Chapter 1
Introduction
Referral of the bills
1.1
On 16 September 2015, the Minister for Trade and Investment, the
Hon Andrew Robb AO MP, introduced the following bills into the House of
Representatives:
-
Customs Amendment (China-Australia Free Trade Agreement Implementation)
Bill 2015 (Customs bill); and
-
Customs Tariff Amendment (China-Australia Free Trade Agreement
Implementation) Bill 2015 (Tariff bill).[1]
1.2
As their titles indicate, the bills implement parts of the
China-Australia Free Trade Agreement (ChAFTA). ChAFTA was signed by Minister
Robb and the Chinese Commerce Minister, Mr Gao Hucheng, on 17 June
2015 in Canberra. The treaty text was tabled in the Parliament on the same day.[2]
1.3
The Senate Selection of Bills Committee considered the bills on
16 September 2015, but was unable to reach agreement on referral.[3]
On 17 September 2015, the Senate referred the provisions of the bills to the
Foreign Affairs, Defence and Trade Legislation Committee for inquiry and report
on the next working day after the tabling of the report of the Foreign Affairs,
Defence and Trade References Committee on the Proposed China-Australia Free
Trade Agreement.[4]
Under the terms of reference of its inquiry, the References Committee was to
report within one month of the tabling of the Joint Standing Committee on
Treaties (JSCOT) report on ChAFTA.
1.4
On 19 October 2015, JSCOT tabled its report on ChAFTA. The majority
report made five recommendations, including that binding treaty action be
taken. The report stated:
The Committee acknowledges the widespread community disquiet
that has been generated by ChAFTA but considers that many of the concerns are
unfounded. The Committee recognises that broad sections of Australian business
and industry are expected to receive substantial benefit from greater access to
one of the world’s largest economies.[5]
1.5
On 21 October 2015, Minister Robb and the Minister for
Immigration and Border Protection, the Hon Peter Dutton MP, announced that
support had been secured from the Opposition to ensure the passage of the
implementing legislation for ChAFTA.[6]
Other committee consideration
1.6
On 14 October 2015, the Senate Standing Committee for the Scrutiny of
Bills raised concerns in regard to Item 1, Schedule 1 of the Customs Bill. It
noted that proposed section 153ZOB(6) provides that the regulations may adopt
or incorporate, with or without modification, any matter contained in an
instrument or other writing as in force or existing from time to time in the
context of defining 'Chinese originating goods'. The Scrutiny Committee drew
the attention of senators to this provision as it may be considered to delegate
legislative power inappropriately and sought the Minister's advice on this
issue.[7]
Conduct of inquiry
1.7
The committee advertised the inquiry on its website and in The
Australian newspaper. The committee also wrote to individuals and
organisations likely to have an interest in the bill, drawing their attention
to the inquiry and inviting them to make written submissions.
1.8
The committee received 16 submissions to the inquiry. These submissions
are listed at Appendix 1, and are available on the committee's website: www.aph.gov.au/senate_fadt.
Structure of report
1.9
Chapter 2 provides an overview of the bills. Chapter 3 discusses key
issues raised during the inquiry and contains the committee's view and
recommendation.
Acknowledgements
1.10
The committee thanks all those who assisted the inquiry by providing submissions and
other material.
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