Exporters fish for new markets - Statistical Data Included

Business Asia, Sept 13, 1999 by Geoff Upton

GEOFF UPTON(*) comments on South Australian export initiatives into Asia

South Australian exporters deliver to 34 different markets and are not as dependent on Asia as some parts of Australia.

However, export sales to China fell by 8.7 per cent in 1998-99, by 12 per cent to ASEAN (Association of South East Asian Nations) but by only 1.4 per cent to Japan compared with 1997-98 figures.

South Australia's exports to Japan have been driven by seafood companies, such as Australian Tuna Fisheries, which exported A$12 million of harvested tuna during the past year.

Australian Bight Seafood exports live lobster, prawns and tuna to Japan, Hong Kong and China worth about A$15 million a year. OYSA, the South Australian Oyster Growers Co-operative, airfreights a container of live oysters every week to Japan.

IT&T is also a strong and growing sector in South Australia and is typified by Legend Performance Technology Group, which is Australia's largest manufacturer of memory and video accelerated cards.

In the manufacturing sector, Minelab Electronics exports humanitarian demining products worth A$3 million (metal detectors and accessories) into Cambodia and Laos.

Australian engineers are active across Asia. PPK Environment & Infrastructure was recently awarded a US$700,000 technical feasibility study for a new tolled expressway in South West China, linking the cities of Chongqing and Guiyang.

Adelaide-based Kinhill Engineering has won a number of World Bank, AusAid and Asian Development Bank projects, including a A$5 million hazardous waste management project in Hyderabad, India.

South Australia also has a well-developed medical and health service sector.

Developing training programs suitable for Asian cultural environs has been a growing activity for universities and TAFE colleges based in Adelaide and their commercial partners.

The South Australian economy is heavily dependent on expanding export capability for continuing economic development and growth. Increased operation between federal, state and regional governments to support local companies has become a critical factor to support and assist the private-sector enterprises in South Australia in their international marketing activities.

From the export successes to date and the new industry initiatives in strong South Australian sectors such as agribusiness, water treatment, IT&T, education and training -- and the formation of air and sea freight export councils -- mean the signs look promising for further expansion into the reemerging Asian economies.

With insight and continuing involvement in the region, South Australian companies will be well placed to take advantage of the economic upturn across Asia.

(*) Geoff Upton is the state manager for Austrade in South Australia.