With the pending June 30 deadline for many of the current government schemes and spending approaching, the Australian federal budget is still a relevant point of conversation for many businesses and industries.
The budget itself is never without controversy with funding cut from one area and boosted in another. The decisions made by Treasurer the Hon. Joe Hockey and his department are influenced by the country’s current economic state and the country’s need to sustain growth.
It will always be argued that money should have been spent elsewhere or saved in another way. The federal budget must acknowledge those key industries which will benefit Australia and have a likelihood to:
One of these such industries is trade and investment, particularly from international business. Trade and investment is imperative to Australia’s future and this could be the reason why an $18 million injection into a series of events hosted by Austrade, titled ‘Australia Week’ has been approved by the government in the recent budget.
The reason behind this substantial contribution? Australia Week has proven its worth in gaining interest and secured investment into Australia through its recent “Open for business” programme targeting India and China.
The Australia Week series of events began as an initiative in 2004 initially focusing on the US market with the well-known G’day USA showcase taking the spotlight. Since its launch, the Australia Week event has somewhat matured and grown with the times by shifting its focus from tourism to international investment.
This shift in focus for Australia Week is a clever move by Austrade. Tourism has been and still is a strong influence towards the success that Australia has in building a reputation as a fantastic destination for travel, lifestyle and yes even investment. However, it is the investment element itself which is providing Australia financial security. It is concrete money into the Australian economy which the government can budget on.
The Australia Week series of events has expanded its reach over the previous years including biannual events between India and China “To broaden engagement and communication with a number of markets that are crucial to Australia’s economic future.” As explained by Trade and Investment Minister Andrew Robb.
The $18 million will be assigned to Austrade and allocated on expanding the Australia Week series which includes promotional events and trade missions for the United States, India, China and ASEAN (Association of Southeast Asian Nations).
Considering that an estimated $884 million worth of commercial agreements to Australia was signed up at last year’s Australia Week in China program and using this figure as a reference point, for an $18 million dollar spend, this would give the Australian Government an $866 million profit. Not a bad return on their ‘investment.’