Media release

Australian Minister for Trade, Mark Vaile

Friday, September 1, 2000

Opportunities in Central Europe

Trade Minister, Mark Vaile, has underlined the opportunities for Australian investors and exporters resulting from Central Europe's large-scale privatisation programs.

Mr Vaile said opportunities abounded in the transition economies of Poland, the Czech Republic, Hungary, Romania, Slovenia, Slovak Republic, Bulgaria, Lithuania, Latvia and Estonia, all of which are negotiating to join the European Union.

Mr Vaile said a paper produced by his Department and Austrade, in the TradeWinds series detailed the current state of play in the region as well as for each economy.

"The pace of privatisation and economic reform is quite impressive," Mr Vaile said.

"Some of these countries such as Hungary and Estonia now have private sector involvement in economic activity approaching that of most Western countries. In a number of countries, however, governments still have a way to go in their privatisation programs."

Mr Vaile encouraged companies to be alert to the many opportunities arising from privatisations under way in the region.

As well as buying enterprises, there are opportunities for consultancies on privatisations and with restructuring of companies undergoing privatisation. Opportunities also exist to provide services as a result of the deregulation and public sector reform programs running parallel with privatisation.

"While these countries are not in our region, companies should not discount them too hastily. For some, joining the EU is on the cards in the next four or five years. So what we're ultimately looking at is a market approaching 500 million people.

"These countries have a competitive labour force, and steadily improving economic infrastructure and institutions to underpin a market economy."

Copies of the paper may be obtained by contacting Jane Monico on 02 6261 3114.