Australia Week in China (AWIC), Australia's largest ever trade mission beginning on Monday in 12 Chinese cities, is expected to impress Chinese business partners and consumers and showcases the importance Australia attaches on China, officials said.
Australian Minister for Trade and Investment Steve Ciobo said in a statement that AWIC will "drive export sales and investment into Australia, creating local jobs and driving economic growth."
More than 1,000 businesses, mostly from small and medium enterprises, will make up the record delegation that will promote Australian trade, investment, education, and tourism in Australia's biggest export market.
Minister for Small Business and Assistant Treasurer Kelly O'Dwyer said Australia's deepening economic relationship with China offers exciting new potential for small and medium sized businesses to expand.
"The Australian government is actively encouraging our SMEs to think beyond our own borders and to consider export opportunities into major markets, and there are none bigger than China," she said.
"The historic China Australia Free Trade Agreement with its substantial tariff cuts for Australian exports and other concessions in areas such as services, greatly enhances our competitive position in a market which is transitioning to a more consumer-driven growth model," she said.
The five-day AWIC 2016 is held less than four months after the China-Australia Free Trade Agreement (ChAFTA) entering into force on December 20, 2015.
Under the ChAFTA, more than 86 percent of Australian goods exports can enter China duty free, rising to 94 percent in January 2019 and 96 percent in January 2029. Australian service industries also benefit from enhanced access, and flows of two-way investment are set to increase.
"Advances in e-commerce for instance provides the platforms for Australian SMEs to cost-effectively take their wares global. China's massive online trading platforms like JD.com and Alibaba's Tmall provide virtual shop-fronts for Australian businesses to hundreds of millions of Chinese consumers, who increasingly place a premium on our high quality goods and services," O'Dwyer said.
AWIC 2016 is the second Australia Week in China following that held in 2014, which saw some 700 delegates attending and generated around 1 billion AU dollars (755 million U.S. dollars) in export sales and 3 billion (2.26 billion U.S. dollars) in investment.
"We expect AWIC 2016 to generate similar outcomes and be the catalyst for significant export sales, as well as investment into Australia, further driving jobs and growth," Ciobo said.
China is also Australia's strongest tourism market and last year the number of Chinese visitors to Australia topped 1 million for the first time.
"This provides great scope for our SMEs to tap into this tourism spending in areas such as food and beverage sales, the provision of accommodation, transportation and unique tourism experiences," Minister O'Dwyer said.
AWIC 2016 will feature over 140 events across 12 cities including Beijing, Guangzhou, Hong Kong, Shenzhen, Xiamen, Shenyang, Hangzhou, Shanghai, Shenzhen, Chengdu, Yiwu and Jiaxing.
Activity is scheduled across eight business streams: agribusiness, financial services, health and aged care, innovation, education, urban sustainability and water management, premium food and beverage and tourism.
"The demand for services in China will also grow exponentially and Australia as a services economy has an enviable international reputation in the provision of high quality services across a wide array of areas," O'Dwyer said.
"Services account for around 75 percent our GDP but less than 20 percent of our exports so this presents a fertile area for potential growth and new job opportunities in this critical post-mining boom period. SMEs are strongly represented across services capability that is well matched to growing Chinese demand," she said.
This year the program for AWIC has a strong focus on innovation across all streams, reflecting synergies between Australian government's National Innovation and Science Agenda and China's greater focus on this field.
