Townsville Bulletin

National snapshot Widodo accepts sugar tax cut

- MILES GODFREY

AUSTRALIA has struck a sweet deal with Indonesia to lower its tax on sugar imports.

The agreement was sealed between PM Malcolm Turnbull and President Joko Widodo during a stroll in Sydney’s Botanic Gardens yesterday.

The pair dined at Mr Turnbull’s Point Piper home on Saturday night and, during a press conference yesterday, were at pains to say the two countries were friends again.

Indonesia cut off military co- operation with Australia late last year after allegedly offensive material was discovered by Indonesian military staff at a West Australian training base.

“President Widodo and I have agreed to the full restoratio­n of defence co- operation, training exchanges and activities,” Mr Turnbull said.

“The relationsh­ip is about much more than agreements and close ties between government­s. Indonesia is our No. 1 holiday destinatio­n, with about a million Australian­s travelling to Bali alone last year.”

Mr Turnbull announced that, during talks between the pair, Indonesia had agreed to lower its sugar tariffs for Australian companies.

The tariff will go down to 5 per cent.

The issue had been a sticky matter for Australian exporters, who complained they were being charged more to import their product into Indonesia than other nations.

In return, Australia will eliminate tariffs on pesticides and herbicides coming into the country from Indonesia.

President Widodo revealed that much of diplomatic talks had been sealed during Saturday night’s dinner and the morning stroll the two leaders enjoyed around the Botanic Gardens yesterday.

But he had one pointed comment for Mr Turnbull, saying the relationsh­ip between the two countries could remain strong so long as the nations did not meddle in each other’s affairs.

This is believed to have been a reference to the diplomatic blow- up last year.

Dawson MP George Christense­n yesterday praised the sugar tariff cut.

“That means more money into the pockets of cane growers who sell into Indonesia and therefore more money spent in the local towns and regions they live in,” he said.

“In recent years, this market has been disadvanta­ged by an 8 per cent tariff, which is higher than the 5 per cent tariff for ASEAN countries like Thailand.

“Lowering the tariff on Australian sugar to 5 per cent puts us on level playing field with South- East Asian nations.

“Australia is committed to supplying high quality sugar as a reliable trade partner with Indonesia.” VICTORIA’S Premier Daniel Andrews says his cabinet will immediatel­y start work on overhaulin­g the system that allowed two of his MPs to claim more than $ 140,000 to live by the sea instead of in their electorate­s.

Speaker Telmo Languiller and deputy speaker Don Nardella sensationa­lly resigned on Saturday after it was revealed they claimed a second residence allowance them to live far away from the Melbourne CBD and their electorate­s.

Mr Andrews said he spoke to both MPs and “they were left in no doubt about how disappoint­ed I was and that I required them to do the right thing”.

Asked if Mr Nardella should repay the allowance, Mr Andrews said: “That is a fair question. The most important thing though I think is to let the audit committee deal with these matters.”

Mr Andrews says the cabinet will begin work on reforming the rules from this morning.

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 ?? SMILE: Prime Minister Malcolm Turnbull shakes hands with Indonesia President Joko Widodo in Sydney yesterday afterafte earliere takingg a selfie ( below) with Lucy Turnbull and Mrs Widodo. ??
SMILE: Prime Minister Malcolm Turnbull shakes hands with Indonesia President Joko Widodo in Sydney yesterday afterafte earliere takingg a selfie ( below) with Lucy Turnbull and Mrs Widodo.

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