Progressing Indonesia-Australia Trade Negotiations
Minister for Trade, Tourism and Investment Steven Ciobo is in Indonesia this week to advance the Indonesia-Australia Comprehensive Economic Partnership Agreement negotiations. With a population of more than 255 million and a middle class of more than 45 million forecast to grow to 135 million by 2030, the IA-CEPA will help Australian exporters supply the growing needs of Indonesian consumers with Australian goods and services.
North Asian tourists driving economic growth
This year's International Visitor Survey 2016 shows strong growth from key Asian markets delivered a $12.3 billion contribution to the Australian economy last year. Visitors from China, Korea, Japan and the US led the record $38.8 billion spend for the year, up 11% or $4 billion on last year. Holiday and education travel accounted for the majority, at 67% of total trip spend.
Australia and China agree on open aviation
Minister Ciobo announced Australia and China have settled arrangements for a landmark open aviation market. The new arrangements will remove all capacity restrictions between Australia and China for each country's airline. New liberalised traffic rights and code share arrangements will also enable Australian and Chinese airlines to service more destinations.
Current account deficit improves
The September quarter's balance of payments continues to demonstrate the strength of Australia's services exports and the increased returns for Australian investors holding assets abroad, according to the latest Australian Bureau of Statistics figures. These factors have helped reduce Australia's current account deficit by $4.6 billion, to $11.4 billion in the September quarter.
Free trade agreement benefits explained
Assistant Minister for Trade, Tourism and Investment Keith Pitt hosted a seminar this week to help Australian businesses make the most of our FTAs with Korea, Japan and China. "The FTAs are providing Greater Shepparton and wider Australian exporters with a competitive edge into some of the world's most dynamic economies, and lay the foundations for stronger flows of two-way investment", Assistant Minister Pitt said.
Future looks bright in Latin America
The Latin America-focused December edition of business envoy is out this week. The DFAT bi-monthly publication's theme coincides with the second Australia-Chile Economic Leadership Forum held in Melbourne this week. "The region is seeing history making and transformative events in several countries that provide differentiated opportunities for Australian businesses", Minister Ciobo writes in the publication.
FTA Portal expands to include Malaysia and New Zealand
Small and medium enterprises can now access user-friendly information on Australia's FTAs with Malaysia and New Zealand through the FTA Portal. In addition to the China, Japan and Korea agreements, the Portal is being expanded to cover all of Australia's in-force FTAs, with the remaining agreements to be added next year.
Eight more ratifications needed to bring the TFA into force
The WTO reports it has received two further instruments of acceptance of the Trade Facilitation Agreement, bringing the total number to 102 including Australia, with only a further eight required. Implementation of the TFA has the potential to increase global merchandise exports by up to US$1 trillion per annum according to WTO research.
Australian manufacturing needs to embrace disruption
Assistant Minister for Industry, Innovation and Science Craig Laundy told a University of Technology Sydney Business School conference that Australia's manufacturing sector should embrace the opportunities offered by disruption and shift towards high value, knowledge intensive industries. He emphasised that this opportunity was "a chance to shape our economic future by focusing on our strengths and growth areas of the economy".
Innovative businesses more profitable
Australian businesses that are active innovators outperform non-innovators on a range of measures including sales, value added, employment and profit growth, according to a report by the Department of Industry, Innovation and Science's Chief Economist and the ABS released last week. Austrade's analysis of the report focuses on aspects such as innovation-active firms performing above their weight in sales.
BCA: Path to progress hinges on commitment to Aussie values
Chief Executive Jennifer Westacott argues that Australia must not risk treading a protectionist, anti‑business path. She emphasises that our openness to trade, business investment and innovation have brought down costs, lowered prices and increased consumer choice and ultimately contributed to the doubling of average Australian real income per capita over the past 40 years.
Did you know?
Indonesia was Australia's 12th largest trading partner in 2015-16, with total trade worth $15b representing 2.3% of total trade. The level of Australia's investment in Indonesia was valued at over $8b at the end of 2015.
Upcoming Trade Events
Introduction to Exporting Workshop
Nowra, NSW, 14 December 2016
This free introduction to exporting workshop will provide valuable information on how businesses can build their export capabilities and assess their own export-readiness. The workshop is tailored to businesses looking to develop a growth plan to extend beyond the domestic market, aspiring exporters as well as new exporters and existing exporters who want a refresher.
Austmine Peru Mining Mission
27 February – 3 March 2017
Australia's peak industry body for the mining equipment, technology and services sector will commence its International Mining Missions for 2017 with Peru. Austmine says Peru has established itself as a mining force to be reckoned with in recent years with a range of opportunities Australian METS companies can tap into.
Tourism Australia: Trade Events 2017
Tourism Australia coordinates and participates in a number of international trade shows and events each year to promote Australia as a premier travel destination. Sellers and operators in the Australian tourism industry can apply to attend and participate in these events.
SA: Business Missions 2017 Calendar
Business SA's 2017 business mission calendar is now available with dates for inbound and outbound trade and investment activity. The missions offer business-to-business matching sessions facilitated by Austrade and the South Australian Government, the opportunity to meet local distributors, importers and potential investment partners.