Shane Jones who holds several portfolios, including forestry and infrastructure, made the remark in response to questions about the Government's Pacific reset strategy - where foreign aid is being boosted by roughly $US500-million dollars over the next four years.
"Many of the problems that we are dealing with here, with P (methamphetamine) and drugs, where do you think that is coming from folks? That is coming from closely failed states in the Pacific," Mr Jones told journalists.