Wheat Trade to Continue with Iraq

Deputy Prime Minister and Leader of The Nationals Minister Mark Vaile announced in Baghdad today that the Iraqi and Australian Governments had issued a joint statement committing to an ongoing wheat trade between Australia and Iraq.

This statement followed meetings with Iraqi Prime Minister Dr Ibrahim al-Jaafari, Deputy Prime Minister Dr Ahmad Chalabi and Trade Minister Mawlud.

"My meetings were extremely constructive and the joint statement with Deputy Prime Minister Chalabi makes it very clear that Iraq values the relationship with Australia and particularly as a supplier of high quality wheat to the Iraqi people," Mr Vaile said.

"We have agreed to redouble our efforts to ensure that the mutually beneficial economic relationship continues in an open and transparent way.

"Australia has, over the years, been the largest provider of wheat to the Iraqi market and Deputy Prime Minister Chalabi has given an assurance that Australia can continue to tender for Iraqi wheat contracts.

"Both sides haves a strong desire to ensure that our longstanding and important wheat trade should continue.

In my discussions with Deputy Prime Minister Chalabi I made it very clear that the Australian Government understood his Government's concerns relating to allegations against AWB Ltd and the Oil for Food scandal. I advised him that the Cole Enquiry was independent, transparent and that Commissioner Cole would be very thorough in investigating whether any Australian domestic law had been broken.

"We have also agreed that out two Governments should remain in close contact over coming months to ensure that the trading relationship continues to move forward.

"I will continue to do everything in my power to support Australian wheat farmers and to maintain Iraq as a major market," Mr Vaile said

Contact: Richard Forbes (Mr Vaile's Office) 02 6277 7420