TRANSCRIPT: INTERVIEW WITH DANICA DE GIORGIO - SKY NEWS WEDNESDAY, 16 DECEMBER 2020

E&OE

Subjects: Floods in northern NSW and SE Queensland; labour shortages; trade with China; aged care; COVID-19.

9.30am

DANICA DE GIORGIO

Joining me now to discuss today’s top stories is Deputy Prime Minister, Michael McCormack. Minister, let’s begin talking about the flooding situation in New South Wales and Queensland. Are you worried that this might just be a taste of what the La Nina system could bring us this summer?

MICHAEL McCORMACK

Well, a lot of rain has fallen of course in northern New South Wales and south east Queensland. And yes, of course we always worry about whether these are just the portent of worse to come. But, rest assured, our brave SES and other volunteers are doing everything they can. I know the New South Wales Emergency Services Minister, David Elliott, is going up there later today to inspect certainly the New South Wales side of things. To see that beach at Byron Bay just getting washed away the other day was quite something. It’s an awful situation, but, rest assured, we’ve got the very best and bravest on the scene and doing everything they can to remove trees from power lines et cetera and help those in need.

DANICA DE GIORGIO

I spoke to a Queensland farmer the other day and he said that his farm has been hit with fires, floods, frost and hail. Now with the flooding, are you concerned that there will be some farmers who won’t be able to produce a crop?

MICHAEL McCORMACK

Of course, and our farmers, they understand that because they are the most resilient people in all of the nation. And we’ve seen that through the drought, through the bushfires, indeed, through COVID-19 and the trade concerns. Our farmers, but they just keep backing up. They produce the best food and fibre in all the world, Danica. And, look, for many they’ve had the best harvest for many, many years but, by gee, it must take something to get out of bed every morning before dawn and go at it again, particularly when they get deluged with storm situations such as this on the back of what have been some pretty awful seasons.

DANICA DE GIORGIO

Another issue facing our farmers is this labour shortage. How big of a shortage will there be this summer on our farms?

MICHAEL McCORMACK

Well, because of the COVID situation and the ban on international travel, of course, there’s tens of thousands of less backpackers who would normally be in Australia. And that’s why we moved quickly to extend visa arrangements for backpackers. That’s why we’ve done everything we can as a federal government to ensure that we have as much labour force as possible. But you can’t replace something in the order of 75,000-plus people who would otherwise normally be here for that holiday backpacker season to pick the fruit and to do all the great things that they normally do. So I say to Australians out there, university students who want some extra cash, there’s some good orchards just waiting for you. And, who knows, you might find the love of your life in a regional area. It often happens.

DANICA DE GIORGIO

A good dating advertisement there for people who might be single.

MICHAEL McCORMACK

Indeed.

DANICA DE GIORGIO

Absolutely. Let’s move tonne on to the situation with China. Firstly, there are reports in the Australian newspaper today that Australia’s embassy in Beijing is actually using a Chinese government agency to recruit senior staff into the consulate. Now Senator Rex Patrick is seeking to amend Australia’s foreign influence legislation, which would essentially force Australians to declare membership of any foreign political party. Would the coalition support such a change?

MICHAEL McCORMACK

Well, we’re always working through these situations in a pragmatic and sensible fashion, as you’d expect. And we take on board the very best advice that’s provided to us by our diplomats, by our embassies. And I know that Foreign Affairs Minister Marise Payne is working in the diligent and professional manner you would expect her to do. And whilst I appreciate Rex Patrick’s intentions are good, we’ll work through this in the sensible way that you’d imagine that the federal government would. These are difficult times. There’s absolutely no question these are difficult situations. We’re working through them. We’re working through our embassies. We’ve got the very best in foreign diplomats, and we’ll take their advice, of course. And I know that Marise Payne is working, as you’d expect, very professionally and very diligently on this matter.

DANICA DE GIORGIO

It is all but official now that Australian coal exports to China have been formally blocked. How should Australia respond to this? Is it time to take it to the WTO?

MICHAEL McCORMACK

Well, again, we’ll work through in a pragmatic and patient way. It’s important that we do so for all those tens of thousands of workers in regional areas who work in a mine, who work in the resources sector and, indeed, who work in agriculture. We’ll make sure that we do what we need to do, and we’ll also look at diversifying our trade as much as possible because that is critical to our future interests in making sure that we’ve got markets in which to send our coal, iron ore, food and fibre, all the rest. So important. We’re getting on with the job. We’re doing it in a patient way and we’ll work through it.

DANICA DE GIORGIO

Yeah, but is your patience wearing thin, though, Michael McCormack? Beijing’s still not answering the phone. Constantly Australian commodities are being blocked. How can Australian exporters feel confident during this period?

MICHAEL McCORMACK

Well, I say again, patience is needed because these are difficult times for our markets. These are – and that’s why we’ve signed that regional economic cooperation piece recently. That’s why we’ve just made more arrangements as well with South Korea with Japan and others. We’ll work through this. We always do. We always find a way. That’s going to be important. Yes, it’s difficult for those in the resources sector. It’s difficult for our farmers. They’re worried. I understand that, but patience is required. That’s what we’re doing.

DANICA DE GIORGIO

Is there even a point though to having these free trade agreements now when the rules are clearly being broken?

MICHAEL McCORMACK

Well, absolutely it is critical that we have those free trade arrangements and with any number of countries. And, of course, the UK is a situation where we’re working towards given the fact that they’ve left Brexit. We’ll work closely with UK. And I’m pleased that our other allies have also said, “Look to Australia to buy your food and fibre. Look to Australia to look at what resources we have.” I’m sure that those countries understand, too, that we’re under a bit of pressure at the moment, but we’ll work through it.

DANICA DE GIORGIO

Just finally I want to ask you about aged care. The federal government’s $1 billion boost to the sector. Michael McCormack, is it just a pre-emptive strike ahead of the aged care royal commission report which is due out in February next year?

MICHAEL McCORMACK

No, it’s essential funding that we’re providing. And, of course, we’ve supported the aged care sector with billions upon billions of funding over many, many years and we’ll go on doing that. Record amounts of money being spent in aged care, but not just aged care, so many sectors under this government, under the Liberal and Nationals government. And, yes, of course, 2021 is going to be a year in which there’s going to be a lot of focus on the aged care, of course, with the royal commission and those sorts of things. But we’ll work – again, we’re doing the responsible thing. We’re making sure that we’ve got the right measures in place. We’re making sure that we’ve got the right amount of funding. Just like today with an additional equity boost for the Inland Rail. Just like we’re boosting the Murray Basin freight rail in Victoria. These are important. These are important infrastructure and other sector funding announcements that we’re making to get the right amount of funding in the right places right now.

And, of course, we’ve back-ended the economy and cushioned the effects of COVID-19, and our situation there I say again to Australians all over: thank you for doing what you’ve done to keep Australia as COIVD free as possible. Yes, there will be 908 families mourning a loved one this Christmas particularly with that empty chair at the table, but when you see the situation elsewhere across the world and consider what we’ve done here as a nation, we owe a debt of gratitude to each and every Australian for doing the right thing during COVID.

DANICA DE GIORGIO

Michael McCormack, we have to leave it there. Thank you for joining me.

MICHAEL McCORMACK

Thanks, Danica. All the very best.

Shane Manning