News Stories – 8 May 2008
Trade Figures Confirm China and Japan as Top Trade Partners
China became Australia’s largest two-way country trading partner in the 2007 calendar year, according to official data from the Australian Bureau of Statistics. Japan remains Australia’s largest export market – and will continue to be so for the foreseeable future.
On 6 May, the ABS released additional 2007 data which confirmed that China became Australia’s largest two-way country trading partner in the 2007 calendar year.
Total trade (exports and imports) with China grew 15% year-on-year to $58.0 billion in 2007, reflecting the continuing strong growth of the Chinese economy.
Exports of goods to China rose 17 per cent to $23.8 billion, while exports of services grew 18 per cent to $3.9 billion on the back of strong growth in education services to China.
Total imports of goods and services from China rose 14 per cent to $30.3 billion in 2007.
Japan is Australia’s second largest two-way trading partner, with total trade of goods and services worth $54.5 billion in 2007.
However, Japan is still Australia’s largest export market with total exports of goods and services in 2007 worth $34.6 billion (down 2.7 per cent) and
Japan will remain Australia’s top export market for the foreseeable future.
The United States of America was Australia’s third largest trading partner in 2007 with total trade worth $47.7 billion.
$30 Million for the Emergency Appeal by the World Food Programme
The Australian Government will provide $30 million in emergency assistance to countries affected by steep rises in the prices of essential food supplies. The $30 million contribution is in response to the emergency appeal of the World Food Programme.
The World Food Programme recently appealed for extra funding to address critical gaps in its food aid operations as a result of rising food and fuel prices.
Australia is a strong supporter of the World Food Programme, having provided over $1 billion for its operations since 1963.
The Australian Government is pleased to be able to respond to the appeal.
This funding will be met from within the Government's overall aid budget.
The Government will also lift Australia’s engagement in international efforts to address the root causes of food insecurity in developing countries.
This will be done through increased development assistance, constructive participation in multilateral processes and continued advocacy for international trade policy reform.
The Australian Government strongly supports the call by UN Secretary General Ban Ki-Moon to advance the Doha Round. Dismantling of barriers to trade in agricultural products is part of the required long term policy response.
In line with the establishment of a Task Force on the Global Food Crisis by United Nations Secretary General, Ban Ki-Moon, the Australian Government has tasked relevant agencies to work together in developing a comprehensive action plan for long-term food security measures.
In doing so, the Australian Government will draw on Australia’s expertise in agriculture, including semi-arid agriculture and adaptation.
The Government recognises that there is a need to enhance Australia’s development assistance programs in agricultural productivity and market development.
News Stories – 2 May 2008
Australia’s commitment to advancing nuclear non-proliferation and disarmament
Australia is committed to working to advance nuclear non-proliferation and disarmament; using the upcoming Nuclear Non-Proliferation Treaty 2nd Preparatory Committee meeting in Geneva to work in partnership with other states to strengthen the Treaty.
The Australian Government is committed to a new, more active role in advancing nuclear non-proliferation and disarmament, especially in multilateral fora.
Australia is determined to work in creative partnership with other states to strengthen the Nuclear Non-Proliferation Treaty (NPT), which is at the core of multilateral non-proliferation and disarmament efforts in this regard, we chair the Vienna Group of Ten, a set of like-minded states committed to advancing non-proliferation and peaceful nuclear uses.
Australia is also a member of the Seven Nation Initiative, a diverse group of states including nuclear and non-nuclear weapon states committed to reinforcing the NPT.
The NPT provides a key underpinning of national and international security
the current review cycle, leading to the 2010 Review Conference, is a crucial opportunity to reaffirm the NPT’s core contribution to international security and take forward its vision of a world free of nuclear weapons.
The 2010 Review Conference must not repeat the disappointing experience of the 2005 Review Conference, which ended without agreement between states parties on means of strengthening the NPT.
Australia will use the 2008 NPT Preparatory Committee meeting (PrepCom), which began in Geneva on 28 April, to call on states with nuclear weapons to make greater progress toward disarmament urge a greater global response to proliferation challenges, especially those presented by Iran and DPRK, and
reaffirm our support for all NPT states’ rights to peaceful uses of nuclear energy in a manner consistent with the NPT.
Australia will also be calling for greater progress on other key disarmament and non-proliferation measures including the soonest possible entry into force of the Comprehensive Nuclear-Test-Ban Treaty and commencement of negotiations on a Fissile Material Cut-Off Treaty in the Conference on Disarmament.
Australia-Republic of Korea Joint Non-Government FTA Study
A joint non-government study into the feasibility of a free trade agreement (FTA) between Australia and the Republic of Korea, released on 22 April, reveals both countries would gain from an FTA and is a helpful contribution to discussions on commencing FTA negotiations.
Welcome the key findings of a non-government study into the feasibility of a free trade agreement between Australia and the Republic of Korea.
The study emphasises the major opportunities an Australia-Korea FTA offers to further strengthen our highly complementary and growing bilateral trade and investment relationship, and deliver gains to both countries through closer economic integration.
The Republic of Korea is Australia’s third largest merchandise export market, and two-way trade was worth A$21 billion in 2006-07.
The report finds that an Australia-Korea FTA could boost Australia’s GDP by up to US$22.7 billion and Korea’s GDP by up to US$29.6 billion in the period 2007-2020.
Important to note the report’s finding that both countries would gain significantly from liberalised trade in services
Australian services exporters would benefit from greater access to the Korean market, while Korean consumers would benefit from improved access to more sophisticated and competitive services.
The report also emphasises the potential for liberalisation of investment to enhance bilateral investment flows, particularly greater Korean investment in Australia.
As a non-government report, the Australian and Korean governments do not necessarily agree with or endorse every aspect of the report, but it is important to note it demonstrates that both countries would gain from an FTA.
In summary, the study report represents a helpful contribution to our discussions with Korea on commencing FTA negotiations. The report is available at: www.dfat.gov.au/geo/rok/fta/index.html.
Archived News Stories
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7 February 2008