Sugar industry blow-up: Turnbull calls Cabinet together to discuss way forward

EXCLUSIVE: Prime Minister Malcolm Turnbull held urgent Cabinet talks on a sugar industry dispute that caused Nationals MP George Christensen to threaten to ­resign from the government.

• By George, he’s a big worry for Malcolm

IN a bid to shore up his slender one-seat majority in the House of Representatives, Prime Minister Malcolm Turnbull held urgent Cabinet talks on resolving a dispute in the sugar industry that caused Queensland Nationals MP George Christensen to threaten to ­resign from the government.

Nationals leader Barnaby Joyce will meet with Mr Christensen tomorrow to discuss his concerns, following The Daily Telegraph’s revelations that Mr Christensen had drafted his resignation letter earlier this week.

In New Zealand yesterday, Mr Turnbull was asked about the internal ruction in the ­Coalition and tried to dismiss Mr Christensen’s threat.

PM Malcolm Turnbull and wife Lucy with New Zealand PM Bill English and his wife Dr Mary English visit the War Memorial at Arrowtown, New Zealand, on Friday. Picture: Kym Smith

“I have never seen any ­indication that he is anything other than a committed member of the Coalition party room,” the Prime Minister said.

But behind the scenes, his government moved quickly to try to resolve the issue.

Mr Christensen has called for a mandatory code of conduct with penalties for the sugar industry after foreign company Wilmar announced cane growers and farmers — including many in his electorate — would no longer be able to sell and market the sugar crushed in its mills, resulting in less pay and possible job losses.

But in Cabinet this week, Mr Turnbull reached a solution to ask the Queensland opposition to move amendments to the Sugar Industry Act in the Queensland parliament.

Lucy Turnbull with New Zealand Prime Minister’s wife Dr Mary English chat with children at the war memorial ceremony. Picture: Kym Smith

The prime ministers and wives take to the water at Queenstown. Picture: Kym Smith

Coalition MP George Christensen.

Mr Christensen has indicated to close friends he will give the government until March 1 to address the issue before he moves to the crossbench, robbing the government of its ­majority in the lower house.

“This issue is the most important one to confront me in my six years in politics and that’s why I’m committed to doing whatever it takes to get an outcome,” he said.

The sugar row was an unwanted distraction for Mr Turnbull’s visit to New Zealand, where he spoke about foreign policy, leaving the door open to increasing Australia’s commitment to the war in Syria and Iraq.

Mr Turnbull said there had been no request from US President Donald Trump for increased support from Australia at this stage.

The PM also ruled out tax increases in the May federal Budget.

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Originally published as Sugar industry blow-up: Turnbull calls Cabinet together to discuss way forward