Response to Australia’s position in becoming the food bowl of Asia

The Export Council of Australia (ECA) acknowledges the opportunity increasing global food demand presents to Australia and supports the Australian Government’s initiative to develop a National Food Plan, which will promote a more highly integrated approach to government food policy along the supply chain.

The ‘food system’ is shaped by many factors including population growth, economic conditions and changing food preferences. The value of world demand for food is expected to increase 77 per cent by 2050 with most of this growth occurring in Asia where demand will double. By 2030, Asia’s middle class will reach 3.2 billion people who will be demanding higher quality, protein-rich foods such as meat.

Given Australia’s advanced agriculture sector, which is characterised by cutting edge farming techniques and technologies and sophisticated biotechnology innovations, as well as our vast amounts of arable land and our proximity to Asia, Australia has the potential to be well positioned to meet Asia’s growing food demand.
That being said, the ECA believes there are still improvements that need to be made in terms of reducing red and green tape, as well as reducing the bureaucracy which inhibits companies’ ability to do business efficiently.

Moreover, the ECA encourages the Government to address the shortfalls we will inevitably face in terms of food producers access to technology, skilled labour and the construction and maintenance of important infrastructure.

While the completion of Free Trade Agreements (FTAs) with key trading partners is an important component in increasing Australia’s competitiveness, the ECA believes that significant investment also needs to be made in the following areas:

• Reducing the red and green tape that hinders Australia’s ability to facilitate trade efficiently
• Investment into improving infrastructure across Australia to facilitate trade flows
• Government support to improve areas of productivity and efficiency in Australia’s production capabilities
• Educating Australia’s food export community on how to effectively do business with Asia 
• Building awareness of cultural differences between Australia and each individual Asian market 
• Assisting companies in developing key relationships with buyers and government officials in market

In response to much of the talk about Australia’s position in becoming the food bowl of Asia, the ECA will be launching a national Agribusiness Committee to work with agribusiness exporters in putting a “Voice” to Government on realistically, how Australian can work towards the next “Food Boom.” The first committee meeting will be held in Brisbane in June 2013.