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Labor's election campaign targets shipping


Federal Transport Minister Anthony Albanese has declared that a re-elected Gillard Labor Government will introduce measures to “strengthen Australia’s shipping industry”.
 
“We will implement international best practice measures to reduce costs for Australian ships and place our shipping industry on a sustainable footing with its international competitors as well as other modes of transport domestically,” Mr Albanese said.
 
In 2008, more than 834 million tonnes of international cargo moved across Australian wharves on 4,000 ships in more than 11,000 voyages. Yet there are only 30 Australian registered major trading ships today – down from 55 ships in 1995.
 
Australian companies using Australian registered ships will be able to pay a new tonnage tax (a low flat tax based on the weight of the vessel), or remain with the current tax regime which will be bolstered through accelerated depreciation arrangements.
 
Tonnage taxes are used in the United States, the United Kingdom, France, Germany and other nations.
 
The government will also make changes to income tax arrangements for Australian-resident international seafarers to remove disincentives for companies employing Australians.
 
And in order to facilitate Australian participation in international shipping, Labor will establish an Australian International Shipping Register.
 
Federal Labor will also establish a Maritime Workforce Development Forum of industry, unions and education providers to improve and increase access to maritime training. This forum will be supported from within the existing departmental resources.
 
The government is also promising to apply existing coastal shipping principles consistent with the Navigation Act so that trade is undertaken by Australian operated companies and crewed by Australian residents, with the capacity to utilise foreign flagged and crewed vessels to supplement the Australian fleet.
 
The implementation of these measures will be conditional on an agreement between industry and unions to deliver labour productivity and efficiency reforms.
 
The Maritime Union of Australia (MUA) joined with the Australian Shipowners Association (ASA) to welcome the Minister’s announcement, which includes the introduction of a tonnage tax and a proposal for an international ships register.
 
MUA national secretary Paddy Crumlin, the newly-elected president of the International Transport Workers’ Federation (ITF), representing over 4.6 million workers worldwide, praised the reforms that the union has been advocating for the past 15 years and which he said are essential for a maritime dependent nation like Australia.
 
“The announcement by Minister Albanese today signals a new direction for Australian shipping and lays a foundation for improvements in Australia’s domestic and international freight transport infrastructure,” he said. 
 
“It will bring significant economic, tax, environmental and employment benefits to the nation.”

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