Labor MP from WA won't back Forrest call

WA Labor MP Alannah MacTiernan has some sympathy for Andrew "Twiggy" Forrest's plight but says a cap on iron ore production is impractical.

Federal Labor MP Alannah MacTiernan feels sorry for struggling iron-ore producers in her home state of Western Australia, but she won't be backing a call for a production slowdown as a way of lifting the export price.

"It's a bad idea," she told AAP on Thursday.

Ms MacTiernan was responding to a suggestion by Fortescue Metals chairman Andrew Forrest who said the big iron-ore miners, like Rio Tinto and BHP, should cap production to lift the export price from $US55 a tonne to nearer $US90.

The Labor MP said the proposal was illegal and impractical even though Australians needed to know iron-ore miners were working in a difficult environment.

"We all feel sorry for Fortescue, Atlas and BC Iron and all of those smaller players, who have invested heavily," she said.

Ms MacTiernan lamented there was never much sympathy for the plight of WA outside of her home state.

Labor rounded on Foreign Minister Julie Bishop, another West Australian, when she suggested Mr Forrest's idea might be worth considering.

She later backed away from that comment after Treasurer Joe Hockey and the competition watchdog indicated any production cap might amount to illegal behaviour.


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Source: AAP


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