TRANSCRIPT: Interview with Nicola Bell, for The Ag Show on Sky Business News, 30 August 2018
E&OE
Subjects: Drought assistance; Northern Australia dams
COMPERE:
Deputy Prime Minister and leader of the Nationals Michael McCormack spoke at a Farm Writers of New South Wales event in Sydney earlier today, where I talked to him about regional development, inland rail and why he thinks building dams in Northern Australia is a good plan to develop a new food bowl. Here's my chat with the Deputy Prime Minister.
[Excerpt of pre-recorded interview]
How important is regional development to rural and regional communities?
MICHAEL MCCORMACK:
Regional development is essential and that's why during the reshuffle I was so keen to take it back and put it back in the National Party’s portfolios. It's critical to the success of Australia. When the regions are strong, so too is our nation. John McVeigh did a very, very good job as Regional Development Minister, but the fact is I wanted the portfolio back in the National Party portfolios. I know that the National Party, in conjunction with the regional Liberals and the Liberal Party as a whole, are going to do an outstanding job developing our regions, making sure that we take advantage of our water resources, making sure that we continue to roll out the infrastructure - the roads, the rail - that our nation needs, that our regions need to get product from farm gate to port and to markets. And I’m delighted that the new Prime Minister Scott Morrison is currently or just about to go to Indonesia to talk trade arrangements. That's important; building on the strength of our successes with South Korea, Japan, China, Peru, the Trans-Pacific Partnership 11 and so it's all happening. Regional Australia needs to be - has to be - front and centre of that and it will be, rest assured.
COMPERE:
And on inland rail, how is that progressing and what’s the timeline looking like?
MICHAEL MCCORMACK:
It's on target and with Warren Truss as the ARTC chair I know he's getting out, he's talking to stakeholders. We dropped off the first 600 tons of steel at Peak Hill in central western New South Wales on January 16. This is nation building. This is transformational and for all of those farms, for all of those small businesses and indeed for all of those rural communities along that 1700 kilometre Corridor of Commerce, this is going to be a real game-changer.
COMPERE:
And have the farmers along the route of the inland rail been provided detail that they were asking for around the routes election.?
MICHAEL MCCORMACK:
Well look they have, but we'll be having more discussions with them. And I know I'm going to Narrabri next week and I'm going to Gilgandra as well to talk with these farmers, to assure them that this is important for, not just our nation, but indeed for themselves as well. And I know Warren Truss has been out there with the new ARTC CEO Richard Mueller and I know they're doing a good job on the ground as well. It's not just about north-western New South Wales either, it's also about the Darling Downs, Queensland, Victoria. Delighted that the Victorian and New South Wales governments have signed intergovernmental agreements and look forward to working with Mark Bailey in Queensland to sign up an intergovernmental agreement between Queensland and the Commonwealth.
COMPERE:
And on a different issue - drought that farmers are experiencing at the moment - what are you hearing and how are they coping?
MICHAEL MCCORMACK:
Well it's crippling and you know, make no mistake about it, it's not just the farmers. The drought it just doesn't stop at the farm gate; it's also affecting rural communities. I was really pleased to be with the Prime Minister Scott Morrison in Quilpie in south-western Queensland on Monday to talk with locals on the ground. Stephen and Annabel Tully, their little property, you know they've destock severely. I mean down from 15,000 head to about 800. I mean these are the sorts of drastic measures that some farmers have had to take. They're lucky they've got a little bit of off-farm income because Annabel is a nurse and so many farmers are having to rely on that off-farm income but that's why we've also put in place measures - three rounds of measures so far - totalling $1.8 billion. We've put in place measures too so that farmers can instantly write off forage and fodder storage and silos and the like in the year of investment. Of course we're continuing to roll out dog fencing and water infrastructure measures. We're putting farm household assistance on the table but you know, we'll continue to do more. I also applaud the way the media - the mainstream media - has covered this and I also applaud the efforts by so many people: kids giving up their pocket money in places way beyond where the drought is really having its drastic effects and so many people prepared to buy a bale. So many others who are prepared to cart hay. This is a national effort. It will rain again. The farmers will get back on their feet but it's going to take a while to get them there.
COMPERE:
And on the comments around - sort of seen on social media about you know, why are we giving foreign aid when more money should be going to farmers; what was your response to that?
MICHAEL MCCORMACK:
Well foreign aid is largely spent in our neighbourhoods and it accounts for 0.8 per cent of the total economy, total GDP. It's a very small amount and of course we need to be able to ensure that our neighbouring countries are best placed to be able to help us to buy some of the product s that our farmers are producing. They're also not just recipients of, in some cases, our aid, but they're also recipients of our market opportunities. They are trading partners with Australia. So we need to keep them safe and strong and we do that. That's why we’ve got a foreign aid budget but more than that, we’re also getting in there and backing our farmers to where they need to be and we must continue. We will continue to do more for our farmers. We have to and that's why I've put in place Barnaby Joyce as a special drought envoy and that's why the government has indeed put Major-General Stephen Day on as our overall drought coordinator. So he will coordinate the national drought efforts. I know Pip Job is doing a fantastic job for New South Wales in that regard. And together we will get our farmers and our rural communities through this crippling time.
COMPERE:
Barnaby Joyce obviously had a fair few years as Ag Minister before being the special Drought Envoy. What do you think he can achieve on drought policy or helping farmers on drought that he couldn't already as ag minister?
MICHAEL MCCORMACK:
Well he was a very good Agriculture Minister and we've seen the Regional Investment Corporation, we've seen the investment in water infrastructure and the Agricultural White Paper: some very good measures that Barnaby Joyce as the Agriculture Minister put in place. But him on the ground, being the conduit between government and the drought-affected communities, is going to be an important link so that we can hear firsthand the stories that we need to act upon, that we need to put measures in place to ensure that we're doing the right thing at the right time and for the right people and that's what Barnaby will be doing.
COMPERE:
And obviously the events of last week. What's the relationship like between Liberals and Nationals? Are you united?
MICHAEL MCCORMACK:
Absolutely strong…we're very strongly united. We now need to get in behind Scott Morrison and Josh Frydenberg as the Prime Minister and Treasurer going forward. I know Bridget McKenzie and I as the leadership team in The Nationals are very committed to making sure that we remain unified, we need to continue to focus on Australians. There are 25 million Australians who we need to focus on. We've put the events of the last week behind us. We did a bit too much navel gazing and a bit too much inward looking. We need to stop focusing on ourselves – that’s what the Liberal Party did last week – and start concentrating on the issues that matter. But that said we've been a very good government. The tax rate for small businesses down to its lowest level since 1940. Fact is unemployment levels are down. Optimism is – drought notwithstanding – reasonably strong in the economy. The economy is going well. We've got those free market opportunities that we're building upon. We're putting out the infrastructure; $75 billion over 10 years. That pipeline of investment. I was in Port Wakefield this morning announcing a really good road project there and overpass and a road duplication they've been calling upon for decades. We're getting on with the job. We'll do it united. And we'll do it because the last thing this country needs right now or any time in the future is a Bill Shorten-Labor-Unions-Greens government.
COMPERE:
Was an ag-specific visa- work visa part of the Coalition agreement that you would have obviously had to re-sign?
MICHAEL MCCORMACK:
I would like to see the agricultural visa sorted within weeks – not months but weeks. It needs to be. It has to be and overall we need to work on a regional visa going forward. That's also immediate but not so vital as the ag visa. I know David Littleproud is working on that. I look forward to working with all ministers concerned to get that happening.
COMPERE:
And just lastly, the Nats have been championing construction of dams. We saw that CSIRO report out today to transform Northern Australia into a food bowl. Why do you think building new dams is the answer?
MICHAEL MCCORMACK:
Well we need to make our nation drought-proof. We also need to harness the resources that the water in Northern Australia can provide. It can provide up to billions of dollars’ worth of economic growth, 15,000 jobs, dams that can take advantage not only in flood mitigation but also drought proofing our nation and developing our north. We've had Ministers Josh Frydenberg and Matthew Canavan committed to developing Northern Australia and we're getting on with the job.
COMPERE:
Thanks very much for joining us.
MICHAEL MCCORMACK:
Thanks Nicola.