Andrews grilled on call to keep cafes and restaurants limited to takeaway
Tim Pallas has defended the state’s commitment to joint Chinese initiatives as the relationship between China and Australia continues to sour. The Victorian Treasurer also had a grim warning on the “substantial economic trauma” that lies ahead.
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Treasurer Tim Pallas has warned Victoria’s economy could take years to recover as tourism, major events and international education are hit by the coronavirus.
Speaking before a parliamentary inquiry into the government’s response to COVID-19, he also defended the state’s commitment to China’s Belt and Road initiative,
The country has suspended imports from at least four Australian meat works as diplomatic relations have soured over calls for an investigation into the cause of the virus.
Mr Pallas told the inquiry he was expecting to see modest economic improvement in the state by 2021 but a full recovery would take longer.
“I don’t think it’ll be a v-shaped recovery,” he said.
“I’ve got to be honest with you I think it’ll be much tougher than that.
“I suspect that we will see as a consequence of these events is substantial economic trauma.”
Mr Pallas said sporting and major events would be hard hit and that international education was one of the state’s biggest exports.
“On the other hand Victoria has a very strong services sector, which has been able to continue to work from home and our big build, which supports thousands of jobs.
“The building construction industry have done a mammoth job putting in place COVID-compliant work arrangements with, which has kept essentially one in 10 workers in the state gainfully employed.”
When questioned on the state’s diplomatic relationship with China, Mr Pallas said the government was not looking to pause its existing agreement on the Belt and Road scheme.
“Victoria’s relationship with China benefits all Victorians from farmers exporting their produce to universities and beyond,” he said.
“We do need to have a mature and substantial relationship.
“There does need to be an inquiry into this pandemic event but I think the idea of vilification of any single nation in this context I think is dangerous, damaging and probably irresponsible in many respects.”
Mr Pallas said he did not believe the four meat works involved were based in Victoria.
“This is inevitably a consequence of the use of language that I think has sought to vilify China rather than to recognise that these are events that will need appropriate scrutiny and review,” he said.
Meanwhile, the Andrews Government’s decision to keep cafes and restaurants closed to sit-down service has come under question during a parliamentary inquiry into the state’s response to the coronavirus.
The state’s Public Accounts and Estimates Inquiry Committee today probed Premier Daniel Andrews on why hospitality venues would wait at least three weeks before an announcement that would bring them in line with restrictions with other states.
New South Wales and Queensland have moved to allow up to 10 people at venues as long as social distancing was enforced.
Mr Andrews told the inquiry other countries had shown the dangers of easing restrictions too soon.
“It would be great to have all these rules come off as soon as possible,” he said.
“The experience in many parts of the world is where they have moved too quickly and done too much too soon they have now got second waves.
“10 people in every cafe across the suburbs, the city and the state is a very significant number of people.
”We can’t simply have everybody going about their business as they normally would.”
Mr Andrews said at the start of the pandemic government modelling had shown COVID-19 could take tens of thousands of lives and difficult decisions had been made.
“It does leave us with an ongoing public health challenge and a big economic repair job to do,” he said.
“It’s sadly not a situation where we make one choice that will be 100 per cent good versus a choice that would be the exact opposite.
“Sometimes to deliver the greatest good for the greatest number you have to make that very difficult choice where we know there will be damage.”
Victorian Chamber of Commerce and Industry chief executive Paul Guerra yesterday welcomed the easing of restrictions but called for the rules to be assessed more often.
“Reopening schools will be vital for businesses to restart when restrictions on operations are eased further,” he said.
“We will continue to work with our members across the State to look for opportunities for business to restart in line with the Government’s recommendations, and we encourage the Premier to review these arrangements on a weekly basis rather than waiting until the end of May.”
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