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Trade ties with Asia 'critical' for a successful economy

10 April, 2014

On Tuesday 8 April, Minister for Trade and Investment Andrew Robb and his South Korean counterpart, the Minister for Trade, Industry and Energy Yoon Sang-jick, formally signed the Korea-Australia Free Trade Agreement (KAFTA) in Seoul.

This comes on the back of the successful conclusion of negotiations for an Economic Partnership Agreement with Japan, our second biggest trading partner, which the Abbott government announced this past Monday 7 April.

"The government's swift conclusion of these historic agreements sends a strong signal that Australia is indeed open for business," said Robb.

"With one in five Australian jobs linked to trade, these agreements are good for the economy, good for growth and good for job creation."

Independent modelling commissioned by the government shows that KAFTA will create at least 15,000 jobs between 2015 and 2030. In 2015 the modelling shows job gains of 1750, with average gains of 1000 in each and every year out to 2030. 

The modelling also shows that that KAFTA will add $650 million dollars to the Australian economy annually once in full force.

Agricultural exports to South Korea are expected to be 73 per cent higher after 15 years as a result of the FTA and overall exports to South Korea will be 25 per cent higher.

"Building stronger trading relationships in Asia is critical to Australia's economic future," Robb said. 

"Signing KAFTA today takes us closer to realising our goal of finalising FTAs with our major North Asian partners – China, Japan and South Korea – which together account for 37 per cent of Australia's overall trade and two-thirds of our total goods exports."

South Korea is Australia's fourth-largest trading partner, with bilateral trade worth $32 billion in 2012.  KAFTA will significantly boost Australia's position in this major market where competitors like the United States, European Union and ASEAN countries are already benefitting from preferential access.

On entry into force of KAFTA, 84 per cent of Australia's exports (by value) to South Korea will enter duty free, rising to 99.8 per cent on full implementation of the Agreement. There will also be significant new market openings in services and investment.

Robb expects KAFTA to be in force by the end of this year.

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Lou Furbadamo | Wednesday, April 16, 2014, 11:40 AM
All this dizzying free trade wheeling and dealing, is mystically, pluck the bunny out of the hocus- pocus hat, too good, powerfully intriguing stuff! But, so much for previously deceptive, Clever Country reassuring hype and spin, as we’re being “crazy plan sold down, de-industrialised and de-structured” by our continued sell out, sapping big governments. To inevitably, ”excel as long term, failed innovative also rans” and doomed strategically inferior, serf subservient, mundane tourism, agriculture and unsustainable quarrying, mining and energy exporter! Otherwise, we’d be increasing tariffs and other protection for our currently floundering high-tech contributors, such as the car, components, air craft, submarine and defence industries? Instead of deceiving with promises of fanciful, incomparable or laboratory type future achievements and delusional new niche industry replacements! Sadly, our naively denied “Paradigm Australis” reality, is that if we’re uncompetitive and hence failure at current manufacturing technology, we’ll be similarly uncompetitive failures at future advanced technologies! Because all the existing, insurmountable structural costs burdens and overall handicapping penalties, that have previously impeded and failed us, will insane governments, still be there! So, given that our duplicating, over regulated, inefficient and wastefully flawed political system, has been unable to world best practice provide a viably competitive, level operating field for Australian manufacturing. Continued industry sell-out and demise, with resulting growing unemployment, lowering living standards and government revenue is inevitable. So too, the reactive tax hikes, cost gouging, loss of services, political spin, hype, blatant lies and deception. Such that if you wait long enough, the damning truths always come out to viciously bite! Pity our culpable, snorting multi sell-out governments, don’t have to compete and survive in the cut throat international market place, like private industry and true national wealth generators. Sadly, not many local yokels can detect, understand or effectively oppose our rot. However, the recent eye opener, free trade deal’s irresistible corner stone reliance lure, after supposedly seven years of hard plotting “work and tough negotiations”, on sacrificially tossing in the extinguishing car & manufacturing industry’s 5% tariff reduction “carrot” and other previously prudent local protection mechanisms. Treacherously tells us, all we needed to know about this con job and our low liberal, betraying, joke bestowing Dark Sir Knights? Talk about a conniving, rigged set up! Left out, rice growers, may well gripe and complain, but so too would the far more important, higher employing invaluable car companies, if they still had genuine local interest?? Otherwise, not pre-consigning the concocted failure and terminal end of still perfectly salvageable Australian car manufacturing and component suppliers. How could, our deplorable Gov. wheeler- dealers, realistically, make such foreign attractive “foul chalk for cheese” gullible concession deals? The more astute and opportunistic foreigners, must have seen our coalition country bumpkins and wood duck pollie bimbos coming for miles? No wonder the Japanese were incredibly able to pretend forego their bloody whale hunts, for now! Crucially, imagine our car manufacturer’s impression, the shocking impact on their future local viability calculations and recent exiting planning decisions, when earlier privy informed of this current liberal trade and open for mug’s sell-out business eventuality? Clearly, they’d have had to compliantly fait accompli, prior collude commit pulling up stumps for the government, to quietly benefit and minimise objections and furore, before treacherous, fan fair, signature deals could be mug conceded. Continued 2/2.
Lou Furbadamo | Wednesday, April 16, 2014, 11:43 AM
Continued 2/2. Why would Toyota, Ford and GM persevere with Aussie manufacture and jobs, when our conniving government was determined to continue pulling the forever internationally uncompetitive, doomed rug from under them and better still; Clueless hand them our cheap “open businesses” on a uniquely exploitable, bigger scale sell out plate anyway! Way You Go Primary & Farming Industry “clever basket case,” agricultural and simpleton industry based , backward Bumpkin Dodo Oz! Because tens of thousands of vanishing Aussie Auto industry jobs have been effectively, dastardly sold out to incredibly clinch these overall poor, dopey delusional, “destructive free trade deals” for local coalition pet industry miners, farmers and primary producers? Conversely, all the extra activity from raised Jap cheese quotas, will surely, laughably absorb all our lost, high tech, proper conventional manufacturing jobs? Hah! Obviously, our glorious, self gratifying, crude agricultural pollie snorters, didn’t bother calculating how much, much more the steep rise in unemployment, job dissatisfactions, early retirements and increased social welfare dependence will gravely impact and ultimately cost this formerly generous-hand out nation! Seeing that most other previously more dire and vulnerable world economies have picked up and improved. You’d think our gun ho lot would’ve worked out why, our recent free trade liberalisation policies have coincidence driven Australia’s economic activity, employment and revenues backwards and condemned former surplus budgets to long term, “never, never deficits”. So welcome to our not so clever, sold down the fiscal gurgler, fast coming, “lower world”; quasi Moo, Moo Cow! Mush Cheese and unsustainable Dig a Digger Quarry, Low Tech inevitable, “Big Bananananana Republica Australiana”? You’d think even morons could suss out, that an Aussie bird in the hand, is worth dozens in the foreign, wild Asian bush? Never could we’ve sanely imagined that another incredible, Aussie Leadership, would belatedly, Don Chipp bastardly, misogynist make that appalling, self indulging, Brighton Beach esplanade, all expenses, comfy retired, long nosed Joke Juliar Sheila & Co., look so relatively frikin desperation good? Way you go, future opportunity depriving, social conscience depraved, culpable, Budgie Boy Capital Punishable Traitors! Because our cocky pretender, condemnation gurus, are the only clueless ones ever! To insanely, deliberately, Ta! Ta! their nation’s invaluable, hard won, established, virtually irreplaceable, working car manufacturing and hundreds of thousands of jobs! What a dumfounding, sacrilegious waste and pounding to our future employment and prosperity. Shame on them for being so gullible and unconscionably un Australian! Cause as Freddy Mercury might heavenly dirge; “We’ve another ten thousand jobs down and another ten thousand gone and another ten thousand bite the Dust. Oohh!”. Seriously, how many more “nuovo destitute” and despairing hidden unemployment resulting suicides, will our “we’re all right Jack and we don’t care!” Jesuit Paradigmers, callously take responsibility for? They’ll morbidly, soon have their very own doomsday, celestial PM. cricket 11, before the social and economic daft grim reaper know it! Pity there’ll be no immediate Accountability Capital Dues! In the meantime, where’s that pretender Man from Wentworth, why isn’t he speaking up and showing true leadership in this atrociously festering national mess? Better still, why not sensibly proven, China Century Style, traitor execute them on masse, to achieve desperately needed positive, exemplary cultural change and communal benefit? So, “Get your Hang’em Budgets, Drinks, Peanuts, Pies, Pasties, Hot Dogs, spicy salted neck Jerky and Popcorn here!” Cheers, Mongrel Pollie Industry Sell-out and Conspiracy Retribution Seeking, Furbo!