Speech
Keynote Address by to the Australia-Fiji and Fiji-Australia Business
Councils
14 October 2002
Fiji: Ready and Open for Business
Introduction
Thanks very much Ross. Prime Minister, Ministers, distinguished
guests and ladies and gentlemen.
Can I say first of all that it's a great honour to share the podium
with the Prime Minister of Fiji, and Prime Minister you are, as you
know, always welcome to Australia and specifically to Canberra. We're
delighted to have you and your Ministers here. I'm afraid it's a
rather busy day as it's turned out or busier than we had expected
it to be when we made our plans, but nevertheless we're thrilled
to have you here.
I'm especially pleased also have my friend the Foreign Minister
who has been such a good interlocutor for me over the last eighteen
months or so. We've had a lot to do with each other. We've built
quite a friendship and so it's very nice to see him back in Canberra
again as well.
As Ross said in his introduction, I do apologise for having to leave
early today, but we have a National Security Committee of Cabinet
which begins at 9.30 and you can, I think, all understand why that's
going to be rather an important meeting for us.
Indeed the tragic Bali bombing is a very stark reminder of how important
it is for all countries regardless of their geographic location
and regardless of their size to implement national measures against
terrorism.
In August, under the very able chairmanship of Fiji's Prime Minister,
the Pacific Islands Forum adopted the Nasonini Declaration.
This Declaration committed all members of the Forum to play their
part in global efforts to combat terrorism and to implement internationally
agreed anti-terrorism measures.
Australia will continue to work very closely with Fiji and other
countries in the South Pacific in this area.
We are committed to helping all the countries of the region to introduce
national legislation and develop national strategies to combat this
heinous crime of terrorism, as well as other transnational crimes.
At the Forum, South Pacific leaders recognised that immediate and
sustained regional action was essential in the current security environment.
Sadly, no part of the world not even the South Pacific can regard
itself as being immune from terrorism.
Nor can any part of the world ignore its obligations to fight this
scourge.
Those of you who attended last year's forum will recall that I wasn't
able to be present, and I spoke to you by means of a video recording.
So can I say although I'll be here very briefly today I do much prefer
to address you on the spot you can't rewind me you can't fast-forward
me and the worst thing of all is you can't turn me off
So today I'd like to talk to you about some broad considerations
which are at work in the government-to-government relationship between
our two countries. One way or another they of course do impinge on
what businesses do.
Australia's relations with Fiji
Just over a year ago Australia lifted its bilateral sanctions against
Fiji we were the first country to take this step in response to
Fiji's return to democratic processes.
I'd like again to congratulate Prime Minister Qarase for the leadership
he exercised in bringing Fiji to that point.
I recognise that the election and the way that the government was
formed didn't escape some questioning.
Nevertheless, we're encouraged that these issues are being dealt
with, as they should be, through the legal system in accordance with
Fiji's constitution.
As a member of the Commonwealth Ministerial Action Group I'm the
Vice-Chairman of it I was also pleased to contribute to the Commonwealth's
decision to lift Fiji's suspension from the Councils of the Commonwealth
last December.
This enabled Prime Minister Qarase to attend the Commonwealth Heads
of Government meeting at Coolum hosted by Australia.
Over the past year, Australia and Fiji have moved quickly to re-establish
our strong and productive relationship.
We've resumed our full aid program, which had been limited for a
time to humanitarian projects only.
We've re-startedscholarships, training and the Australian Youth Ambassadors
for Development program.
We are working steadily with Fiji to develop new programs in the
health, education and legal sectors.
We continue to provide support to civil society organisations in
Fiji that aim to develop partnerships, build social cohesion, resolve
conflicts and promote the rule of law.
We've resumed our extensive Defence Cooperation Program with Fiji
which will include training, advisory support and infrastructure
development.
In short, Australia and Fiji are truly back in business together.
Prime Minister Howard made this very clear in August during
the Forum meeting in Suva, when he congratulated Fiji on its recovery
over the past two years and reaffirmed that the bilateral relationship
between our two countries had been completely restored.
Australia and the Pacific Region
This leads me to the broader question of Australia's relations with
the Pacific.
Australia and the Pacific island countries are bound together by
ties of history, geography, and shared interests.
We frequently visit each other for business and holidays.
We share similar political and legal institutions a number of us
even the have same head of state.
Pacific issues are always high on my agenda and they get serious
attention from other senior members of the Australian Government.
Viewed from within the Pacific, I know that Australia looms large
as the region's biggest economy, principal trading partner, major
source of investment, and as a significant development partner.
Neither Australia nor the Pacific island countries can escape Australia's
bigness in the region.
It is pointless for Australians to lament our large presence in the
region and it is equally pointless for Pacific Islanders to resent
it.
That's why we want an open and mature relationship with Pacific island
countries a relationship in which we can all state clearly our intentions
and our aspirations.
A relationship in which we recognise the sovereignty and independence
of our partners, and their right to determine their responses.
I don't pretend that it's easy to draw a line between exercising
careful influence and encouragement on the one hand, and being seen
to be overbearing on the other or between assisting with advice
and financial support, and being perceived as imposing unreasonable
conditions on our aid.
Depending on who you ask, Australia is said to have not done enough
in the Pacific or to have done too much.
Yet in all cases, we consult with the elected governments, we try
to assist in ways which are suited to the unique circumstances and
needs of each country, and which are consistent with our common goals
of stability, rule of law and economic and social development.
And when things go wrong, especially when they go wrong next door,
we can't look the other way.
As the wealthy regional partner, Australia is clearly under an obligation
to offer development assistance to the Pacific island countries
and we're very pleased to do so.
Taken as a whole, the Pacific accounts for about one third of Australia's
overseas aid.
And I think this is about the right level. I don't expect this proportion
will decline, nor do I expect it to increase.
This should be sobering, when one considers the limited and finite
resources available to the Pacific countries and the rising numbers
and the expectations of their citizens.
Per capita GDP growth is faltering or declining in a number of countries,
but the quantum of external support, from Australia and elsewhere,
is unlikely to rise.
For this reason, a strong emphasis should remain on sound economic
policies, prudent resource management, good governance and sustainable
development.
This agenda's been widely accepted at least at the rhetorical level
in the region, including through the Forum Economic Ministers' Meetings
which I think are very productive and some countries have taken
steps to implement it.
A consistent and long-term effort though will be essential.
It'll be hard-going at times: we all know that prudent economic policies
don't yield immediate results and I have to say from bitter experience
they're not always very appealing to our electorates.
And good policies can't always eliminate the constraints posed by
distance, small scale and limited capacity.
Even the most ambitious governments will pause for thought when they
consider the added problems of fragmenting traditional authority,
youth unemployment, inadequate government services, including policing
importantly including policing, social and ethnic tension, urban
drift and more broadly unmet expectations.
But there is no alternative. We can't stop still, let alone retreat.
The forces of change are unstoppable and they are unavoidable.
Australia will do all it reasonably can to help.
Ultimately, though, the Pacific island countries are responsible
for making the hard decisions that will determine their futures.
Economic reform will be one of those hard decisions.
The Challenge of economic reform
All of us have learned that globalisation makes demands on domestic
institutions and regulations.
Traders and investors are concerned about issues such as political
stability, corporate governance and prudential controls, and they'll
move capital in accordance with their perceptions.
The growing integration of the world economy means that countries
must be creative and identify wealth-creating opportunities at the
global level.
Australia and Fiji share the challenge of ensuring globalisation
works to the benefit of our communities.
Australia's experience with economic reform hasn't been easy and
I mentioned that before but the substantial reforms to our economy
have enabled us to lift our ability to compete in the globalised world
economy.
Over the past twenty years, but particularly in the last half dozen
years, the Australian Government has undertaken economic reform across
the entire spectrum of policy, including tax, industrial relations
and fiscal policy including debt reduction.
The dividend from sound economic management and reform has been improved
international competitiveness.
As a result, our nation carries less debt and our people have more
job opportunities and better living standards than ever before.
Fiji's challenges include tackling the problem of its sugar industry
which the Prime Minister has already been discussing and which
clearly does need substantial reform. We know that with our own industry
we're not in quite the same situation, but let me assure you Prime
Minister, we do have some sympathy for you. Australia's sugar industry
has undergone some restructuring over the past decade but the government
has recently agreed to another restructuring package which will provide
financial support but conditional financial support conditional
that the restructuring proceeds.
A major challenge for Fiji will be managing the social impact of
reform finding new uses for agricultural land and new employment
opportunities for those currently employed in sugar.
Another challenge I should mention briefly I couldn't leave here
without mentioning it is Fiji's garment industry.
Much of Fiji's competitive advantage in Australia is derived from
the concessional access to the Australian market.
Now this advantage will be reduced substantially on 31 December 2004,
when Australia's tariffs for textiles, clothing and footwear items
will fall from 25 per cent to 17½ per cent, and the SPARTECA (TCF
Provisions) Scheme will end.
This fall in tariffs will mean significant changes for Australia's
textile, clothing and footwear industry, as well as for Fiji's.
We're encouraging our own industry to prepare for the change, and
I would urge Fiji to do the same, while there is some time still to
do that.
Conclusion
So ladies and gentlemen, there are challenges ahead. But can I
congratulate you the Fiji government, which has been doing an excellent
job, and the business community on all that you have achieved so
far.
Businesses have contributed to Fiji's stability and prosperity by
doing what they do best identifying new opportunities, adapting
to changed conditions and taking calculated risks.
Let me then encourage you to make the most of the opportunity over
the next couple of days to expand your business relationships to
build the ties between Australia and Fiji. They're ties that mean
a lot to me Fiji was one of the first countries I ever visited in
my life it's a country where I've enjoyed holidays, it's a country
with which I've had some interesting political dealings in recent
years, and it's a country though that I very much admire and love
and I always wish the people of Fiji well in the many and difficult
challenges they have. And I've been delighted to take the opportunity
to say a few words to you today.
Thank you very much.
This page last modified:
Thursday, 17-Oct-2002 11:02:41 EST
Local Date:
Sunday, 07-Sep-2008 16:18:34 EST
