WA & India Can Grow Together
Much Stronger, Much Faster

Alan Carpenter, Premier of Western Australia, who led a Business Mission to India recently, is very unassuming for all his accomplishments and the achievements of his state and its contribution to the Australian economy. Dressed informally, he freely mingled with guests at Taj Mahal Hotel in Mumbai and charmed one and all with his easy-going and friendly approach and attitude. Annmarie, Carpenter's wife is of Indian origin and truly felt at home at the Mumbai gathering. Following is the text of Carpenter's speech, in which he talked of what role would Western Australia like to play in India's transformation into a global power.

This is my first official visit to India as Premier of Western Australia. Last April we were pleased to welcome Indian Minister of State for Petroleum and Natural gas Dinsha Patel and his delegation to Perth. I am hoping to meet with the Minister. among other dignitaries to continue our discussions and further the relationship between our governments.
Western Australia has enjoyed a very prosperous commercial and cultural relationship with India for many years. India is one of Western Australia's top 10 trading partners, with two-way trade valued at more than $4 billion. And, Western Australia accounts for almost half of Australia's merchandise exports to India.
In recent years Western Australia has received close to $800 million Australian dollars worth of investment from India. Over the years a growing numbers of migrants from India are calling Perth home. Combined with a large nonresident
Indian community who maintain strong links there, they enrich Western Australia.s culture and community.
This makes the development of business links between Western Australia and India much easier, as people can use existing networks. Also, increasing number of students from India are choosing to study at our fine universities and colleges.
While relations have been very good in the past, I think they are going to become better, stronger and broader as Western Australia and India work together more.
There are many dimensions to the Western Australia-India relationship, but I'd like to focus primarily on resources, education, agriculture and technology, which I see as the foundation for future relations.
India's economic awakening has made it a global economic power. You are all part of the business community that has helped India become the second fastest growing country in the world over the last 15 years. A study by Goldman Sachs predict that in the next 50 years, India will be the world's fastest growing economy and that its per capita income will be 35 times what it is now. And in their recently released follow up report Goldman Sachs calculate that India's economy will be larger than the US by 2050.
India is entering a golden age of growth and development that will provide a range of opportunities and improvements for both its people and its trading partners. We would like Western Australia to play a part in India's transformation into a global power.
Our economy may be relatively small compared to most developed economies, but we are a playing an increasingly important role on an international level. And our economies complement each other. If we work together to develop opportunities, then Western Australia and India can grow together much stronger, much faster for much longer.
The first area where we can work together is the resources sector. Western Australia supplies a large volume of commodities to world markets, including iron ore, nickel, alumina, gold, diamonds and mineral sands. I think our large and diversified minerals base is critical to meeting India's demand for raw materials.
The jewellery industry for example is an area of major common interest between us. Over 80 per cent of Western Australia's exports to India are gold and diamonds. An estimated 250,000 Indian craftsmen are engaged in cutting and polishing diamonds from the Argyle diamond mines. No doubt your craftsmen will be pleased at the decision to extend the mine's life by 15 years through the planned underground expansion.
In recent years we've seen some significant direct investment by India in Western Australia's resources sector. The Oswal Group has invested $630 million in the Burrup Fertilisers plant in the Pilbara region of Western
Australia; Hindalco, a member of the Aditya Birla Group, one of India's largest conglomerates has a significant investment in the Nifty Copper mine in the Pilbara region of WA.
A consortium led by the West Australian firm Oilex has formed alliances with some of India's leading oil and gas exploration companies and are working on a number of joint ventures in India and Western Australia.
As India's development progresses, I hope many more such cooperative investment opportunities will be identified and developed. Energy, and particularly LNG, is another major area of opportunity for both countries.
India currently imports around 70 per cent of its oil and, without more discoveries. that dependency ratio may increase to 90 per cent by 2020. Like many other countries, a switch to LNG. where it is economically feasible, may be a very attractive option for India.
Particularly given the relative environmental benefits and the knowledge that Western Australia is a reliable and secure long-term supplier of energy.
Around 80 per cent of Australia's massive gas reserves are located offshore from Western Australia. Already, a number of multi-billion dollar LNG projects are lining up for development - making it an exciting decade for LNG developments in Western Australia. Despite our large natural gas reserves, my Government is committed to exploring the as yet unlocked potential of renewable energy.
Already a number of interesting biofuels projects are under way in Western Australia. this is an area where the Government is working with industry to build our capabilities. I think there is enormous potential to explore trade and investment opportunities in biofuels, solar, wind and wave generation to meet the energy needs of our growing populations and expanding economies in the future.
We've already seen the start of the development of an energy partnership between India and Western Australia: LNG has been exported from Western Australia to India;
There is increasing interest by Indian firms in both off and on shore oil and gas exploration. I also see opportunities in the related area of technology and services to the mining and petroleum sectors. This sector has been quick to adopt and deploy new technologies making their operations efficient, technologically advanced and most importantly, globally competitive.
There are opportunities to develop commercial partnerships in technology and services with the resources sector in India. Last November a record number of 12 Western Australian companies attended the International Mining Machinery Exhibition (IMME) in Kolkata. A clear indication of the private sector's increasing interest in the Indian market.
We've seen a number of Western Australian resources companies and project developers set up business in India and I'm sure there are plenty more investment opportunities in India that are of interest to WA companies.
The resources boom has been a strong driver of economic expansion in the WA economy and enabled us to invest in supporting other emerging industry sectors.
Western Australia has a very successful agriculture sector and 85 per cent of the State.s production is exported. Wheat, pulses, wool and horticultural products are already finding markets in India and our farmers are always looking for niche markets for their quality produce. In a state the size of WA we have a variety of climate types ranging from the cool fertile landscape of the south west to marginal arid areas and tropical north. India and WA face many similar challenges and we would welcome the opportunity to collaborate on the issues such as arid farming and agricultural biotechnology.
This would build on the join research programs into pulses being undertaken by the University of Western Australia and the International Crops Research Institute for the Semi- Arid Tropics (ICRISAT). WA's research capabilities are internationally recognized and I am pleased to mention the work of our Nobel Laureates.
In 2005, University of Western Australia (UWA) academic Professor Barry Marshall and colleague Dr Robin Warren, a Royal Perth Hospital pathologist, were awarded one of the most coveted prizes in the scientific community: the Nobel Prize in Physiology or Medicine
Their groundbreaking research undertaken at Royal Perth Hospital between 1979 and 1984 proved that stomach ulcers leading to gastric cancer were caused by the bacteria and not stress or poor diet. Doctor Warren and Professor Marshall are the first Western Australians to win the award, bringing the total of Australian Nobel Laureates to 12.
Our research capacity is also supported by specialist learning and training facilities, the shipbuilding, defence and engineering fabrication industries, centred at the Australian Marine Complex at Henderson, have developed rapidly.
WA has a growing export market in high-speed ferries and patrol boats and would welcome the opportunity to discuss India's increasing transportation needs. In the information and communications technology and biotechnology sectors, we're also developing industry clusters, around specialist centres of excellence.
I believe there is potential to develop trade and investment with India in areas ranging from health to remote sensing technologies. One sector where there is huge potential for Western Australian companies to contribute in meeting some of India's infrastructure needs in areas like power generation and distribution, ports, water supplies and other essential infrastructure.
Western Australia is experiencing an economic boom and is investing heavily in expanding our skills and training base. We have considerable expertise in contributing to international infrastructure projects and are actively building capacity to develop the export of knowledge-based skills to valued trading partners like India.
Two other areas where I see great potential for mutual economic benefits are education and tourism. India is now Australia’s second biggest country source of International students with 27,000 Indian students studying in Australia.
Western Australia attracts a relatively low proportion of these students and I would appreciate your thoughts on how to market ourselves as an attractive destination for quality education. Positive steps have been taken with the Perth Education City road show visiting places in Gujarat as well as Mumbai, Pune and Kolkata.
I'm pleased to advise you that an Education Marketing Manager has been appointed as part of the Western Australian Trade Office and is already working with agents and institutions in India. Boosting two-way tourism would also create new jobs and opportunities in both countries. In 2006 Australia welcomed 81,000 Indian visitors, a growth of 28 per cent over the previous year.
Promoting tourism, education and business links generally would be easier if there were direct flights between Western Australia and India. We need to collaborate and lobby airlines in order to make direct flights between our countries a reality.
Tourism and education also play an important role in promoting economic and social networks and cultural understanding which will help our mutual trade.
The growth of Government-to-Government and industry-to industry networks are crucial in identifying commercial opportunities, creating strategic alliances and opening doors to trade and investment.
In 1996 Western Australia was the first Australian state to establish trade offices in India which are located in Mumbai and Chennai. Western Australia's relationship with India is very important to us, our long standing Regional Office and the great work they do demonstrates this.
Sharing a common ocean can make trade easier. But common values and shared passion is essential in any relationship. Many Indians and Australians share a passion for cricket. and Dennis Lillee is a great Western Australian ambassador for the sport. Dennis has been a Director of the MRF Pace Foundation Cricket Academy since it was established in Chennai in 1987. The Academy aims to provide world-class pace bowlers for India by providing the best facilities and training methods. Over the years it has given its students an opportunity to learn from legends such as the Chapell brothers (Ian and Gregg), Jeff Thompson, Rodney Marsh, Joel Garner, and Graham McKenzie, all of whom spent their valuable time at the Foundation, sharing their knowledge, experience, tactics and, most importantly, their passion for cricket.
It is clear that we share many interests, but I believe it will be our common commitment to developing a long-term partnership that will provide the greatest benefits to our peoples and our economies for the next generation and Beyond.