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Australia

Raw milk cheese deal with UK set to please foodies, but not all local producers

Raw milk cheese deal with UK set to please foodies, but not all local producers

A dozen raw milk cheeses from the United Kingdom have been approved for export to Australia in a deal likely to please cheese lovers, but not necessarily local cheesemakers.

Paul Appleby from the West Midlands region of England said the “exciting” deal was a win for English cheesemakers, who make the semi-hard cheeses on-farm from fresh cow’s milk.

He makes two cheeses on the list: Appleby’s Cheshire and Double Gloucester.

“We’ve been selling out to America for quite a while but Australia is certainly a market we’d love to be in,” he said.

“I think we probably pasteurized our cheese about three times about 15 or 20 years ago, and never really had a lot of success with it.

A thick wedge of semi-hard cheese sits on a large wheel of cheese.
Appleby’s Double Gloucester cheese is one of 12 raw milk cheeses approved for importation into Australia from the UK. (Supplied: Appleby’s Dairy )

“But it is a constant source of worry. Obviously TB’s [Tuberculosis] an issue still in this country, so we still have to be very wary of that.

“Pasteurizing may be something we may have to do at some point, but we certainly wouldn’t want to.”

‘Fantastic for consumers, raw deal for farmers’

For international cheese specialist Will Studd, who first applied to import English raw milk cheeses 18 years ago, the decision is a dream come true.

“These cheeses used to be imported to Australia 40 years ago,” Mr Studd said.

“When I first started in the cheese industry we used to import and sell these cheeses, no problem.

“The idea that they were banned for the last 20 years on some sort of health grounds is absolute nonsense — it’s a story peddled by Food Standards Australia for no good reason, it’s all linked up to this great free trade agreement.”

Food Standards Australia New Zealand (FSANZ) did not respond to Will Studd’s “health ban” claims when contacted by the ABC.

A man in a peak cap sitting on hay bale in the green Tasmanian countryside.
Will Studd, who lives near Byron Bay, wants a fair go for Australian cheesemakers.(Landline: Fiona Breen)

While Mr Studd has welcomed the deal, he says it is not fair to local cheesemakers.

“It’s fantastic for cheese choice, for consumers and lovers of great cheese, but … it doesn’t allow Australian cheesemakers to be able to make the same cheeses, and that is just wrong,” he said.

Mr Studd said the whole purpose of his application in 2004 to import raw milk cheese varieties “was to allow consumers a greater choice not just of imported cheese but of local cheese”.

However, he said, since that time “almost 70 per cent of our small farmhouse producers have disappeared.”

“Milk is cheaper than water in Australia.

“Do we want to have small family farms anymore? They’re not allowed to produce cheese with an authentic taste to place, something that tastes different, something that … genuinely reflects the landscape like the great benchmark cheeses of Europe.”

A woman and a man reach from opposites of a table to hold an official document, two other women sit on the wooden table behind.
Natalie Browning, first secretary (Agriculture) at Australian High Commission London and Dr Robert Irvine, deputy chief veterinary officer, UK’s Department for Food, Environment and Rural Affair (DFER) joined by Department of Foreign Affairs and Trade counselor (Economic) Carly Stevens ( back left) and DFER policy advisor Nelly Brewer (back right).(Supplied: Australian High Commission London)

Bilateral trade to ‘level playing field’

However, the Department of Agriculture, Fisheries and Forestry (DAFF) said the UK cheese deal was separate to the free trade agreement between the two countries.

DAFF’s director of imported food Tania Martin said there was a “level playing field” as Australian cheesemakers could make the same cheeses locally.

“The requirements are exactly the same whether they’re being produced domestically, or whether they’re being imported, we’re assessing the cheeses to exactly the same requirements,” she said.

She said Australian raw milk cheesemakers must meet the requirements in the Food Standards Code, Standard 4.2.4 – Primary Production and Processing Standard for Dairy Products.

A man in a white jacket with a white hat and a man wearing a green jacket laugh together in a room filled with cheese wheels.
English cheesemaker Jamie Montgomery, with Will Studd, says it’s brilliant news his cheddar has been approved for export to Australia.(Supplied: Will Studd)

Since DAFF started accepting applications in 2016 from eligible countries, those free of foot and mouth disease, it has received this one from the UK and one from France.

“So with France they had previous permission to export Roquefort to Australia, so Roquefort cheese has been coming in since 2005, and then France also applied for an additional cheese which is Ossau Iraty and that was finalized last year,” she said.

Tough regulatory regime ‘too difficult’ for NSW cheesemakers

In Australia, local production is regulated by state-based food authorities.

Burringbar cheesemaker Debra Allard said the regulatory process to make raw milk cheese was too difficult and not worth it.

A middle-aged man and woman, smiling, and standing in a dairy shed.
Jersey cows ready for milking in Debra and Jim Allard’s dairy at Burringbar.(Rural ABC: Kim Honan)

“I only pasteurise at 65 degrees and that’s still within the legal parameter, commercially it’s 72 degrees, so my cheese is fine,” she said.

“I’d rather not have to bow and scrape to the NSW Food Authority.

“You do a lot of extra testing for raw milk cheese, and that’s an extra cost that you tend to wear.

“People don’t want to pay for an expensive cheese and they don’t want it to go off quickly either.

“My cheese is awesome, it tastes like a French-made cheese because of the way I make it and the fact that we’ve got Jersey milk is an awesome product.”

A box of artisan cheeses.
Debra Allard produces a range of artisan cheeses on her farm at Burringbar.(Supplied: Debra Allard)

The NSW Department of Primary Industries said raw milk cheesemakers must complete a form describing the steps used to make it.

“The pro forma can demonstrate to the Food Authority that the production process used is effective in reducing the numbers of L.monocytogenes to a safe level,” a spokesperson said.

“There are several steps and scientific trials that cheesemakers wishing to manufacture raw milk cheese must go through in order to demonstrate compliance with food safety standards.

“The maturation of the cheese must meet certain time, temperature and water content requirements, a process which has a similar effect to pasteurization in reducing pathogens.”

High entry barrier for Aussies

That process took Pecora Dairy at Robertson, in the Southern Highlands, two years.

Pecora Dairy was the country’s first raw milk cheesemaker and remains one of just two dairies making the product, according to owner Cressida Cains.

She said the milk from Pecora’s East Friesian ewes was taken straight into the vat to make cheese.

“What we’re doing, which has got no heat treatment at all, really allows a complete expression of the indigenous microbes that are in the milk when the animals have been milked to be expressed through the cheese,” she said.

A woman with short brown hair smiles while sitting on a log.
Artisan sheep cheese producer Cressida Cains from Robertson.(Supplied: AgriFutures)

Ms Cains said there was quite a high barrier for Australian cheesemakers to be able to make raw milk cheese.

“In many ways that’s fair and right for Australia because we need to make sure that our cheesemakers really fully understand the process,” she said.

“It’s a science — raw milk cheesemaking isn’t sort of a hit-and-miss and let’s-see-how-we’ll-go [process].

“We still need to test every batch of raw milk cheese, which does make it a very expensive process in Australia.

“So the information, as I understand it, is that we are on a level playing field with these cheeses that are coming into the country but I genuinely do hope that that’s the case.”

[Landline raw milk cheese]

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Categories
Australia

John Barilaro pulls out of parliamentary inquiry into US trade job

a profile shot of a man looking

Former NSW deputy premier John Barilaro has pulled out of today’s parliamentary inquiry, citing mental health reasons.

The upper house inquiry has been investigating Mr Barilaro’s appointment as senior trade and investment commissioner to the Americas.

He was scheduled to give his second day of evidence today, after first facing the inquiry on Monday.

“John Barilaro has informed the committee that due to mental health reasons he is unable to attend today’s hearing,” a statement from the inquiry said.

Mr Barilaro was due to face questions about what his girlfriend, Jennifer Lugsdin, knew about the lucrative US trade job he was awarded earlier this year.

Ms Lugsdin worked for Investment NSW — the body responsible for hiring people for overseas trade roles — when the Americas job was advertised.

Last December she was copied in on discussions about a media release calling for applications for the trade envoy position.

Before taking the role with Investment NSW, Ms Lugsdin was the senior media advisor for Mr Barilaro between 2019 and 2021.

A woman smiling
Jennifer Lugsdin was awarded a short-term role with Investment NSW in August 2021. (Supplied: Linkedin)

On Monday, Mr Barilaro expressed frustration about facing questions about his personal life.

Labor’s Penny Sharpe said she did not enjoy asking “uncomfortable” questions, but said it was necessary.

“Someone you were in a relationship with… was clearly aware of the various processes associated with the advertising and the nature of [the US trade] position,” she told the hearing on Monday.

Mr Barilaro withdrew from the New York-based trade role in June, saying intense media scrutiny made his appointment “untenable”.

The controversy surrounding his selection is now the subject of two inquiries and it led to the resignation of trade minister Stuart Ayres last week.

Although Mr Ayres is adamant he did nothing wrong, an inquiry by Graeme Head raised concerns he might have breached the ministerial code of conduct.

The upper house inquiry has heard Mr Ayres was not at “arm’s length” from the selection process.

Mr Barilaro resigned as deputy premier in October 2021, saying the pressure of public life had “taken a toll”.

He took a month off for his mental health in 2020 and said he thought he would never come back to politics.

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Categories
US

China’s trade curbs on Taiwan after Pelosi visit are drop in the ocean

China's trade curbs on Taiwan after Pelosi visit are drop in the ocean

Beijing’s new trade blocks against Taiwan affect about 0.04% of their two-way trade, making them more political than economic.

Beijing took action against Taiwan following US House Speaker Nancy Pelosi’s visit to the island earlier this month despite warnings from Beijing. That included suspensions of imports of Taiwanese citrus, frozen fish, sweets and biscuits and exports of natural sands to Taiwan.

Taiwan is a self-ruled democracy, but Beijing considers the island part of its territory and a breakaway province. China says Taiwan has no right to conduct foreign relations and warned for weeks against Pelosi’s visit.

What trade numbers show

US House Speaker Nancy Pelosi with Taiwan’s President Tsai Ing-wen, after arriving at the president’s office on August 3, 2022, in Taipei, Taiwan. Pelosi’s visit infuriated China, which regards the self-ruled island as its own and responded with test launches of ballistic missiles over Taipei for the first time, as well as ditching some lines of dialogue with Washington.

Handout | Getty ImagesNews | Getty Images

When it comes to Taiwan’s imports from mainland China, more than half of the $82 billion traded in 2021 were electrical machinery, electronic and technological parts as well as nuclear reactors and boilers.

As for Taiwan’s exports to China, 65% of them were also similar goods in electrical machinery, electronic and technological parts.

Drop in the ocean

On the other hand, the volume of trade in areas that Beijing has targeted is relatively small.

Exports of natural sand to Taiwan — which Beijing has targeted — were a drop in the ocean against the above figures. They amounted to about $3.5 million last year, data from the Taiwanese trade bureau showed.

They were also a small trade compared with natural sand exports from Australia and Vietnam, the biggest suppliers of natural sand to Taiwan last year. Together, they supplied about $64 million of the raw material used in construction and other industries, making up 70% of Taiwan’s purchases, according to its trade bureau.

Similarly, the targeted trade of citrus was valued at a relatively small $10 million last year, though mainland China was also Taiwan’s biggest citrus buyer, Taiwan’s trade data showed.

The agricultural products now in the headlines are only a fraction of Taiwan’s export basket. And so the headline impact on Taiwan won’t really be noticeable.

Nick Brown

Economist Intelligence Unit

Other targets such as Taiwan’s exports of bread, pastry, cakes and biscuits to mainland China were worth more than $50 million in total last year.

Beijing’s specific suspension of two kinds of frozen fishes, horse mackerel and largehead hairtail, were valued at over $3 million in 2021, according to Taiwan’s trade bureau.

“China’s economic retaliation against Taiwan is a long-standing strategy in its diplomatic playbook. That said, its decision to target relatively low-value trade items reflects the limits of its economic pressure toolbox,” said global trade lead analyst at the Economist Intelligence Unit , Nick Marro.

“It’s already had restrictions on Chinese visitors to Taiwan in place for a few years, which carry more economic significance; the agricultural products now in the headlines are only a fraction of Taiwan’s export basket. And so the headline impact on Taiwan won’t really be noticeable.”

Precedents

Beijing’s trade suspensions against Taiwan are not a new phenomenon.

In previous years, tensions between the two have led to bans on mainland travelers to Taiwan.

Last year, China suspended imports of Taiwanese pineapples, citing quarantine measures over “harmful creatures” that came with the fruit. China was Taiwan’s biggest pineapple buyer up to that point.

Investment bank Natixis said that the recent Chinese trade restrictions focused on “highly replaceable food products” but not the information and communications technology sector in which the two trading partners have the most trade.

The bank also said mainland China will continue to import from Taiwan as long as it needs the goods, similar to what it has done in other trade conflicts such as the one it has with Australia and the United States.

In the China-Australia trade dispute that started in 2020, China restricted the purchase of some goods such as barley and coal but continued to buy iron ore from Australia, a key ingredient for China’s steel production and the bedrock of the countries’ trade.

There may also be other fallouts from the Pelosi visit that could hurt wider regional trade. For example, heightened military drills in the Taiwan Strait may delay shipments, analysts say.

“The shutting down of these transport routes — even temporarily — has consequences not only for Taiwan, but also trade flows tied to Japan and South Korea,” Marro said.

“It’s not just a story for Taiwan and China, but also for their neighbors, as well.”

Analysis by logistics platform Container xChange said any rerouting of shipping lines to avoid military exercises may be problematic for the trading world as it enters peak shipping season.

Container xChange Chief Executive Christian Roeloffs said, however, that supply chains have become far more resilient over the course of the pandemic.

Customer feedback shows any rerouting of vessels away from the Taiwan Strait will add a few days to ship voyages, though Roeloffs does not anticipate a massive hit to logistics costs.

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Categories
Australia

Former NSW deputy premier John Barilaro told Dominic Perrottet, Stuart Ayres and Matt Kean he wanted US job, inquiry hears

Former NSW deputy premier John Barilaro told Dominic Perrottet, Stuart Ayres and Matt Kean he wanted US job, inquiry hears

Former NSW deputy premier John Barilaro has told an inquiry he wishes he did not apply for a lucrative New York role he was controversially awarded, describing the process as a “s**tshow”.

Mr Barilaro is giving evidence for the first time to an upper house inquiry into the recruitment process that saw him appointed the state’s Senior Trade and Investment Commissioner to the Americas.

He has since withdrawn from the $500,000-a-year role, which is based in New York.

Mr Barilaro told the inquiry he flagged his interest in the role to Premier Dominic Perrottet on a phone call in November after his resignation from cabinet, to which he claimed Mr Perrottet responded “great”.

Mr Barilaro said he spoke to then-trade minister Stuart Ayres and texted Treasurer Matt Kean about the role, too.

He told the inquiry he expected to clear his name and has refuted any suggestion he sought any special treatment.

LIVE UPDATES: Read our live blog as John Barilaro gives evidence

A man speaking into a microphone
Daniel Mookhey closely questioned Mr Barilaro.(AAP: James Gourley)

Mr Barilaro was asked about a briefing note sent to his office stating a candidate for the job, Jenny West, had been selected for the role in August 2021.

He said he didn’t recall seeing the note, but accepted it contained an electronic signature of his in accordance with a process in his office for when he was away.

Mr Barilaro said he had “no issue” with Ms West, who described him as a “strong professional”.

Ms West has previously given evidence to the inquiry that she was told on August 12 she was the successful candidate.

She claims that offer was later revoked and she was told the job would be a “present” for someone.

“I didn’t know that Jenny West was offered a contract … this inquiry has really opened that up,” Mr Barilaro said today.

He denied the government was seeking to create a bunch of “pork barrels” in changing the position to become a ministerial appointment.

“I will say this, if I knew what I know now, I wish I never had applied,” Mr Barilaro said.

“If I knew what I know now, I wouldn’t have walked into what was as**tshow.

“I’m going to use those terms, I’m sorry to say, because the trauma I’ve gone through over the past six to seven weeks has been significant.”

‘An error’ to offer Barilaro the job

a woman wearing glasses looking and sitting behind a desk
Amy Brown appeared before the inquiry for a third time.(abcnews)

In her third time answering questions before the inquiry, Investment NSW chief executive Amy Brown said that, “in hindsight”, it was an “an error” to offer Mr Barilaro the US job before a panel report was signed.

“The way these roles were set up as public service appointments, but with a high degree of ministerial interest, made it difficult to run an optimal process,” she said.

Ms Brown recalled hearing from Mr Barilaro in August 2021, when he recommended his then-senior-media-adviser, Jennifer Lugsdin, for an upcoming opening at Investment NSW.

Mr Barilaro and Ms Lugsdin are in a relationship, which did not commence while he was deputy premier, and Ms Brown said the only comment from him in that call about a relationship was regarding a professional one.

Ms Brown was presented with a chain of emails from December 2021 showing communication about the recruitment process for the US role.

The position was re-advertised publicly, on December 17, however the emails were sent about a week prior. The email chain was forwarded to Ms Lugsdin.

Ms Brown agreed it was a fair inference that Ms Lugsdin would have known by at least December 10 about a decision to commence advertising the role that year, “assuming she read that email”.

Elliott bows out of race for deputy Liberal leader

a man looking and smiling
David Elliott avoided answering whether he discussed the role with Mr Perrottet. (AAP: Dan Himbrechts)

Meanwhile, the upper house inquiry’s terms will be extended to include other trade roles, after allegations Mr Perrottet offered to create a job for Transport Minister David Elliott.

This afternoon, Mr Elliott announced he would not run for the deputy leadership of the NSW Liberal Party after the resignation of Stuart Ayres from cabinet last week over “concerns” about his conduct in the appointment of Mr Barilaro.

Mr Elliot told Nine radio he would not contest the role, due to be determined on Tuesday, after a discussion with Mr Perrottet.

“I don’t think that’s going to be in the best interests of the party and I think it’s in Dominic’s best interests for us to have some unity for the parliament over the course of the next eight months as we go to an election,” he said.

Earlier today the Premier hosed down the job claims, telling Nine radio he had spoken to Mr Elliott about several roles — including NSW’s agent-general position in London — but that he was “never promised a job outside of politics”.

“That is deeply offensive and wrong,” the Premier said.

“But people always say, from time to time, discussions will be had in relation to when someone withdraws what they would like to do. That is normal.

“What I don’t do, as Premier, is say that I will ever make those appointments or offer anyone a job.”

Space to play or pause, M to mute, left and right arrows to seek, up and down arrows for volume.
‘Offensive’ allegations: NSW Premier denies offering trade job as sweetener

Mr Perrottet said the conversations he had with ministers were private.

“I am not going to go into details in relation to parliamentary secretary roles or a role in the ministry,” he said.

He did not deny an allegation that Mr Elliott had requested to be made NSW governor if he retired.

“From time to time, members of parliament will always say to their colleagues what they would like to do after politics,” the Premier said.

“People come to me, or come to my colleagues and say, ‘When I leave parliament I’d like to do A, B, and C’.”

Dominic Perrotte
A spokesperson for Mr Perrottet says any appointments are a matter for the Premier.(AAP: Bianca De Marchi)

NSW Shadow Treasurer Daniel Mookhey said Mr Perrottet had many questions to answer.

“The allegations about the Premier allegedly offering David Elliott an appointment to the agent-general position in London are deeply serious,” Mr Mookhey said.

“Labor as a result will seek to expand the inquiry’s term of reference so we can examine the agent-general’s position as well as other roles across the world.”

The Premier said he would adopt the recommendations of a review into the hiring process for trade roles, which is due to be finished within days.

Treasurer Matt Kean confirmed he would run for the position of Deputy NSW Liberal Leader.

The Premier’s office has been contacted for comment.

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Categories
Australia

NSW Premier Dominic Perrottet says allegations he promised London role to David Elliott ‘offensive’

NSW Premier Dominic Perrottet says allegations he promised London role to David Elliott 'offensive'

NSW Premier Dominic Perrottet has commented on allegations he spoke about creating a highly paid public service role based in the UK for a minister.

Labor has sought to extend an inquiry into how former NSW deputy premier John Barilaro was appointed to a top US trade job, amid reports by Nine newspapers that the NSW Premier offered to create a new parliamentary trade role for Transport Minister David Elliott in London.

The report says the Premier spoke to Mr Elliott about the agent-general position in London as compensation following manoeuvres that could have seen him removed from cabinet.

Mr Perrottet told Nine radio this morning he discussed “a number of roles” with Mr Elliott, including the agent-general role in London, but the Premier stopped short of clarifying whether he spoke about creating a public service role for him.

“David Elliott was never promised a job outside of politics,” Mr Perrottet said.

“That is deeply offensive and wrong.”

“But people always say from time to time discussions will be had in relation to when someone withdraws what they would like to do. That is normal.

“What I don’t do as Premier is to say that I will ever make those appointments or offer anyone a job.”

Mr Perrottet said the conversations he had with ministers were private.

“I am not going to go into details in relation to parliamentary secretary roles or a role in the ministry,” he said.

Mr Barilaro is expected to face some serious questioning this morning when he appears for the first time before the inquiry.

a man looking and smiling
David Elliott avoided answering whether he discussed the role with Mr Perrottet. (AAP: Dan Himbrechts)

The inquiry last week heard from senior NSW bureaucrat Kathrina Lo, who said she would never have signed off on her appointment as New York trade commissioner had she known of the level of ministerial involvement.

Trade minister and Member for Penrith Stuart Ayres resigned from his portfolios and leadership position in the party over concerns about his role in the selection process.

Mr Elliott did not directly respond to questions about the conversation with the Premier.

“I’m committed to delivering the NSW government’s infrastructure pipeline, which is helping transform our state, and ensuring our public transport delivers first-class services for the people of NSW,” he said in a statement.

“I have no interest in working overseas again.”

John Barilaro awarded $715,000 in defamation damages over YouTube videos
John Barilaro resigned from the New York role shortly after accepting it. (News Video)

NSW Shadow Treasurer Daniel Mookhey said Mr Perrottet had many questions to answer.

“The allegations about the Premier allegedly offering David Elliott an appointment to the agent-general position in London are deeply serious,” Mr Mookhey said.

“Labor as a result will seek to expand the inquiry’s term of reference so we can examine the agent-general’s position as well as other roles across the world.”

The Premier’s office has been contacted for comment.

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Categories
Australia

Two former NSW MPs interviewed at last minute for senior trade roles, leaked emails reveal

A composite of two women's faces: Pru Goward left, Jodi McKay right

Two former NSW MPs were given “last-minute” interviews for overseas trade commissioner roles despite there already being preferred candidates, according to an email from inside Investment NSW.

On August 14, 2021, Investment NSW CEO Amy Brown said she had been “asked” to include the two candidates in interviews for the India and Singapore-based roles.

The email, sent to Ms Brown’s assistant and the recruiter, shows the candidates were included despite the recruitment process already being well underway.

“We’ve been asked to interview two last-minute candidates for the Senior Trade and Investment commissioner roles … Jodi McKay — India/Middle East (and) Pru Goward — India/Middle East or Singapore,” she wrote.

The release of the email is likely to place more pressure on NSW Premier Dominic Perrottet over whether there was political interference in the recruitment of trade commissioner roles, after sustained scrutiny over a similar job based in New York which was given to former deputy premier and Nationals leader John Barilaro.

The Premier has launched an independent inquiry into the New-York-based role, which is expected to be finished within days.

Mr Barilaro will appear on Monday before a parliamentary inquiry, where he is expected to be questioned about his involvement in the recruitment of trade commissioners, and his appointment to the New York position.

Former NSW deputy premier John Barilaro
John Barilaro successfully applied for the New York job after leaving politics last year.(AAP: Joel Carrett)

He has since withdrawn from the role, and much of the focus has turned to how involved he and another minister, Stuart Ayres, were in the hiring process.

Last week, Mr Ayres stood down as trade minister and deputy leader of the NSW Liberal party, after a draft review raised concerns about his involvement in the recruitment process for the Americas role and whether he might have breached the ministerial code of conduct.

Mr Ayres denies any wrongdoing.

“However, I agree it is important that this matter is investigated appropriately and support the Premier’s decision to do so,” he said in a statement.

Mr Barilaro has maintained he always followed the proper process.

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Categories
Australia

Public Service Commissioner would not have endorsed Barilaro appointment had she known of ministerial interventions

a woman behind a desk and a microphone

The NSW Public Service Commissioner has told an inquiry she would never have signed off on former deputy premier John Barilaro’s appointment as New York trade commissioner had she known of the level of ministerial involvement.

Kathrina Lo was on the selection panel but said she was unaware that then-minister Stuart Ayres had played a role in deciding which candidates should be shortlisted and that he had provided an informal reference for his former colleague, Mr Barilaro.

Ms Lo said she had only learned of these interventions through evidence given to the inquiry and media reports.

She said she’d also been unaware that Mr Ayres had held a Zoom meeting with the other leading candidate, businesswoman Kimberley Cole.

“Had I known on 15th June what I know now, I would not have endorsed the report,” she said, referring to the final report of the selection panel.

The other independent member of the selection panel was former Liberal MP Warwick Smith.

He has not been called as a witness but Ms Lo said he would like it placed on the record that he would not have endorsed the report had he known the full picture.

The commissioner said no pressure had been placed on her personally to achieve a particular outcome but she expressed her displeasure at the way the process had been conducted.

“As Public Service Commissioner, I should not be viewed as cover for a recruitment process or a way for other panel members or the hiring agency to avoid accountability,” Ms Lo said.

Earlier today, Mr Barilaro’s former chief of staff Siobhan Hamblin told the inquiry that she had been given no reason to believe that he stood to benefit personally from any changes to the way the trade commissioners were appointed.

In the days before Mr Barilaro announced his plans to leave politics, emails show bureaucrats discussing changing the rules for the recruitment of new trade commissioners, then deciding the plum US role would be handled “as an internal matter”.

Ms Hamblin today said Mr Barilaro “never raised with me any personal interest in these roles”.

If he had, she said, she would have had no hesitation in flagging it as a concern.

Siobhan Hamblin wearing a pink jacket
Siobhan Hamblin today gave evidence to the inquiry.(AAP: James Gourley)

Ms Hamblin told the inquiry that in September last year, Mr Barilaro spoke to her about his intention to resign from politics.

She agreed that those conversations took place around the same time as he had asked his staff to prepare an urgent submission to cabinet seeking to change the trade jobs into ministerial appointments.

Ms Hamblin said the discussions were not unusual and were not confined to that period as he had been talking about leaving parliament since he took a month of mental health leave the previous year.

“Sometimes it was quite a flippant and at other times it was more serious,” Ms Hamblin told the hearing.

A close up picture of John Barilaro's face
Former deputy premier John Barilaro resigned from politics last year.(AAP: Joel Carrett)

Labor’s Daniel Mookhey pressed Ms Hamblin on the timing of Mr Barilaro’s request for his staff to prepare an urgent submission to cabinet to turn the New York-based role into a ministerial appointment.

“Was it the case that the reason why Mr Barilaro wanted this cabinet submission produced ASAP and considered urgently was because at that point of time he had already started contemplating a resignation?” Mr Mookhey asked.

“That is a question for him, Mr Mookhey,” Ms Hamblin replied.

Mr Barilaro is due to appear before the inquiry on Monday.

The acting managing director of Investment NSW Kylie Bell gave evidence that the position of New York trade commissioner has been placed on hold pending the conclusion of the hearings.

She told MPs that there were currently four people working in the NSW government’s New York trade office, earning a total of $900,000 in salaries.

In addition, there are two staff based in San Francisco and one other in Washington, who is employed through Austrade.

A woman with blonde hair and glasses smiles while sitting behind a microphone
Chief executive of Investment NSW Amy Brown gave evidence earlier this week for a second time. (AAP: Bianca de Marchi)

Labor has said it would scrap the international trade roles, saying revelations in recent weeks have raised questions about whether they are delivering value for money for taxpayers.

“With our hospitals overstretched and teachers under-resourced, the Government has failed dismally to demonstrate value for money of its senior trade commissioners,” NSW Labor Leader Chris Minns said.

Mr Barilaro’s appointment has been put under the microscope for several weeks and is the subject of two separate inquiries.

He has since withdrawn from the position.

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Categories
US

Taiwan’s trade with China is far bigger than its trade with the US

Taiwan's trade with China is far bigger than its trade with the US

Aerial photograph of shipping containers at the harbor in Keelung, Taiwan. Data show that Taiwan depends more on China for trade than it does on the US

Sam Yeh | Afp | Getty Images

BEIJING — Data show that Taiwan depends more on China for trade than it does on the US, even if US House Speaker Nancy Pelosi threw her weight behind Taiwan this week in a high-profile visit.

Taiwan came under military and economic pressure from Beijing this week, after the democratically self-ruled island allowed the visit of Pelosi — the highest-ranking US official to set foot on Taiwan in 25 years.

The visit came despite warnings from China, which considers Taiwan part of its territory and maintains the island should have no right to conduct foreign relations. The US recognizes Beijing as the sole legal government of China, while maintaining unofficial relations with Taiwan.

Still, Taiwan’s business and economic ties with mainland China and Hong Kong have grown so large that the region is by far the island’s largest trading partner.

Many large Taiwanese companies in high-tech industries such the world’s biggest chipmaker — Taiwan Semiconductor Manufacturing Co., or TSMC. — operate factories in mainland China.

Last year, mainland China and Hong Kong accounted for 42% of Taiwan’s exports, while the US had a 15% share, according to official Taiwan data accessed through Wind Information.

In all, Taiwan exported $188.91 billion in goods to mainland China and Hong Kong in 2021. More than half were electronic parts, followed by optical equipment, according to Taiwan’s Ministry of Finance.

Taiwan’s exports to Southeast Asia were even greater than those to the US — at $70.25 billion to the region, versus $65.7 billion to the US, the data showed.

As a source of Taiwan’s imports, mainland China and Hong Kong again ranked first with a 22% share. The US only had a 10% share, ranking behind Japan, Europe and Southeast Asia.

Growing trade with mainland China

In recent years, Taiwan has bought an increasing amount of products from mainland China, and vice versa.

Over the last five years, Taiwan’s imports from mainland China have arisen by about 87% versus 44% growth in imports from the US

Taiwan’s exports to mainland China grew by 71% between 2016 and 2021. But exports to the US nearly doubled, growing by 97%.

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US

Taiwan’s trade with China is far bigger than its trade with the US

Taiwan's trade with China is far bigger than its trade with the US

Aerial photograph of shipping containers at the harbor in Keelung, Taiwan. Data show that Taiwan depends more on China for trade than it does on the US

Sam Yeh | Afp | Getty Images

BEIJING — Data show that Taiwan depends more on China for trade than it does on the US, even if US House Speaker Nancy Pelosi threw her weight behind Taiwan this week in a high-profile visit.

Taiwan came under military and economic pressure from Beijing this week, after the democratically self-ruled island allowed the visit of Pelosi — the highest-ranking US official to set foot on Taiwan in 25 years.

The visit came despite warnings from China, which considers Taiwan part of its territory and maintains the island should have no right to conduct foreign relations. The US recognizes Beijing as the sole legal government of China, while maintaining unofficial relations with Taiwan.

Still, Taiwan’s business and economic ties with mainland China and Hong Kong have grown so large that the region is by far the island’s largest trading partner.

Many large Taiwanese companies in high-tech industries such the world’s biggest chipmaker — Taiwan Semiconductor Manufacturing Co., or TSMC. — operate factories in mainland China.

Last year, mainland China and Hong Kong accounted for 42% of Taiwan’s exports, while the US had a 15% share, according to official Taiwan data accessed through Wind Information.

In all, Taiwan exported $188.91 billion in goods to mainland China and Hong Kong in 2021. More than half were electronic parts, followed by optical equipment, according to Taiwan’s Ministry of Finance.

Taiwan’s exports to Southeast Asia were even greater than those to the US — at $70.25 billion to the region, versus $65.7 billion to the US, the data showed.

As a source of Taiwan’s imports, mainland China and Hong Kong again ranked first with a 22% share. The US only had a 10% share, ranking behind Japan, Europe and Southeast Asia.

Growing trade with mainland China

In recent years, Taiwan has bought an increasing amount of products from mainland China, and vice versa.

Over the last five years, Taiwan’s imports from mainland China have arisen by about 87% versus 44% growth in imports from the US

Taiwan’s exports to mainland China grew by 71% between 2016 and 2021. But exports to the US nearly doubled, growing by 97%.

Read more about China from CNBC Pro

Comparable to Shanghai

.

Categories
US

Port of New York and New Jersey battles a shipping container pile-up

Port of New York and New Jersey battles a shipping container pile-up

The Port of New York and New Jersey announced new tariffs on Tuesday related to empty containers and export volume in its battle to decrease container congestion. Both loaded and empty containers that are considered long-dwelling will be subject to a quarterly “container imbalance fee.” The tariff will be effective as of September 1, pending the mandatory federal 30-day notice.

The Port of New York and New Jersey is the largest port on the East Coast and the third-largest in the nation. Products that were recently processed through customs in July range from BMW motorcycles and dresses for David’s Bridal out of China, parts for Plug Power, a gas cooker for Tractor Supply, and a “12 Days of Beauty Box” for Target.

But just like other ports, the Port of New York and New Jersey has processed record volumes of import containers during the pandemic and has seen these import containers wait longer at the terminals. These containers have clogged land capacity and slowed down port productivity. As a result, more vessels wait at anchor.

Under the new tariff, ocean carriers who do not move empty containers out of the port will be charged $100 per container. The port’s new container export levels mandate that export volumes must equal or exceed 110% of an ocean carrier’s incoming container volume during the same period. If that benchmark is not met, the ocean carrier will be assessed a fee of $100 per container for failing to hit this benchmark. Both loaded and empty containers are included in the import container count. Rail volume is excluded.

Record cargo volume, excess containers

Surrounding land is also being used by the port to make room for the excess containers. The port created temporary storage for both empty containers and long-dwelling import containers in a 12-acre lot within the Port Newark and the Elizabeth-Port Authority Marine Terminal. The port is also in negotiations and researching additional areas that could be used for storage space.

“As we continue to manage record cargo volume and work with our tenants and port stakeholders for the removal of empty containers in a timely manner, we call on all industry stakeholders to find sustainable, long-term solutions to an industrywide problem affecting many US ports ,” said Port Authority Chairman Kevin O’Toole.

The decrease in productivity can be seen in the increased travel time of vessels. The increased anchorage times can be tracked in the vessel transit time from China to the Port of New York and New Jersey.

“The Port of New York and New Jersey is facing record import volumes, leading to empty containers accumulating in and around the port complex that are now affecting the regional supply chain that is already under stress from various sources across the country,” said Bethann Rooney , director of the Port Department at the Port Authority of New York and New Jersey. “We emphatically encourage ocean carriers to step up their efforts to evacuate empty containers quicker and at higher volumes to free up much needed capacity for arriving imports in order to keep commerce moving through the port and the region.”

European goods and German port stresses

East Coast ports like New York receive a lot of goods from Europe, where trade has been severely impacted by ongoing labor strife at both ports and rails. Exports bound for the United States are at least two months late.

Among the thousands of containers that were imported into the Port of New York and New Jersey in the month of July, according to a review of customs data using ImportGenius, there was wine from Spain, pasta, Prosecco and Giorgio Armani suits from Italy, and furniture from France.

Planet, a new contributor to the CNBC Supply Chain Heat Map, captured photos to show the impact of the rail strikes that have left a crush of containers at the rail terminals in Hamburg. Because of extensive cloud cover in July, the comparisons are between May 15, 2022 and June 11, 2022. The buildup of containers can clearly be seen. With the labor strife continuing, the number of containers has grown, according to logistics experts, and that is slowing down trade.

Hamburg rail terminal comparisons

Planet

“The rail situation in the Ports of Germany, especially in Hamburg, remains stressed and the congestion is increasing,” said Andreas Braun, Europe, Middle East, and Africa ocean product director of Crane Worldwide Logistics.

Rail operators constantly miss their normal delivery and pick up windows, and can still not deliver laden containers to the terminal earlier than seven days prior to loading. Due to the summer passenger schedule, container train operators have to give right of way to the increased amount of passenger trains, which additionally contributes to the delays.

“At least one week of delays is normal by now however, that can go up to two weeks and the constant threat that you miss the vessel,” Braun said.

The CNBC Supply Chain Heat Map data providers are artificial intelligence and predictive analytics company Everstream Analytics; global freight booking platform Freightos, creator of the Freightos Baltic Dry Index; logistics provider OL USA; supply chain intelligence platform FreightWaves; supply chain platform Blume Global; third-party logistics provider Orient Star Group; marine analytics firm MarineTraffic; maritime visibility data company Project44; maritime transport data company MDS Transmodal UK; ocean and air freight rate benchmarking and market analytics platform Xeneta; leading provider of research and analysis Sea-Intelligence ApS; Crane Worldwide Logistics; and air, DHL Global Forwarding; freight logistics provider Seko Logistics; and Planet, provider of global, daily satellite imagery and geospatial solutions.

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