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1 AM SURE YOU SHARE WITH ML THE SENSE OF PLEASURE ANI)
GRATIFICATION AT BEING ABLE TO ATTEND THIS CERENONY.
THE MELBOURNE WORLD TRADE CENTRE IS THE FIRST WORLD TRAD
CENTRE TO BE ESTABLISHED IN AUSTRALIA. IT IS PART OF AN
IMPRESSIVE NETWORK. SINCE THE FORMATION CF THE OrLD
TRADE CENTRES ASSOCIATION IN 1968, 33 WORLD TRADE CENRES
HAVE BEENBUILT, 8 MORE ARE UNDER CONSTRUCTION, AND 29 f\ RQj
BEING PLANNED. THIS IS AN IMPRESSIVE RECORD OF SUCCESS.
OF COURSE THE ASSOCIATION IS NOT ONLY ABOUT BUILDINGS AND
THIS ONE IS TRULY IMPRESSIVE IN ITS CONCEPTION AND DESICN,
THE ASSOCIATION ALSO AIM3 TO ENCOURAGE MUTUAL ASSISTANCE AND
CO-OPERATION AMONGST MEMBERS AND TO PROMOTE INTERtIATION! AL
TRADE. IT IS LOGICAL THAT THIS FIRST WORLD TRADE CENTRE BE
ESTABLISHED IN MELBOURNE. MELBOURNE IS THE BASE FOR
ABOUT HALF AUSTRALIA'S BUSINESSES AND THE PORT OF
MELBOURNE IS THE LARGEST CONTAINER PORT IN THE SOi1HERN
HEMISPHERE HANDLING ABOUT 40% ( IN 1981/ 82) OF AUSTRALIA'S
CONTAINER CARGO TRADE.
I I. 2.
IN THE FUTURE I WOULD EXPECT AN INCREASING EMPHASIS UPON
' USING WORLD TRADE CENTRE FACILITIES, I HOPE THAT THE
CONCEPT, AS IT IS DEVELOPING, GOES FROM STRENGTH TO
STRENGTH AND THAT THE ASSOCIATION IS CONTINUALLY ABLE TO
ADAPT ITS FUNCTIONS AND ACTIVITIES TO MEET THE NEEDS AND
OPPORTUNITIES WHICH ARISE IN THE INTERNATIONAL TRADING
SPHERE, THE OPENING OF THE CENTRE COINCIDES WITH A RECOVERY IN
U, S, ECONOMIC ACTIVITY, ONE THAT HAS BEEN QUITE VIGOROUS
IN ITS EARLY STAGES. THIS RECOVERY CAN BE EXPECTED,
IN TIME, TO SPREAD . TO OUR OTHER MAJOR TRADING PARTNERSj
BRINGING WITH IT THE PROSPECT OF IMPROVED GROWTH IN ' ORLD
TRADE, ALREADY THIS HAS BEEN REFLECTED IN IMPROVEMtENTS
IN SOME COMMODITY PRICES A SHIFT OF DIRECT BENEFIT TO
SOME AUSTRALIAN EXPORTING INTERESTS.
AT THE SAME TIME WE SHOULD BE WARY OF EXAGGERATED
OPTIMISM ABOUT THE RECOVERY, THE LONG AWAITED WORLD
RECOVERY WILL BE ACCOMPANIED BY FIERCE COMPETITION FOR
THE LIMITED SHARE OF ITS BENEFITS. INTERNATIONAL
COMPETITION, EXACERBATED BY FORMIDABLE PROTECTIONIST
FORCES PUT IN PLACE OVER THE LAST DIFFICULT FEW YEARS,
WILL BE INTENSE.
I AM SURE THAT EVERYONE HERE TODAY REALISES THE
IMPORTANCE OF INTERNATIONAL TRADE TO AUSTRAI IA. I
I HAS BEEN
REGRET THAT AUSTRALIA S TRADE PERFORMANCE IN A SERIOUS
DECLINE WITH OUR SHARE OF WORLD EXPORTS FALLING FRef'l
1.7% IN 1970 TO1,3% IN 1982. AUSTRALIA HAS SLIPPED
FROM 13TH TO 16TH PLACE AS A WORLD TRADING NATION
* IN THE SAME PERIOD,
THE PICTURE IS THE WORSE WHEN IT IS REALIZED THAT FOR
MUCH OF THIS PERIOD WORLD TRADE HAS ITSELF BEEN SEVERELY
DEPRESSED AND THE IMMEDIATE OUTLOOK IS NOT BRIGHT,
ACCORDING TO THE GATT THE VOLUME OF WORLD TRADE GREW
HARDLY AT ALL IN THE FIRST HALF OF THIS YEAR AND IS
LIKELY TO GROW BY ONLY 2% IN THE SECOND HALF, THIS
COMPARES WITH WORLD TRADE GROWTH OF 11% IN 1976 WHEN
ECONOMIES RECOVERED FROM THE 1974-75 RECESSION.
OBVIOUSLY THE PATH AHEAD WILL NOT BE AN EASY ONE.
MY GOVERNMENT'S OVER-RIDING CONCERN HAS BEEN TO ESTABLISH
THE BASIS FOR A SUSTAINED ECONOMIC RECOVERY IN AUSTRALIA,
THE CONTINUING HEALTH AND WELL-BEING OF OUR ECONOMY RESTS
TO A GREAT EXTENT UPON OUR ABILITY TO TRADE COMPETITIVELY
ON INTERNATIONAL MARKETS,
1
IT IS VITAL THAT WE INCREASE THE CONTRIBUTION THAT EXPORTVS
MAKE TO GROWTH IN AUSTRALIA' Is GNP, INCOMES AND AR~ OYMENT,
> THE FALLING OFF I1N OUR EXPORT PERFORMANCE HAS TO BE CORRECTED
AND I SEE THIS AS BEING ONE OF THE MAJOR TASKS OF My
GOVERNMENT IN CLOSE COLLABORATION WITH AUSTRALIAN EXPORTING
INTERESTS. DECISIONS WE HAVE ALREADY TAKEN ON FISCAL,)
MONETARY AND INCOMES POLICIES SHOULD CONTRIBUTE SIGNIFICANTL&
TO RESTORING AND MAINTAINING THE INTERNATIONAL COMPETITIVENESS
OF OUR EXPORT AND REVITALISE OUR EXPORT PERFORMANCE,
MlY COLLEAGUE LIONEL BOWEN, THE M'INISTER FOR TRADE,
HAS-RECENTLY ANNOUNCED A NUMBER OF ADDITIONAL MEASURES
DESIGNED TO SECURE AN IMPROVED CONTRIBUTION BY AUSTRALIAN
EXPORT INDUSTRIES TO EMPLOYMENT AND INCOME, AN INCREASED
TRADE PROMOTION EFFORT AND AN UPGRADING OF SUPPORTING
SERVICES FOR OUR EXPORTERS IS ENVISAGED,
TO Tq( IS END THE BUDGET PROVIDED FOR INCREASED EXPENDITURE
TO UPGRADE TRADE PROMOTION PROGRAMMES IN ASIA, THE MIDDLE EAST,
NORTH AMERICA AND NEW ZEALAND. A MORE TARGETTiED APPROACH TO
EXPORT DEVELOPMENT ACTIVITIES IN THESE AREAS IS PLANNED,
AN INTENSIFICATION OF TRADE MISSION ACTIVITY IS ALSO
ANTICIPATED. THE OVERALL PROVISION FOR TRADE PROMOTION AND
MARKET RESEARCH ACTIVITIES HAS BEEN INCREASED TO
MILLION IN~ 1983/ 84~ AN INCREASE OF 50% OVER 1982/ 83.
AS A MAJOR TRADING NATION AUSTRALIA HAS A PARTICULAR
SINTEREST IN SUSTAIHING AND DEVELOPING CONDITIONS FOR
MUTUALLY BENEFICIAL TRADE. JAPAN., WHICH ACCOUNTS FOR
27% OF OUR TOTAL EXPORTS AND 21o OF OUR TOTAL IMPORTS,
MUST RANK HIGH IN ANY ASSESSMENT OF THIS INTEREST, WE
SHOULD NOT BE TAKING THAT RELATIONSHIP FOR GRANTED.
SIGNIFICANT STRUCTURAL CHANGES HAVE TAKEN PLACE IN THE
JAPANESE ECONOMY. AUSTRALIA MUST RECOGNISE THEIR
IMPLICATIONS AND ADJUST Tu THEM.
THE RECENT AGREEMENT BETWEEN MR BOWEN AND JAPANESE MINISTERS
TO ESTABLISH A DIALOGUE AIMED AT EXAMINING CONCRETE WAYS
OF ASSISTING AUSTRALIAN EXPORTERS TO IDENTIFY OPPORTUNITIES
AND MEANS OF PENETRATING THE JAPIANESE MARKET OFFERS SOME
WITH
PROSPECT OF AUSTRALIAN INVOLVEMENT PREVIOUSLY UNTESTED
SECTORS OF THAT MARKET. IN THE FINAL ANALYSIS, HOWEVER,
ONLY AePLICATION OF GREAT RESOURCEFULNESS ANDIMAGINATION
BY AUSTRALIANS WILL CONTRIBUTE TO THE REALISATION OF THE
FULL POTENTIAL OF THE ECONCMIC AND TRADING RELATIONSHIP
WITH JAPAN, MORE GENERALLY
THE SAME IS TRUE/ OF OUR TRADING RELATIONSHIP WITH THE
COUNTRIES OF THE WESTERN PACIFIC REGION, WHILE THEIR SHARE
OF AUSTRALIAN EXPORTS HAS RISEN FROM 37% IN 1962/ 63 TO
54% IN 1982/ 83 THE INTENSELY COMPETITIVE CHARACTER
OF THOSE MARKETS COMBINED WITH THEIR RELATIVELY HIGH
GROWTH RATES PUTS PARTICULAR PRESSURE ON THE INGENUITY
AND DRIVE OF AUSTRALIAN EXPORTERS, a 6/.
THERE IS A NEED TO HAVE A CLEAR UNDERSTANDING OF THE
CHANGING TRENDS IN THE ASIAN REGION AND WHAT MARKETS
ARE LIKELY TO OPEN FOR GOODS AND SERVICES PRODUCED IN
AUSTRALIA. TO * THIS END WE HAVE PROVIDED $ 1.5 MILLION
FOR BASIC MARKET RESEARCH. THIS SHOULD
ASSIST TRADE COMMISSIONERS AND AUSTRALIAN COMPANIES TO
UNDERTAKE NEW PRODUCT DEVELOPMENT AND MARKET RESEARCH IN
OVERSEAS MARKETS.
OUR TRADE COMMISSIONERS HAVE AN IMPORTANT ROLE TO PLAY.
A STRONG, RESOURCEFUL AND ADAPTABLE TRADE COMMISSIONER
SERVICE IS ESSENTIAL IF WE ARE TO TURN THE TIDE ON OUR
DECLINING TRADING PERFORMANCE, THE REVIEW INITIATED
BY THE MINISTER FOR TRADE ON THE TRADE COMMISSIONER
SERVICE IS I BELIEVE TIMELY, WE NEED TO CONSIDER
CAREFULLY BOTH THE IMPLICATIONS OF DEVELOPMENTS IN THE
WORLD TRAD ING ENVIRONMENT FOR THE SERVICE AND.> AGAINST
THE BACKGROUND OF AN APPRECIATION OF THE. EXPECTATIONS'
OF THE BUSINESS COMMUNITY, THE MEASURES NECESSARY
TOJMPROVE THE OPERATION AND EFFECTIVENESS OF THE
SERV ICE.
MY GOVERNMENT IS KEEN TO BREAK DOWN UNNECESSARY BARRIERSBOTH
INTERNALLY AND EXTERNALLY TO THE EXPANSION OF TRADE.
H-OWEVER, PROGRESS IN THIS AREA REQUIRES CO-OPERATION BETWEEN
FEDERAL AND STATE GOVERNMENTS, THE ATMOSPHERE FOR SUCH
CO-OPERATION HAS IMPROVED RECENTLY AND MY GOVERNMENT HOPES
s7/ 1s
TO ENCOURAGE FURTHER CO-OPERATION BY ESTABLISHING JOINT
TRADE PROMOTION CAMPAIGNS IN COLLABORATION WITH THE STATES,
4THIS PROGIAM WILL COVER EXPORT PROMOTIONAL ACT! IVITIES
OF PARTICULAR INTEREST TO THE STATES SUCH AS MISSIONS
TO OVERSEAS MARKETS, INVOLVEMENT IN OVERSEAS FAIRS AND
DISPLAYS, SPECIAL TRADE VISITS AND TRADE PUBLICATIONS,
THE GOVERNMENT IS VERY CONSCIOUS THAT MORE EFFECTIVE EXPORT
CREDIT POLICIES ARE NEEDED IF AUSTRALIAN EXPORTS ARE TO BE
MADE SECURE AND DEVELOPED TO THEIR FULL POTENTIAL. THE
INTENSIFICATION OF CREDIT COMPETITION IN INTERNATIONAL.
TRADE IS A STRIKING FEATURE OF THE CONTEMPORARY WORLD
TRADING ENVIRONMENT. ACCORDINGLY IMPROVING THE
SUPPORTING SERVICES AVAILABLE THROUGH THE EXPORT FINANCE
AND INSURANCE CORPORATION ( EFIC) IS COMMANDING OUR
PARTICULAR ATTENTION.
THE GOVERNMENT CURRENTLY HAS UNDER CONSIDERATION A NUMB3ER
OF PROPOSALS DESIGNED TO IMPROVE THE EFFECTIVENESS TO
EXPORTERS OF FACILITIES PROVIDED BY THE EFIC. THESE
PROPOSALS GO TO SUCH MATTERS AS:
THE OPERATING POLICY OF EFIC;
EFIC COVER AGAINST THE RISK OF NON-PAYMENT
ARISING FROM POLITICAL CAUSES) 112
-THE RESTRICTIONS WlHICH GENERALLY LIMIT EFIC's
SERVICES TO THOSE NOT NORM* ALLY AVAIL. ABLE FROM THE
PRIVATE SECTOR;
FOREIGN CURRENCY FINANCING THROUGH THE PROVISION'
OF GUARANTEES TO AUSTRALIAN OR OVERSEAS LENDERS
AND THE APPLICATION OF INTEREST RATE SUBSIDIES TO
SUQH FINANCING;
LENDING IN A FOREIGN CURRENCY;
-FUTURE AVAILABlILITY OF FUNDS UNDER THE DEVELOPMENT
IMPORT FINANCE FACILITY;
-EXCHANGE CONTROL APPROVALS; AND
-THE MATTER OF AN INTERNATIONAL ARRANGEMENT UNDER THE
AMB . ITOF THE OECD TO LIMIT PROVISION OF OFFICIALLY
SUPPORTED CREDIT FOR THE EXPORT OF AGRICULTURAL PRODUCTS.
SOON
DEISIONS1To BE TAKEN ON THESE MATTERS SHOULDi I BELIEVE,
BE OF SUBSTANTIAL ASSISTANCE TO AUSTRALIAN EXPORTERS.
THESE MATTERS SHOULD ALWAYS BE VIEWED WITHIN THE CONTEXT
OF A SOUND INDUSTRY POLICY, SUCH A POLICY WILL BE DIRECTED
TO ACTIVELY DEVELOPING INDUSTRIES WHICH HAVE A POTENTIAL
NOT ONLY TO SATISFY LOCAL REQUIREMENTS BUT TO MEETING
THE INCREASINGLY VARIED DEMANDS, OF THE STRONGLY GROWING
ECONOMIES OF OUR REGION, IMPORTANTLY THIS WILL MEAN BOTH
NEW AND EXISTING INDUSTRIES MAKING EFFECTIVE USE OF NEW
TECHNOLOGIES, WHETHER DEVELOPED IN AUSTRALIA OR ADOPTED
FROM ABROAD,. IN RESPONSE TO BOfH NEW TECHNOLOGICAL
AND TRADING OPPORTUNITIES SOME MEASURE OF STRUCTURAL
CHANGE IN THE ECONOMY IS INEVITABLE.
TH'E WORLD TRADE CENTRE CAN PLAY AN IMPORTANT ROLE IN
FOCUSSING AUSTRALIAIS ATTENTION ON WORLD TRADE. THE
CENTRE HAS ESTABLISHED A GROUPING OF ORGANISATIONS
INTERESTED IN INTERNATIONAL TRADE IN A WAY THAT HAS NOT
BEEN POSSIBLE BEFORE IN MELBOURNE OR INDEED IN AUSTRALIA.
FOR THE FIRST TIME A TOTAL SERVICE TO EXPORTERS IS
POSSIBLE UNDER THE ONE ROOF, IN A VERY REAL SENSE THE
WORLD TRADE CENTRE IS A ONE-STOP TRADE SHOP WHICH COULD
BE O'F. REAL VALUE TO THE AUSTRALIAN TRADING COMMUNITY.
THIS MUST LEAD TO GREATER EFFICIENCY IN OUR EXPORT EFFORT,
PARTICULARLY THROUGH THE EXCHANGE OF INFORMATION ON
COMMERCIAL PRODUCTS AND SERVICES, OVERSEAS MARKETS ETC.
THE ESTABLISHMENT OF THIS CENTRE IS A FURTHER EXAMPLE OF
CO-OPERATION BETWEEN THE COMMONWEALTH AND STATE GOVERNMENTS
AND PRIVATE ENTERPRISE ORGANISATIONS INVOLVED IN ALL FACETS
OF EXPORT. IF THE SPIRIT OF CO-OPERATION CONTINUES INTO THE
DAY-TO-DAY BUSINESS OF THE CENTRE IT IS ASSURED OF SUCCESS.
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