E2Media
of TradeReas
VISIT TO THE MIDDLE EAST AND CYPRUS
Statement by the Acting Prime Minister and Minister for Trade
The Hon. Lionel Bowen
The Hon. Lionel Bowen returned over the weekend from a 15 day
visit to Bahrain, Egypt, Kuwait, Cyprus and Saudi Arabia. He
was accompanied by a large delegation. of Australian business
leaders and industry representatives from a broad cross-section
of Australia's commercial interests.
Mr Bowen said the mission had been an outstanding success, in
that it had laid the groundwork for a substantial expansion of
Australia's commercial interests in the area. " The delegation
was extremely well received throughout the visit and it is clear
that there is a great deal of goodwill towards Australia in each
of the countries we visited. I am convinced that significant
new opportunities exist for Australian exporters, contractors
and consultants in the Middle East despite the contraction that
has taken place in some sections of business in the region. The
pace and scale of development continues to be most impressive and
is now focussing on a number of areas in which Australia is well
placed to pick up business. Prospects include projects related
to agricultural and mineral development, hospital management,
engineering work and increasing trade in our traditional exports
of foodstuffs and raw materials."
Important opportunities exist for joint venture arrangements and
for exports of those high technology products in which we are
world leaders.
The Minister said he was especially pleased by the assurance
from the Saudi Arabian Government of a positive response to an
Australian bid for a multi-million dollar contract covering the
management and staffing of hospitals at Makkah, Madinah and
Riyadh. " This would be a new development in Australia's trade
and an important opportunity to display Australian medical and
management skills", Mr Bowen said.
" It is clear that in order to capitalise on these opportunities
it is essential for Australian businessmen to establish and
maintain personal contact with people in the region with whom
they wish to do business and, in many cases, with key government
authorities."
He said " I believe this visit has opened many doors. There is
strong interest in the Middle East in training in Australia, both
in the private sector and in post-graduate training in our tertiary
institutions. A number of Australian companies are already offering
short-term training to people from the Middle East and I will be
encouraging the further development of this, which will ultimately
advance our trading interests."
" During my visit I met with President Mvubarak of Egypt, the Amir
of Bahrain, His Highness Sheikh Isa Bin Sulman Al Khalifa, Crown
Pr'ince and Prime Minister of Kuwait, H. H. Sheikh Sa'ad Abdullah
A1--Sabah, President Kyprianou of Cyprus and a number of senior
government ministers and leading businessm~ en in each of the
countries visited", Mr Bowen said.
He stated " In Saudi Arabia it was notable that, in addition to my
discussions with five Government Ministers, a very large and high
level Saudi Arabian delegation attended the Second Session of the
Aust'ralia/ Saudi Arabia Joint Commission held in Riyadh this week.
I have invited the contacts which we have made at that meeting,
together with those who attended excellent meetings with the
Rivadh and Jeddah Chambers of Commerce, to follow up our visit by
attending the Third Session of the Joint Commission, which will
be held in Australia towards the end of 1984. The text of the
JoiLnt Communique issued after the meeting is attached, together
wit~ h a list of business and industry members of the Australian
delegation." Mr Bowen said " Wh ' ilst in Cyprus I signed an Australian/ Cyprus
Trade Agreement. This Agreement provides a good framework for
the development of commerce between our two countries and represents
a valuable step in the development of our relations with that
country." Caniberra 19 December 1983
F3OINT COMMUNIQUE OF THE AUSTRALIA/ SAUDI ARABIA JOINT COMMISSION
At the invitation of His Excellency Dr Soliman Al-Solaim, Minister
of Commerce of Saudi Arabia, The Hon Lionel Bowen, MP, Deputy
Prime Minister and Minister for Trade of Australia, paid an official
v-sit to Saudi Arabia from 7-11 Rabi Al-Awal, 1404H, corresponding
to 11-15 December 1983.
2, The purpose of Mr Bowen's visit was to lead the Australian
delegation to the second meeting of the Joint Commission between
Australia and Saudi Arabia, at which bilateral trade and economic
and technical co-operation between the two countries were discussed.
Members of the Australian delegation, which included senior
executives from leading companies and authorities, are listed in
Attachment A. The Saudi Arabian delegation was led by
His Excellency Dr Soliman Al-Solaim, Minister of Commerce, who
was accompanied by senior businessmen and officials from Saudi
Ministries. During his visit to Saudi Arabia, Mr Bowen was also
received by:
H. R. H. Prince Abdulrahman bin Abdul, Vice Minister, Ministry of Defence
H. E. Eng Abdul Aziz Al-Zamil, Minister of Industry Electricity
H. E. Dr Abduirahnan Abdul Aziz Al-Shaikh, Minister of Agriculture
and Water
H. E. Shaikh Muhammad Aba Al Khail, Minister of Finance National Economy
3. The meetings were held in a friendly and cordial atmosphere and
both delegations expressed their sincere desire to promote and
strengthen economic and technical co-operation between the two
countries. Dr Solaim noted with satisfaction that a particularly
healthy atmosphere existed both politically and economically between
the Kingdom of Saudi Arabia and Australia. He considered that the
Joint Commission was important in bringing about this improved
understanding. He stated that Saudi Arabia viewed Australia as a
reliable source of strategic commodities and expressed the hope
that this relationship would continue. ' Dr Solaim went on to
outline the rapid development which had taken place in the trade
relationship over the last five years.
Mr Bowen said that the new Australian Government attached great
importance to close and friendly ties between Saudi Arabia and
Australia. For its part Australia welcomed Saudi Arabia's active
efforts in seeking peace and stability in the Middle East, an
objective strongly supported by the Australian Government.
It was noted that both delegations to the Second Joint Commission
were represented at a very high level. This reflected a strong
desire to see a mutual increase in trade and economic co-operation.
Australia hoped that new opportunities would be created for
manufactured and semi-manufactured prodcIIts, for joint ventures
and for the provision of Australian technical expertise to aid
Saudi Arabian development projects and training programmes. As
one of the most efficient producers and exporters of agricultural
products and raw materials, Australia was keen to promote further
trade in these products.
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4. Both Ministers agreed that there was considerable scope for
the development of bilateral trade in the future and the Joint
Commission considered a number of specific issues of interest
to both countries.
Manufactured Products.
S. Dr Solaim noted the growth of Australian exports in
manufactured goods particularly transport equipment and copper
ingots. The Joint Commission also noted that there existed
good opportunities for Australian companies to produce
manufactured goods in joint venture with Saudi entrepreneurs
in the Kingdom.
Building and Construction
6. The Joint Commission recognised the strong capabilities
of Australian manufacturers, contractors and consultants and
the possibilities for co-operation in this area. It is hoped
that contact between Australian and Saudi Arabian contracting
organisations would increase.
Gra ins
7. The Joint Commission noted the importance of Australia's
feed barley exports to the Kingdom and that a good Australian
harvest this year had ensured its ability to meet the Kingdom's
needs. Dr Solaim provided the background to the adjustments to
the Kingdom's barley subsidy system which would lead to greatly
increased imports from Australia in 1984 compared with 1983.
It would also ensure, he noted, a reduction in the trade surplus
at present in the Kingdom's favour.
Meat 8. The Australian side expressed satisfaction with the success
of the agreement between the two nations regarding the transshipment
by air of chilled meat. Australia was anxious for
the growth of trade in carcass meat and packaged meat to continue.
The Australian side noted that a new system of halal meat
cert~ ification and export controls was coming into effect from
I January 1984 and that this system would contribute to the
strengthening of the trade in carcass and packaged meat. The
Australian side noted with satisfaction the entry of the Saudi
Livestock Transport and Trading Company into the l. ive sheep trade
and its facilities to carry reefer containers for meat on its
vessels. Dairy Products
9. The importance of cheese sales in Australia-Saudi Arabia
trade was noted and the Australian side expressed its hope that
-his. trade Would continue to develop.
-3
Fruit The Australian side highlighted the possibilities which
exist for an increase in trade in fresh and canned fruit. This
will be followed up by more detailed discussions in 1984.
Saudi Arabian Exports to Australia
11. Dr Solaim drew attention to the developments taking place
in the Saudi Arabian petrochemical industry particularly in
respect of new products coming on stream in 1984 and 1985.
He expressed the hope that Saudi Arabia could obtain a share of
the Australian market for these products. Dr Solaim presented
Mr Bowen with a letter outlining his views on this proposal.
The Australian side pointed out the pi. resent difficult situation
which exists in the Australian industry, but believed there was
scope to examine areas where trade might be developed between
the two countries. Caustic soda was identified as a major item
in this regard.
Meteorology and Environment
12.. Both sides noted with pleasure the continuing progress
achieved in the implementation of the contract between Saudi
Arabia's Meteorology and Environment ProtectiLon Administration
and the Australian Overseas Projects Corporation. It was noted
that the co-operation would be renewed and extended in 1984.
Medical and Health Services
13. The Australian side welcomed the positive response to the
Australian bid for management and staffing of hospitals at
Makkah, Madinah, and Riyadh. It was also noted that proposals
for other hospital projects in the Kingdom haLd been submitted
by Australia. The Joint Commission also noted the successful
medical training co-operation between Al Kharj Hospital and the
Royal College of Physicians in Sydney and looked forward to
further co-operation in the health services field.
Bilateral Co-operation in Agriculture
14. The Joint Commission noted that Australia was recognised as
a world leader in agricultural development and research and
that Australian institutions could play a particularly vital role
in the education, training and developmnt to be undertaken by the
emerging Saudi Arabian joint stock agricultural companies.
The Saudi Arabian delegation advised that the time was opportune
for the promotion of Australian technology in the field of
agriculture and expressed satisfaction that the first group of
Saudi farmers organised by the Ministry of Agriculture and Water
would be visiting; Australia next year under an arrangement with
the Weist Australian Institute of Technoloy'ls IVAITAID Division.
4-
The Australian delegation drew attention to the holding of two
conferences in Australia in 1984 which could bc of interest to
Saudi Arabia. They are the International Rangelands Conference
in Adelaide from 13-18 Ma)' 1984 and the Third A\ ustralian Remote
Sensing Conference ( Landsat 84) from 21-25 May 1984.
Mr Bowen noted that hie looked forward to a visit to Australia
by the Saudi Arabian Minister for Agriculture and Water,
Dr Al Shaikh, in April 1984.
Standards 1S. The Joint Commission noted the central role of the Saudi
Arabian Standards Organisation in the development of regional
standards and placed particularl value on continuing co-operation
in this field.
Shipping 16. Dr Solaim noted that there was scope for the shipping
specialists of the Kingdom and Australia to co-operate with a
view to reducing frei ght costs. The question of vessels leaving
Saudi ports empty was specifically noted by Dr Solaim.
M ine~ r al1s
17. The Australian side referred to the expertise and skills
which exist in Australia in the production processing and
uti * lisation of minerals and identified the scope which exists
for co-operation between the two countri'es in regard to raw
materials and equipment supply, consulting services, join~ t
venizures, training and technical co-operation. Ini the context
of :. echnical co-operation specific reference was made to the
pro] posals for Australian assistance to the Deputy Ministry of
Mineral Resources in reviewing the operation of its overseas
geo~ ogical surveys. With regard to the supply of minerals the
Australian side outlined the possibility that exists for the
supply of iron ore.
The Saudi side identified the need for significant increases
in the consumption of copper and indicated an interest in
obtaining increased supplies from Australia.
On investment, the development and exploitation of Saudi Arabian
copper deposits was raised and proposed for further joint
discussions.
Other Technical and Scientific Co-operation
I8. The Joint Commission welcomed the discussions between CSIRO
and the Saudi Arabian National Centre for Science and Technology
on co-operation in meteorology, satellite data processing, arid
]. and research, sand done stabilisation ind re-vegetation.
5
Next Meeting of Joint Commission
19. It was agreed that the next meeting of the Joint Commission
should be held in Australia in late 1984. Lionel F. Bowen
Deputy Prime Minister and
Minister for Trade
Australia
Soliman Abdul Aziz Al-Solaim
Minister of Commerce
Kingdom of Saudi Arabia
ATTACHMENT A
Business and Industry Representatives accompanying Deputy Prime
Minister and Minister for Trade, Lionel Bowen
Mr R. K. Barker
Managing Director
Wormald International Ltd
Mr J. A. N. Boniface
Senior Executive Engineer
Snowy Mountains Engineering Corporation
Mr J. J. Brown
Director Brown and Lamond Bloodstock Pty Ltd
Mr R. Clough
Managing Director
Clough Engineering Group
Mr J. G. Campbell
Assistant General Manager
CSR Ltd
Mr K. Dingwall
Group Executive Director
Elders International
Mr R. H. V. Douglass
General Manager
Merchant Banking Services
Westpac Banking Corporation
Mr W. G. Faithfull
Chairman Australian Professional Consultants Council
Mr K. J. Johnson
General Manager and Chief Executive
Clyde Industries Ltd
Mr B. R. Kean
General Manager
Boral Brick Pty Ltd
Mr G. Kelly
George Kelly Co
Mr L. C. Knight
Managing Director
Australasian Training Aids Pty Ltd
Mr L. Knight
Chairman
Australian International Health Services
Mr P. J. Laver
General Manager, Operations
Broken Hill Proprietary Ltd
Mr G. Lumb
Managing Director
Concrete Constructions Pty Ltd
Mr J. O'Toole
Federal Secretary
Australasian Meat Industries Employees Union
Mr L. W. Purnell
Director Trade and Commercial Services
Metal Trades Industry Association
Mr M. Rayner
Managing Director
Comalco Ltd
Mr E. J. Tansell
General Manager
Australian Barley Board
Mr S. L. Wallis
Executive Managing Director
Leighton Holdings Ltd
Dr J. White
General Manager, Engineering
Eglo Engineering Pty Ltd