon Dr Andrew Leigh MP, Shadow Minister for Competition and Productivity; Shadow Minister for Trade in Services; and Shadow Assistant Treasurer. Participants EABC Members participating in the programme included senior representatives from a diverse range of companies, sectors and organisations. The delegation was led by EABC Deputy Chair the Hon Simon Crean (Monash University) and EABC CEO Jason Collins. EABC 2017 Business Mission to Canberra - Mission Report Page 2 2017 EABC Business Mission to Canberra 24-25 October 2017 The Hon Michael McCormack MP Minister for Small Business The Minister underlined the importance of trade liberalisation and opportunities that a comprehensive and ambitious economic partnership (FTA) with the EU would create for Australian SMEs, in particular in healthcare, education, the digital economy, advanced manufacturing and other cutting-edge sectors. The Government is committed to involving SMEs in the FTA discussions and ensuring that the benefits flow towards the whole economy, as this spread will contribute to the success of the deal and address the growing discontent towards free trade, in particular in regional electorates. Discussion with participants included reduction of red tape for SMEs; and initiatives to attract international students to Australia‘s regional universities. The Hon Darren Chester MP Minister for Infrastructure and Transport Stressing that the 2017-2018 Federal Budget demonstrates the importance given by the Government to infrastructure and transport, with $75 billion allocated to long-term infrastructure projects, Minister Chester outlined the current projects supported by the Commonwealth, including Melbourne Airport Rail Link, the Bruce Highway update, WestConnex and Pacific Highway expansion. The Government is also engaging with State governments to identify infrastructure priorities, and to study opportunities for asset recycling. Decision-making on long-term projects necessarily implies higher levels of transparency and communication, and the need to seek bipartisanship. Participants then engaged in discussion on the Productivity Commission’s five-year productivity review and the need for productivity-enhancing infrastructure policies; the role of major defence contracts in attracting European companies across all sectors, including transport and infrastructure; current developments and innovation in intelligent infrastructure and the growing relationship with ICT; technology contribution to road safety; as well as disruptions that drones and autonomous vehicles are creating. EABC 2017 Business Mission to Canberra - Mission Report Page 3 2017 EABC Business Mission to Canberra 24-25 October 2017 Cocktail Reception At the Reception, the EABC Delegation was delighted to welcome Deputy Prime Minister and Minister for Agriculture and Water Resources, the Hon Barnaby Joyce MP; Minister for Finance and Deputy Leader of the Government in the Senate, Senator the Hon Mathias Cormann; Assistant Minister for Trade, Tourism and Investment, the Hon Keith Pitt MP; and Shadow Treasurer, the Hon Chris Bowen MP, along with many other special guests. The Deputy Prime Minister addressed the participants, calling for deeper relations between the Australian Government, business representatives and European Member States, in particular through their Embassies in Canberra, in light of the prospective FTA negotiations. Despite sensitivities around agriculture, there is a strong commitment on both sides to achieve an ambitious FTA between Australia and the EU. Minister Cormann highlighted the shift in attitude of European leaders towards Australia over the last few years, and the growing interest in Europe for an FTA that would not only increase two-way trade and investment flows but also strengthen collaboration in many strategic sectors. The Minister stressed the role played by the EABC Business Missions to Europe in engaging with European governments and institutions and in demonstrating the significance of Australia as a major business partner for Europe. Underlining the importance of the trade and investment relationship with the EU, Australia’s second largest trade partner and largest foreign investor, Assistant Minister Pitt emphasised the Government’s commitment to negotiating an ambitious and comprehensive FTA with the EU. Shadow Treasurer Bowen underscored the strong ties with Europe, in particular cultural and people-to-people linkages, and expressed the Opposition’s support of Australia’s external trade policy, as Australia’s economy is built on openness and free trade. Other Guests of Honour included European Ambassadors to Australia; Australian MPs and Senators; senior officials from DFAT including DFAT Secretary Frances Adamson; Chairman of the Productivity Commission Peter Harris AO; and other leaders, organisations representatives and senior political staffers. EABC 2017 Business Mission to Canberra - Mission Report Page 4 2017 EABC Business Mission to Canberra 24-25 October 2017 The Hon Kelly O’Dwyer MP Minister for Revenue and Financial Services Minister O’Dwyer touched upon the political challenges facing the Government, the difficulties involved in building bipartisan support on many issues, and the increasing influence of crossbenchers, in particular in the Senate. Regarding her portfolio, the Minister presented the Government’s ambitious superannuation reforms, whose objective is to ensure the stability, integrity and ongoing performance of Australia’s superannuation system over the next decades. Other reforms include reinforcing the role of ASIC in the fight against financial crimes, to improve public confidence in the financial system in Australia. Discussion with the Minister included the mandate of superannuation trustees and the possibility to earmark the funds for specific sectors; as well as Double Taxation Agreements and their importance in the ease of doing business with other countries. The Hon Craig Laundy MP Assistant Minister for Industry, Innovation and Science Regretting the general lack of business understanding in Canberra, Minister Laundy outlined his vision for the State, as both a regulator and a business partner. Although red tape and regulation will always exist, processes should be made easier and quicker for companies through technology, in particular with the digitisation of the administration. The Government recently launched a public testing of a new ‘one stop shop’ business registration service to streamline application processes for new businesses. The discussion then moved to defence contracts as catalysts for foreign investment in a wide range of sectors and as drivers for R&D and innovation, while European defence companies’ development in Australia, through the Australian Industry Capability Programme (AIC), strongly benefits Australian firms in particular SMEs. Other topics for discussion included the role of universities and CRCs in innovation in Australia, and initiatives from the government to foster collaboration between SMEs and the research community, including online platforms such as Data61 and Expert Connect. EABC 2017 Business Mission to Canberra - Mission Report Page 5 2017 EABC Business Mission to Canberra 24-25 October 2017 Justin Brown Deputy Secretary, DFAT Justin Brown engaged with the Delegation on the prospective Australia-EU FTA, and the expected postponement of the launch of the negotiations following disagreements among EU Member States on the European Commission’s mandate. Australia’s