Trade minister dismisses union criticism of Australia-Indonesia trade deal

Unions are running a "predictable scare campaign" against a landmark free-trade deal set to be signed between Australia and Indonesia, the trade minister says.

Australian PM Scott Morrison said the free trade deal elevates the bilateral relationship.

Australian PM Scott Morrison said the free trade deal elevates the bilateral relationship. Source: AAP

Australia's Trade Minister has rejected union criticism of a free-trade deal with Indonesia, describing it as a "predictable scare campaign".

The long-awaited deal between Australia and Indonesia due to be signed in Jakarta on Monday by Senator Birmingham and his Indonesian counterpart Enggartiasto Lukita will open markets for agriculture and education.

The trade deal was meant to be signed last year, with negotiations concluding in August.

But the signing was delayed when Prime Minister Scott Morrison announced the government was considering moving Australia's Israeli embassy to Jerusalem.

The free-trade deal is Indonesia's first major agreement of its type and will allow Australian-owned universities to operate in the country.
Simon Birmingham
Trade Minister Simon Birmingham is in Indonesia to sign the long-awaited free trade deal. Source: AAP
Senator Birmingham said Australian frozen meats, live cattle, feed grains, dairy, citrus and rolled steel would receive favourable treatment under the agreement.

But unions say the deal will hurt Australian workers, open Indonesia workers coming to Australian to potential abuse by employers and undermine national sovereignty by allowing international rulings on investment disputes.

ACTU president Michele O'Neil branded it a "dodgy deal" that favours unlimited temporary-visa holders, while Australian Manufacturing Workers Union national secretary Paul Bastian says there's "no substantive evidence" the deal will benefit Australian workers.
Senator Birmingham rejected the claim.

"We're seeing Australia's unions running a predictable scare campaign when the facts speak the opposite."

"We've done trade deals and increased market access to countries right around the world in the last few years, we've actually managed to grow jobs by 1.2 million."

The deal will strengthen economic ties and increase trade flows between the two countries, as it opens up opportunities for businesses - the two countries are both in the world's top 20 economies but neither is in each other's top 10 trading partners.

The trade deal won't come into effect until it's ratified by the federal parliament.


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Published 4 March 2019 7:04am
Updated 4 March 2019 7:50am


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