Doorstop - China-Australia Year of Tourism
STEVEN CIOBO: It's terrific to be here in Beijing, a chance to come to China to focus on the official launch of the China-Australia Year of Tourism. Of course, I'm very pleased to be up here in China with a delegation from the tourism industry, a high profile delegation, many airports, CEOs and others who are focused on building the relationship between China and Australia in this 2017 the year of China Australia tourism. Inbound tourists into Australia from China are an important economic driver, 1.2 million Chinese came last year, which represented year on year growth of 20 per cent, spending nearly $10 billion in Australia. Fundamentally for me as Australia's Trade and Tourism Minister it's the knowledge that with this increased visitation from China we're also seeing a growth in jobs in Australia. The fact is more Chinese tourists, means more jobs in Australia. I'm also keen to make sure that we continue to attract inbound investment into Australia, investment that will help to make sure that Australia continues to grow our economy, and that in turn also means additional jobs. Today I've had the opportunity to have a working lunch with Chairman Xu from the NDRC, The National Democratic Reform Commission, an important institution here in China and one that's helping to make sure that Australia's economic relationship continues to grow together with China. That's been a key part of the focus today. This evening we will have the actual launch of the Australian side of the China Australia Year of Tourism. This is about making sure that we continue to boost Australia's profile here in China. We know that there's a very high level of aspiration among Chinese to visit Australia. What we want to do is make sure that we convert that aspiration to actual visitation. Because as I said, more Chinese tourists visiting Australia means more export growth and more employment opportunities for Australians. Happy to take any questions.
JOURNALIST: Minister in your meeting today with Chairman Xu was there any discussion, in your capacity as Trade Minister, any discussion of recent issues around global trade barriers and protectionism.
STEVEN CIOBO: Both Australia and China are focused on trying to continue to build more liberalised markets with respect to trade and investment. I've made the point on multiple occasions that Australia does want to continue to engage with the world. I was heartened to see President Xi's comments at the World Economic Forum that China wants to continue liberalising their trade and investment controls as well. That's a big positive for both Australia and for China because investment isn't a one way street, it's not just about Chinese investment to Australia. I'm also very focused on opportunities for Australian investment into China and I was pleased to have that opportunity today to have that conversation with Chairman Xu because I know that there is an ideal amount, there is an approach from China to be able to drive more capital invested into China. And we continue to build on that trade and investment relationship.
JOURNALIST: Potentially what sort of opportunities could that open up for Australian companies, in what sectors?
STEVEN CIOBO: Well we know all ready, of course, that the Chinese economy is a very big economy. As it continues to liberalise, as the Chinese Government continues to open up their borders to drive inbound investment, it will create opportunities for Australian businesses, there are some great Aussie businesses that are on the ground here in China, and they're already scoring runs. I want to make sure that we continue to open up those opportunities for Australian businesses to invest in China in particular around areas, such as for example, infrastructure. China has its Belt and Road Initiative, the Belt and Road Initiative provides incredible opportunity for Australian businesses to utilise Australian knowhow, Australian workers, Australian knowledge, to boost their presence here in China and get access to a fast growing economy.
JOURNALIST: And did he raise any concerns about the recent knockbacks of a few major projects that Chinese investors were interested in Australia? Things like Kidman and Ausgrid, those sorts of things.
STEVEN CIOBO: One of the important initiatives that the Turnbull Government has undertaken has been the establishment of the Critical Infrastructure Centre. The CIC or Critical Infrastructure Centre will operate to provide more commercial certainty for investors abroad into Australia. We want to make sure that we can capitalise on all the opportunities in Australia, the only way we can do that is to import capital. We've been importing capital for more than a 100 years now, and we will continue to do so. Making sure that we have capital invested into Australia that's consistent with Australia's national interest provides us with the long term money that we need to keep growing the Australia economy and keep growing job opportunities in Australia. So the CIC will play a crucial role in providing increased commercial certainty to investors from all around the world.
JOURNALIST: Minister what do you say to some comments that Australia doesn't in fact have the capacity to deal with an increased number of Chinese tourists coming into the cities, especially from the smaller areas?
STEVEN CIOBO: What we see is great news in terms of the supply pipeline in Australia, in other words what we know is that we're seeing more investment in hotels in Australia to help meet the surge and demand that is coming from countries like China. That's great news, part of the reason it's great news is because every new hotel that's built in Australia represents, of course, many jobs around the construction side, and then when the hotel's operating many more jobs to actually be there involved in the operation of that hotel. For me as Australia's Tourism Minister I can look at 400 jobs, associate with a mine, I can also look at 400 jobs associated with a new hotel. Getting increased visitation into Australia, especially from markets like China simply means more jobs for Australians and more economic growth in Australia. So it's a very big positive.
JOURNALIST: Minister I understand that this visit here focuses on some of the smaller towns, smaller destinations for example, in Northern Queensland, how are these smaller towns, and cities going to benefit from this particular agreement?
STEVEN CIOBO: I want to make sure that China understands that Australia isn't just about Sydney, it's much broader than that. The opportunities in Australia represent opportunities from Cairns all the way down to Tasmania and across to Western Australia. We see investment, for example, in regional airports, like the Gold Coast, like the Sunshine Coast, expansion in ports like Cairns. As well as, of course, the main power hubs being Sydney and Melbourne. They're all working constructively together, many of them represented here on this delegation to sell the message that Australia wants to continue to drive inward investment. Wants to continue to drive inbound passenger numbers, wants to see the expansion of the tourism industry, which ultimately provides economic growth and job opportunities for Australians.
JOURNALIST: Is there a long term number down the line for how many Chinese tourists in a year you could seek to attract?
STEVEN CIOBO: Australia currently attracts about 1.2 million Chinese - they're our highest yielding market segment – the second region from where most tourists come from. Certainly China represents incredible potential for Australia's tourism industry. It's not the only market though - there's traditional markets that we rely on from Europe, for example, like Germany and the UK as well as North America. Our staple, which of course, is New Zealand where most tourist numbers come from. They can all work together to make sure that our tourism industry goes from strength to strength. One of the key messages the Turnbull Government has had is on the rebalancing of the Australian economy. We know we've just come through the resources, energy, investment bonanza that we saw. But with the correction that came with that commodity cycle coming to an end we must put emphasis on super growth sectors like the tourism industry. That's what I'm focused on doing, that's what the Coalition's focused on doing. And this delegation, and indeed the Year of Australia China Tourism, is an opportunity to continue growing that sector which is a staple for many families, and, of course, a great employment provider for everyday Aussies.