THE Parliament’s Foreign Affairs, Defence and Trade Committee has launched a new inquiry into activating trade and investment between Australia and Pacific island countries.

Chair of the Committee’s Trade Sub-Committee, Ted O’Brien MP, said parliamentarians wanted to understand how to activate greater trade and investment opportunities with the Pacific region, not only to benefit Australia, but also our Pacific neighbours.

“Pacific Island nations might be in our backyard, but let’s not forget that Australia is also in theirs,” Mr O’Brien said.

“We’re far more than just trading nations, we’re neighbours who can mutually benefit by activating greater trade and investment opportunities, which is why we’re launching this parliamentary inquiry.   

“We want to hear all the stories – the good and the bad – from practitioners in the field. We want to learn from businesses who are successfully exporting into the Pacific as well as from those who have tried and failed.  We also want to hear from businesses who, right now, are weighing up the pros and cons, the risks versus the opportunities, of trading in the Pacific,” he said.

“Free trade is good for those nations which embrace it, and so we want this inquiry to examine the conditions that will help activate even more trade and investment opportunities, with the people of the Pacific and Australia all coming out winners.”

The inquiry follows Australia signing a new development-centred trade agreement, the Pacific Agreement on Closer Economic Relations Plus (PACER Plus), with 13 other members of Pacific Islands Forum.

"We’re keen to explore how PACER Plus will help Pacific island countries become more active partners, and benefit from, the regional trading system," Mr O’Brien said.

Submissions from any person, businesses or organisations with an interest in the issues raised by these terms of reference are welcome. Submissions addressing all or some of the terms of reference should be lodged by February 11, 2020, with overseas submissions due on February 18, 2020.

Further details about the about the inquiry, including terms of reference, details on how to contribute a submission and, when available, details of public hearings and roundtable discussions, can be obtained from the Committee’s website.

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THE Financial Services Council (FSC) has today welcomed several initiatives included in ASIC’s revised fees and costs disclosure requirements for PDSs and periodic statements, including the updated Regulatory Guide 97.

FSC CEO Sally Loane said, "We are pleased to see that the updated rules increase comparability and clarity of disclosure, including changes as to how some of the fees and costs categories are grouped together.

“Consistency in reporting of superannuation fees is crucial to ensure consumers can meaningfully compare products and make informed choices about their retirement savings,” Ms Loane said.

“Overall the changes are a positive step forward for Australians, who will be able to more clearly understand what they are being charged for when it comes to financial products. We are however disappointed that our request for a longer timeframe for compliance has not been granted in today’s update.

“The FSC’s submission earlier this year pressed strongly for a longer timeframe for compliance, particularly in the case of PDSs. We submitted that this was necessary to accommodate the extensive system, data gathering and disclosure changes – the shorter timeframe will create added pressure and risk for businesses implementing the new rules,” Ms Loane said.

“The FSC looks forward to engaging with ASIC over the coming months to ensure industry has a disclosure framework that provides transparent, comparable information and promotes consumer trust and confidence in the financial services system.”

The new rules and guidance follow ASIC’s Consultation Paper 308 Review of RG 97 Disclosing fees and costs in PDSs and periodic statements released earlier this year, and Report 581 Review of ASIC Regulatory Guide 97: Disclosing fees and costs in PDSs and periodic statements.

www.fsc.org.au

About the Financial Services Council

The Financial Services Council (FSC) has more than 100 members representing Australia's retail and wholesale funds management businesses, superannuation funds, life insurers, financial advisory networks and licensed trustee companies. The industry is responsible for investing $3 trillion on behalf of more than 15.6 million Australians. The FSC promotes best practice for the financial services industry by setting mandatory Standards for its members and providing Guidance Notes to assist in operational efficiency. The FSC’s mission is to protect and enhance confidence in a strong, sustainable financial services sector that serves Australians with integrity.

INSTITUTE of Public Accountants (IPA) chief executive officer, Andrew Conway, has addressed hundreds on delegates at IPA’s national congress being held in Adelaide this week, highlighting the extensive work the Institute is doing in the mental health arena.

“Having carried out an Australia wide road show, gathering feedback from small businesses and small accounting practices, the message we received loud and clear was that the mental health of small business has become a paramount issue,” Prof Conway said.

“We heard of many stories of true concern; too many to ignore. Our members echoed these sentiments and as trusted advisers; they are in an inevitable position of trying to assist clients who are facing such issues as depression and anxiety.

“The IPA has advocated for a Federal response.  A roundtable meeting with the Prime Minister in late 2018 has led to a series of government run working groups to address the issue of the mental health of small business," he said.

“This work is ongoing, and IPA continues to be represented on such forums to generate recommendations for government.

“In addition, we have provided mental health first aid training to senior staff and members.  We are looking to extend our research to ensure we have an evidence-based approach to policy development in this area,” Prof Conway said.

About the Institute of Public Accountants

The IPA, formed in 1923, is one of Australia’s three legally recognised professional accounting bodies.  In late 2014, the IPA acquired the Institute of Financial Accountants in the UK and formed the IPA Group, with more than 37,000 members and students in over 80 countries.  The IPA Group is the largest SME focused accountancy organisation in the world. The IPA is a member of the International Federation of Accountants, the Accounting Professional and Ethical Standards Board and the Confederation of Asian and Pacific Accountants.   

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ON BEHALF of CPA Australia I acknowledge the successful passage of Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA)," said CPA Australia chairman and president, Peter Wilson.

"The IA-CEPA will further strengthen the economic and commercial ties between these two markets," Mr Wilson said. "Indonesia is one of the fastest growing economies in the region, and one of Australia’s nearest neighbours. This geographical proximity, plus the countries’ already strong ties means that Australian businesses and jobs are well positioned to benefit from this new agreement.

"Under the agreement, non-tariff barriers to trade will be reduced, paperwork simplified and the IA-CEPA will allow 99 percent of Australia's goods exports to enter Indonesia either duty free or with significantly improved preferential arrangements. All Indonesia's goods exports will enter Australia duty free.

"Encouraging international trade by removing impediments is very positive for both Australian businesses and Australian jobs. The agreement also ensures that Indonesia will not apply tariffs to Australian goods exports in the future," he said.

"We also acknowledge the bipartisan support of the Australian Labor Party who supported the passage of this important legislation."

Indonesia is an important trading partner with Australia. According to the Department of Foreign Affairs and Trade (DFAT), in 2018, total two-way trade in goods and services with Indonesia was worth A$17.6 billion, making Indonesia Australia's 4th largest trading partner.

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CPA Australia is one of the world's largest accounting bodies, with more than 164,000 members working in 150 countries and regions and supported by 19 offices globally. Our core services to members include education, training, technical support and advocacy. Employees and members work together with local and international bodies to represent the views and concerns of the profession to governments, regulators, industries, academia and the community. Visit our website: www.cpaaustralia.com.au