Copeland Gordon: Questions for Oral Answer — Questions to Ministers Questions to Members 
Copeland Gordon: Questions for Oral Answer — Questions to Ministers Questions to Members 
[Volume:614;Page:10360] 
7.  
GORDON COPELAND (United Future) 
 to the  
Minister of Customs 
: Will the Government reconsider its decision to recover border security costs from the private sector in light of widespread opposition to this from the travel and trade industries; if not why not? 
Hon Dr MICHAEL CULLEN (Leader of the House) 
 on behalf of the 
 Minister of Customs 
: The only Government decision that has been made in relation to border security costs relates to cost recovery for supply chain security. This matter is part of the Border Security Bill which is currently before the Government Administration Committee and the Government awaits its report. 
Gordon Copeland 
: Does the Minister concede that asking the private sector to foot this bill would send a message to New Zealanders and other countries alike that the Government does not work in partnership with its own citizens when it comes to national security obligations when other Governments do exactly that? 
Hon Dr MICHAEL CULLEN 
: No. With regard to supply chain security I would not accept that argument given that a number of other countries have not taken direct Government responsibility for the provision of that security and therefore are charging back to the private sector. 
Shane Ardern 
: Given that that cost is a security cost not a trade access cost why is the Government dumping $20 million worth of tax on our export and import industries that traditionally has been paid for by the taxpayer or is this just the flatulence tax in drag? 
Hon Dr MICHAEL CULLEN 
: No. This of course is a requirement imposed by the United States Government not the New Zealand Government. [ 
Interruption 
] No we are talking about supply chain security which is required by the United States Government. If we do not meet those requirements our exporters will take far longer to clear United States customs. It is now a cost of doing business with the United States. 
Luamanuvao Winnie Laban 
: What opportunity is there for the public and industry to have an input into goods security cost recovery? 
Hon Dr MICHAEL CULLEN 
: The Minister has held a number of meetings with key stakeholders throughout the country. In addition the Customs Service in the very near future will be consulting industry to discuss the details of cost recovery mechanisms and the quantum. 
Shane Ardern 
: How was the $20 million tax on export and import industries arrived at and will it run foul of negotiated deals in the GATT negotiations? 
Hon Dr MICHAEL CULLEN 
: On the latter no. On the former my understanding is that is the estimated cost of meeting United States security requirements. The member should take this up with the Government in Washington. 
Gordon Copeland 
: Does the Minister intend to put in place those much-needed supply chain security measures if the private sector does not foot the bill; if not why not? 
Hon Dr MICHAEL CULLEN 
: If the private sector is not prepared to foot the bill there is no reason why it should not face the additional cost which will be much higher of going through US customs without prior security clearance. 
Rt Hon Winston Peters 
: With regard to coverage of costs when on earth will this Government bring in its promised policy of every second-hand car being decontaminated off shore—a claim that its members made in 1999 in respect of their election policy—when fully half of the cars coming in today are coming in un-decontaminated sitting around in places like the port in Auckland for 3 weeks and contaminating the rest of the country? 
Hon Dr MICHAEL CULLEN 
: The importation of second-hand cars from Japan has nothing to do with the supply chain security of the United States. 
Rt Hon Winston Peters 
: I raise a point of order Mr Speaker. Do you see the question? It states: “Will the Government reconsider its decision to recover border security costs ...” and I am referring to the fact that car carriage companies—companies that ship cars to this country—bear the offshore costs themselves. I am asking why he does not introduce that policy as promised in 1999 for all second-hand cars coming into New Zealand and thereby secure this country’s long-term biological needs. 
Mr SPEAKER 
: The Minister addressed the question. He might not have satisfied the member but that is not my concern. 
Rt Hon Winston Peters 
: I raise a point of order Mr Speaker. You allowed the question. The Minister then sought to redefine what it was all about when there is no specific definition as close as that. Therefore my question is in order. It is about border security and border security costs. I have given you an example— 
Mr SPEAKER 
: The Minister says he will answer it. 
Hon Dr MICHAEL CULLEN 
: I am aware of no widespread opposition from the travel and trade industries to recovering the cost of security in relation to imported used cars that the member referred to. 
Gordon Copeland 
: Noting the answer the Minister gave to an earlier question from me does he mean to say that it is a question of if the private sector will not pay for these measures then the country will have to do without them or we will just do it on a laissez-faire basis; if so would that not make this country much more vulnerable to acts of terror? 
Hon Dr MICHAEL CULLEN 
: No I am not predicting the latter. It might make the United States vulnerable to more acts of terror in the unlikely event that they are sourced from New Zealand. But I point out to the member that the contrary to his argument is the notion that the Government if people are not prepared to pay simply gives up the rule of law—one that I would have thought his party should not want to promote too far in the House. 
Gordon Copeland 
: Does the Minister recognise that given the strength of the New Zealand dollar and our worsening balance of payments position our exporters need encouragement right now not extra costs? 
Hon Dr MICHAEL CULLEN 
: The dollar goes up and the dollar goes down. I am sure the member would not argue that if the dollar were at a low level we should therefore increase taxes. 
Rt Hon Winston Peters 
: I seek leave to table the Labour Party’s commitment and promise in the 1999 election to have every second-hand car decontaminated off shore—just one more broken promise. 
Document not tabled.