Alexander Marc: Tariff (New Zealand - Thailand Closer Economic Partnership) Bill — First Reading 
Alexander Marc: Tariff (New Zealand - Thailand Closer Economic Partnership) Bill — First Reading 
[Volume:625;Page:20613] 
MARC ALEXANDER (United Future) 
: 
 I rise on behalf of United Future to support the Tariff (New Zealand - Thailand Closer Economic Partnership) Bill. We support the idea of open and free markets. This bill goes towards a bilateral agreement that helps trade between our two nations in a way that advantages us both. To hear the previous speaker one would come away with the idea that this would somehow inhibit us. But open markets— 
Dr the Hon Lockwood Smith 
: It’s not a very high-quality agreement. 
MARC ALEXANDER 
: It may not be. Some of the issues will be debated through the select committee and that is as good as we are going to get. But we need at least to allow this bill to proceed as far as that and support it so that we can improve it collectively and not simply dismiss it out of hand because we have a prejudice against free markets and the benefits that free markets will provide. 
Those benefits are increased production and increased efficiency as a result of utilising the comparative advantages of producers in each country. In the long run it will increase employment on both sides. Despite the doomsday approach of the Green Party it will lift living standards and most important create wealth for all of us. 
It is true that some of our manufacturers might suffer some loss in the short term. But that is because they are in industries or have manufacturing streams that are inefficient by world standards. It is much better to have the market recognise that and push those producers resources and employees into other areas where we do have a comparative advantage. The result will benefit the consumers of both countries. We will profit from it by having more efficient and cheaper provision of services and goods. It is a sad reflection that it will actually be 3 years before services are included because they ought to have been part of this process but hopefully that will be discussed at the select committee. 
The important thing is that we do want to open up our markets to benefit all and this is a bilateral agreement that puts effect to that. It is a technical bill in many ways which arises out of our free-trade agreement and sets up the tariff arrangements under which that will then operate. The Greens want protection for everything other than efficiency and the interests of consumers. They seem to want protection for inefficiency—protection against the best production methods. 
Hon Ken Shirley 
: Fortress New Zealand! 
MARC ALEXANDER 
: Exactly. I take the points that the Hon Ken Shirley made earlier about the fact that although there will be some short-term losses in both countries there will be long-term wins for all of us. We will all ultimately benefit from an open global competitive environment. We do not need the short-sighted approach that the Greens seem to be pushing. 
The previous speaker spoke at length about the sweatshop mentalities of some countries. Well members should tell that to the Singaporeans of today who have arisen out of the ashes of their country’s sweatshop background. Rod Donald did mention the 70c an hour that Thai workers were getting for producing those jackets. That is 70c more than they had before. It sets up the possibility of increasing the consumption power within the country. 
Metiria Turei 
: Oh what! 
MARC ALEXANDER 
: Well have a look at Singapore. The simple truth is that it arose out of the sweatshop environment and it is now one of the world’s most productive economies with one of the highest standards of living in the world. We should envy the progress that it has made in a very short space of time because it opened up its markets and used its resources as efficiently and as wisely as it could. It is the same process with this bill. 
There are problems with this bill as has been outlined before but those are the kinds of issues that will be dealt with more correctly in the select committee. On behalf of United Future I commend the bill to the select committee.