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We
are Keen to Broaden
Export
Base in Farm &
Food Sectors
-
Alan Carpenter,
W. Australian
Premier
Western
Australia accounts
for as much as
50 percent of
Australia's total
exports to India,
comprising a host
of commodities,
including diamonds.
W. Australia is
blessed with rich
energy resources,
including LNG,
which India needs
on a priority
basis. India realizes
the importance
of the Australian
state. Indian
investment in
W. Australia currently
amounts to $1
billion, which
is not much, considering
the potential
existing there.
Apart from natural
resources, Western
Australia has
a lot of know-how
and services to
offer to India.
These cover the
areas of agriculture
and food processing
sectors, which
are of utmost
importance to
India. India in
its own right,
has emerged as
a global leader
in the knowledge
industry, offering
both services
and skilled professionals
to the world.
Western Australia's
Premier Alan Carpenter,
who understands
the crucial synergy
existing between
his state and
India, is coming
to this country
to forge this
understanding
into an abiding
bond. Carpenter,
whose wife Annmarie
is of Indian origin,
talks about his
forthcoming visit
to India in an
exclusive interview
with Satya Swaroop,
Managing Editor,
Indo-Australian
Business
Your Excellency,
congratulations
on behalf of Indo-Australian
Business on being
elected as the
new Premier of
Western Australia.
And welcome to
India on your
maiden visit as
Premier. Right
at the outset,
could you please
tell us about
the specific purpose
of your mission?
During my visit
to India I hope
to strengthen
trade and investment
links with India,
promote Western
Australia and
broaden the State’s
economic relationship
with India, and
encourage strategic
investment into
Western Australia.
India is a major
market for Western
Australia. We
currently export
more than A$3
billion worth
of goods to India
and when the export
of diamonds are
included in the
trade statistics,
Western Australia
accounts for over
50 per cent of
all Australian
exports to this
important market.
There is growing
Indian interest
in Western Australia’s
natural resources
in particular
iron ore, liquefied
natural gas (LNG),
gold, copper and
nickel. We are
keen to talk to
Indian companies
interested in
investing in our
resource sector.
Western Australia
has been successful
in attracting
close to A$1 billion
of investment
from India.
In my capacity
as Minister for
Science and Innovation,
I am very interested
to learn more
about India's
growing research
and development
capabilities in
knowledge-based
industries. I
will be visiting
several research
institutes and
universities to
establish areas
of possible future
cooperation.
Attracting professional
and skilled workers
to Western Australia
is also an area
I am keen to explore
while in India.
The Western Australian
economy is growing
at such a rapid
rate (about ten
per cent last
year) that we
have far more
jobs than people
available to fill
them. This trip
will therefore
provide me an
opportunity to
promote Western
Australia as an
ideal place for
skilled and professional
people to migrate
to.
On a personal
note, the trip
will be of special
significance for
my Indian born
wife, Annmarie.
Her father was
an Indian mechanical
fitter and her
mother was a school
teacher who both
migrated to Western
Australia during
the State’s
economic boom
of the early 1970’s.
Annmarie is looking
forward to returning
to her place of
birth in Podanur
for the first
time since she
left as a little
girl.
The bilateral
trade between
India and Western
Australia is at
an all-time high
and growing at
a fast pace. What
should be done
to sustain this
pace and which
sectors could
contribute to
such an endeavour?
Bilateral trade
between India
and Western Australia
is at an all-time
high and growing
rapidly, largely
due to export
of minerals and
commodities. I
would like to
see us broaden
this base and
develop mutual
opportunities
in trade and investment.
In order to sustain
the pace of growth
we need to learn
more about each
other, develop
strong trade and
investment links,
explore ideas,
and form alliances
and joint ventures.
The Australian
and Indian Governments
have agreed to
develop a Trade
and Economic Framework
which lays the
foundation to
grow trade and
investment. At
a State level
we have had a
trade office in
Mumbai since 1996
to build relations
with India. Western
Australia was
the first Australian
state to open
a trade office
in India which
is a testament
to our commitment
Western Australia’s
large resources
sector is serviced
by a strong mining
and petroleum
industries support
sector. Many Western
Australian companies
have developed
state-of-the-art
technology which
I hope will find
markets in India
as the Indian
Government opens
up its mining
sector.
We are already
exporting wheat,
pulses and wool
to India and are
looking to broaden
our export base
in the agriculture
and food sector.
In addition, Western
Australia has
the capacity to
supply LNG to
support India’s
growing energy
needs. There are
also opportunities
in emerging sectors
including education
and training,
information technology,
environment management,
biotechnology,
health and sports,
recreation and
tourism.
Western
Australia is a
leader in mining
technology covering
equipment manufacture
and software and
you are aware
that India has
opened its mining
sector to private
investment. Do
you have any specific
proposals to initiate
and step up collaborations
in this key sector?
Yes I am aware
of the changes
being proposed
for the mining
sector following
the Huda Report.
Several Western
Australian companies
have already established
themselves in
the Indian market.
Companies such
as Clough Ltd
have been operating
in India for some
time. Two of Western
Australia's most
successful mining
software companies,
Surpac Minex and
Micromine, have
also established
themselves in
India.
In May 2005, a
Memorandum of
Understanding
(MOU) was signed
between the Western
Australian and
Indian Governments
focusing on cooperative
staff development
related to technological
advancement, environmental
governance and
mine rehabilitation.
The MOU involves
government agencies
and private sector
peak bodies such
as the Federation
of Indian Mineral
Industries and
the Chamber of
Minerals and Energy
WA.
I will be meeting
with the Minister
of Mines and President
of FIMI in New
Delhi and look
forward to discussing
ways in which
we can further
develop our cooperation.
Besides,
there is an Indo-Australian
Joint Working
Group on Energy
and Minerals,
which meets periodically
to discuss collaboration
between the two
countries. What
is Western Australia’s
involvement in
the Group’s
efforts, being
strong in both
mining technology
and exploration
of oil and gas?
Our State is a
significant producer
of minerals and
energy and we
value involvement
in such forums.
The Western Australian
Government works
closely with Australia’s
Federal Government.
We take a strategic
view and develop
initiatives that
are sustainable
and supportive
of the industry.
The Western Australian
Government creates
an environment
where the private
sector can develop
resources projects
that result in
the sale of minerals
and energy.
Anything that
can be done to
encourage trade
and investment
between Western
Australia and
India would be
welcomed by my
government.
Parts
of mineral-rich
Northern and Eastern
regions of India
could immensely
benefit from Western
Australia’s
best mining practices,
including environmental
safety. Do you
have any specific
proposals to promote
mining technology
in these regions?
The Western Australian
Department of
Industry and Resources,
through WA’s
Memorandum of
Understanding
with the Indian
Government, has
conducted workshops
on mine rehabilitation
and I hope there
will be further
exchanges during
2007.
Several Western
Australian companies
are already active
in the Indian
market such as
Surpac Minex and
Micromine. Futhermore,
12 Western Australian
companies exhibited
at the recent
International
Mining Manufacturers
Exhibition held
in Kolkata. This
was a record number
and I believe
it’s a clear
indication that
private sector
sees growing opportunities
in the Indian
market.
I hope my discussions
with the Minister
for Mines and
President of FIMI
will lead to initiatives
for further collaboration.
Western
Australia accounts
for more than
50 per cent of
Indian investment,
which is continuously
rising thanks
to its conducive
policies, highly
developed infrastructure
and availability
of cheap power.
What are the prospects
for Indian companies
with a global
vision to set
up a base in Western
Australia in both
manufactured goods
and services?
I believe there
are many opportunities
for Indian companies
in Western Australia.
Commodity processing
is one area of
opportunity. Western
Australia has
50 types of minerals
in commercial
production - far
greater than any
other State or
Territory in Australia.
For example opportunities
are open for Indian
investors in aluminium,
Ferro alloys,
nickel cobalt,
silicon, tantalum,
direct reduced
iron, petrochemicals
and eucalypt wood.
Oil and gas exploration
is attracting
increased interest
by Indian corporations.
A consortium of
Indian companies
led by the WA
Company Oilex
has won the right
to explore for
oil and gas off
the Western Australian
coast. Western
Australia is Australia’s
leading petroleum
producer accounting
for 64 per cent
of oil and condensate
production and
65 per cent of
natural gas production.
Many sectors in
Western Australia
have achieved
international
success including
the manufacture
of high speed
ferries, production
and export of
chemicals, mining
equipment and
software, communication
devices, processed
food and beverages,
and healthcare
products.
Besides
energy and minerals,
Western Australia
is highly developed
in the fields
of biotechnology,
food processing,
winemaking, education,
etc. Could you
highlight the
potential these
sectors hold for
collaboration
between India
and Western Australia?
Western Australia
is a leading participant
in the biomedical,
agriculture biotechnology,
environmental
biotechnology,
bio-leaching and
bioinformatics
fields. There
are opportunities
for Indian and
WA companies to
collaborate and
it is an area
I am particularly
interested in
pursuing in my
capacity as Minister
for Science and
Innovation.
Western Australia
is famous for
its premium wines.
We have 350 wineries
which produce
25 per cent of
Australia’s
premium wines.
It is pleasing
to see some of
our premium wines
are now sold in
India. Hopefully
duties and taxes
in India will
be reduced so
more Indians can
appreciate our
wine.
More and more
universities are
forming strategic
alliances with
Indian universities
for research and
collaboration.
India boasts some
prominent educational
institutions and
there is growing
interest in Western
Australia for
collaborating
with these.
Western Australia
is also a growing
market for Indian
students who are
looking to study
overseas. Our
capital city of
Perth offers students
five first class
universities with
a wide range of
graduate and post
graduate degrees
at affordable
prices and an
environment that
is safe and enjoyable.
Perth Education
City, the industry's
peak body will
be conducting
its first roadshow
in India during
February this
year and will
visit Baroda,
Ahmedabad, Rajkot,
Mumbai, Pune and
Kolkata. Perth
Education City
has also appointed
a Marketing Manager
in India who will
operate as part
of the Western
Australian Trade
Office in Mumbai.
Western
Australia accounts
for 30 per cent
of Australia’s
total exports
in a highly competitive
global market.
What has been
your strategy
to accomplish
this feat, which
India could emulate?
WA actually accounts
for 33 per cent
of Australia's
total merchandise
exports and 43
per cent of Australia’s
merchandise exports
to India. Besides
being blessed
with an abundance
of natural resources
Western Australia
has over the years
developed a strong
export culture.
We have a small
domestic market
and the government
and business community
understand that
if their businesses
are to prosper
they have to look
overseas to look
for markets. In
this regard they
WA business has
been very successful.
In addition, the
Western Australian
Government encourages
foreign investment.
As a result of
open and transparent
processes in terms
of attracting
investment and
developing projects
has ensured that
we maintain a
competitive, vibrant
and outward looking
economy.
During
his visit to India
early this year,
Australian Prime
Minister John
Howard talked
about the purchasing
potential of this
country’s
300-million strong
middle class.
How do you look
at this vast market
for your goods
and services especially
in the retail
sector?
There is no doubt
that opportunities
will continue
to grow for Western
Australian products
and services especially
as the retail
sector is predicted
to expand rapidly
in the near future.
Western Australia
has had a strong
commitment to
developing trade
and investment
with India. It
was the first
Australian State
to establish a
presence in India
with trade offices
opened in Mumbai
and Chennai in
1996, and Western
Australia will
continue this
commitment to
India.
What is
your message to
the Indian business
community ahead
of your visit
to this country?
Western Australia
is an open economy
that actively
encourages trade
and foreign investment.
It is keen to
develop closer
linkages with
Indian business
people both in
terms of trade
and investment.
We have a strong
commitment to
the Indian market
and to assist
business people
we have established
trade offices
in Mumbai and
Chennai.
Western Australia
has a strong economy
which is growing
at 4.9 per cent
which is well
above the national
average. The State
has attracted
22 per cent of
Australia’s
total business
investment in
2005-06 which
totals A$16.4
billion.
There is more
to Western Australia
than our world
renown reputation
as a reliable
supplier of minerals
and energy. We
have a strong
education sector
which is attracting
students from
all over the world,
including India.
We have a sophisticated
manufacturing
and services sector
as well as a growing
reputation as
a centre of excellence
in biotechnology
and other knowledge
based industries.
Also could you
give a special
message to the
readers of Indo-Australian
Business, who
comprise policy-makers,
economists, and
captains of industry
and trade from
both India and
Australia? Western
Australia has
much to offer
companies considering
investing in its
industry and resources
sectors. Its world-class
infrastructure,
highly skilled
workforce, the
State’s
low sovereign
risk and pro-development
policies are strong
reasons why local
and international
investors should
consider WA as
a long-term investment
destination.
Western Australian
products are of
a high quality
and you can be
assured of this
when buying our
goods and services.
On top of that,
the London-based
Economist Intelligence
Unit recently
ranked WA’s
capital city Perth
in the world’s
top five “most
liveable cities”.
Come and visit
us whether it
is do business,
work, study or
have a holiday
- you will be
assured of a warm
and friendly welcome
and I am sure
it will be a memorable
stay. |
