High Commissioner Harun

Distinguished guests

I am very pleased to be here today at the official opening of the Bangladesh Festival. 

And I am particularly delighted to congratulate Mr Chowdhury on his recent appointment as Commerce Minister of Bangladesh and to warmly welcome him to Australia. 

• Pleased that you are visiting Australia so early in your new role – indeed, I believe Australia is one of your very first overseas destinations as Minister for Commerce. 

Your visit is particularly welcome following that of Prime Minister Khaleda Zia and Foreign Minister Morshed Khan for CHOGM in March 2002.

Australia is proud of the association that we have with Bangladesh. 

I say that not predictably or because of our common historical heritage - our membership of the Commonwealth, our shared love of cricket and so forth – but rather more particularly.

• Australia was the first Western nation to recognise Bangladesh’s independence in 1971.
• And one of the first countries to commence a formal development assistance program with Bangladesh. 

Ladies and gentlemen

Development assistance has been one of the main pillars of our relationship.  Australia’s program with Bangladesh is in its thirty-second year and is worth some A$32 million per annum. 

Another important pillar of the relationship is commerce.  Australia is committed to building a mutually-beneficial trade and investment partnership with Bangladesh.

The presence of so many Australian companies at this opening of the Bangladesh Festival - an excellent initiative, let me emphasise, for which Bangladesh deserves full credit - is an important way we as Australians demonstrate our commitment to that partnership.

Another is the decision we took to grant Bangladesh, along with a number of other developing countries, duty- and quota-free entry for their products to our markets from 1July 2003.

A technical study by the Australian Productivity Commission assesses that Bangladesh’s exports to Australia could increase between two and a half and eleven times, depending on the capabilities of Bangladesh exporters and global economic trends.

This fair will help Bangladesh take fullest advantage of thecomprehensive and unqualified access to Australia’s markets that its products now enjoy. 

It shouldset Bangladesh firmly on the road to achieving its export potential in Australia.

Let me now say something about Australia’s commercial role in Bangladesh.

Australia’s main merchandise exports to Bangladesh are currently a range of quality food products, fertilisers and zinc.  I am committed to enlarging this trade.

Already, Australia is exporting some high-tech goods to Bangladesh and recent successes include:

• provision of a check-in counter and baggage handling system at Dhaka’s Zia Airport;
• road-marking and neon signage in northern Bangladesh;
• digital electric meters to Bangladesh Power;
• and a UV water treatment plant in Sirajgonj district.

Our services exports to Bangladesh are also playing role in Bangladesh’s economic development.  As a prime example, Australia is becoming increasingly popular with Bangladeshis seeking an education overseas.

In Australia, Bangladeshi students find excellent institutions, an embracing multicultural society and a safe living environment, all at a relatively lost cost. 

With these advantages, Australia can confidently expect to host a growing number of Bangladeshi students.

They are very welcome.  We are proud to be contributing in this way to strengthening Bangladesh’s human capital base.

Australian investment focuses particularly on providing Bangladesh with the energy, notably coal and LPG, it needs for continued growth.  An Australian company will shortly open the first LGP filling station in Dhaka.

Ladies and gentlemen

Bilateral development assistance and trade and investment are central to Australia’s commitment to its partnership with Bangladesh.  But that partnership is increasingly influenced by the global environment in which it operates.

As we well know here in Australia, there are significant economic gains to be had from participating in global trade and investment.

Australia is a big country with a small population - our prosperity has always relied on being able to sell our products to overseas markets. 

We are a country with great natural resources, productive agriculture, efficient industry, high-quality service industries, highly-developed research and development and a well-educated workforce. 

To make the most of these assets, Australia needs an equitable, effective, predictable set of global trade rules to ensure fair and secure access to foreign markets.

That is why Australia pushes hard to improve the rules and to secure market access gains through the World Trade Organization.

Despite the East Asia financial crisis and other challenges, Bangladesh has maintained a very praiseworthy rate of economic growth. 

You can be sure that your commitment to pursuing economic openness and liberalisation has underpinned your economic performance. 

You are beginning to reap the benefits because open, transparent, liberal economies in the medium to longer term are always more successful in attracting investment from around the world.

I urge you to continue down that track.  

Ladies and gentlemen

I know that agricultural trade liberalisation is an important issue for Bangladesh.

There is no question that trade liberalisation, particularly in agriculture, has the potential to lift millions out of poverty world-wide.

• The World Bank estimates developing countries would gain about US$100 billion a year if developed and developing countries removed all their trade barriers against developing country exports.
• This would far exceed the US$57 billion developing countries receive each year in aid.

Australia has been at the forefront of championing the benefits of and working to negotiate reductions in trade protectionism.

We will continue to promote the benefits for developing countries of trade liberalization in agricultural products.

• Including through ongoing work with the Cairns Group of agricultural fair trading nations and the Doha Round of trade negotiations.

Australia is in Geneva and in key capitals working to ensure that the level of ambition for the Doha round is kept high - working with developed economies and developing economies alike, including the G20 group of developing countries. 

With our partners in the Cairns Group, we are keeping pressure on the major agricultural subsidisers - EU, US, Japan – to live up to the Doha mandate.

Only last month I chaired a meeting of the Cairns Group in Costa Rica.

• And let me assure you that the resolve and commitment of the Group remains strong - and focused on the objective of developing a framework text on agriculture hopefully by the middle of this year.

Our hopes for progress in the Doha Round over the past year have been hampered by the less ambitious approaches of some WTO members. 

But I think we are starting to see signs of the Doha process moving in the right direction. 

Since Cancun WTO Members have reaffirmed their commitment to the Doha round and the work of the negotiating groups recommenced last month in Geneva.

And Members are working towards agreeing to a negotiating framework for agriculture and non-agricultural market access by mid year.

We look forward to continued cooperation with Bangladesh and all WTO members in reaching an ambitious and comprehensive outcome for the Round. 

Ladies and gentlemen

Much has been achieved in the 33 years since Bangladesh’s independence

• There have been challenges along the way not just for Bangladesh but for all of us in the Asia-Pacific.
• Australia is proud to have been a steady friend and partner to Bangladesh from the start.

We look forward to continuing our cooperation with Bangladesh:

• through the links and connections that will come from this festival;
• through the newly-formed Australia-Bangladesh Chamber of Commerce and Industry in Dhaka, many of whose members are here this morning;
• through government links and bilateral cooperation on economic governance and other issues important to Bangladesh’s future;
• and through the strong and abiding links created by students and business people.

Mr Chowdhury, once again welcome and best wishes for a productive and interesting visit to Australia. 

Thank You.