Robb says twelve-month trade turnaround could happen
The person tasked with delivering an ambitious Federal Government promise says enhanced trade between Australia and its Asian neighbours can happen – and hopefully within 12 months.
The Federal Trade Minister Andrew Robb is reviving three major free trade agreements to wake up the business relationship with China, South Korea and Japan.
Mr Robb says; “I have discovered enthusiasm and eagerness amongst the trade ministers in each of those three countries, and the Prime Minister has met with the leaders of all three countries and has found also there is a sense from all three that they want to quickly complete these negotiations.”
In the spirit of friendliness and enthusiasm, Mr Robb says he will not disclose the deal he is taking to discussions with China.
Speculators say China will be looking for the same trade deal given to the United States, which removes the attention of the Foreign Investment Review Board (FIRB) on purchases of Australian assets less than $1 billion.
Currently for every country other than the US, the FIRB is called in for transactions over $240 million.
Robb says he know China will want fewer barriers for investment.
“We need that investment if we are to grow the economy and to realise the opportunities that are out there. So it is an important part of this deal and it will be an important part of what I put to them,” he said.
“There does seem to be a sense of despondency about the way in which interventionist policies have not led to further growth, have not taken the world back out of the malaise that it struck with the global financial crisis, and they are looking for trade and growth.
“We've got to ride that wave. That wave may not last, so if we can ride that wave, I think we've got some real prospect of reaching a conclusion.”
The Trade Minister may be willing to trade-off some small stipulations in his eagerness to sign something.
“I do think it's in our interest to complete these negotiations as quickly and as effectively as possible and not hang out for necessarily 110 per cent. But we need quality, we need quality agreements,” Mr Robb said.