Report to Parliament
Official Trade and Investment Mission to Thailand and China, including Hong Kong
22 September – 28 September 2013
The Honourable Dr John McVeigh MP Minister for Agriculture, Fisheries and Forestry
Why This Market?
Thailand...... ………….10
China and Hong Kong...... 10
Official Delegation Members...... 12
Trade and Investment Queensland Representatives In-Market ………...... 12
Business Delegation Members - China...... 12
Thailand
Site visit to Mitr Phol Sugar Corporation Ltd, Suphanburi…………………... 14
Site visit to Foodland Supermarket, Bangkok………………………………….15
Meeting with Mitr Phol Sugar Corporation Ltd …………………… …………..16
Queensland Government Trade Promotion Reception………….……………17
Beijing
Meeting with Mr Shijie Li, Vice-President, Shandong Luxin Investment Holdings Group Co Ltd………………………….19
Briefing with Meat and Livestock Australia, Australian Agricultural Counsellor and Austrade…………………………………………………………20
Meeting with Chinese Market Access Officials………………………………...21
Industry Lunch Roundtable to discuss Queensland Agribusiness investment and trade opportunities...………...…………………………………22
Meeting with Ms Wang Jian Hua, Chair, Yuxiangyuan Group……………….23
Guangzhou
Site Visit to Max Valu (Aeon) Supermarket…………………………………….24
Meeting with Mr Riqin Wu, Chairman, Ripengxin Business Development Shenzhen Co Ltd.…………………………………………………………………25
Lunch Meeting with Shenzhen & Guangzhou Seafood/Beef buyers delegation…………………………………………………………………………..26
Meeting with Ms Cheng Ping, Deputy Director General, Department of Agriculture of Guangdong Provincial Government…………...27
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Meeting with Guangdong Agribusiness Group Corporation……….………….28
Hong Kong
Meeting with Mr Alan Yu, CK Life Sciences…………………………………....29
Meeting with the Honourable Steven Ho, Member of the Hong Kong Legislative Council (Agriculture & Fisheries) and the Chairman, Federation of Hong Kong Agricultural Associations…….. …………………………………30
Hong Kong Investment Roundtable……………………………………………..31
Queensland Agribusiness Trade and Investment Promotion Lunch...……....32
Site Visit to Great Food Hall, Hong Kong……………………………………….33
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PROGRAM
Time in bold indicates local time Time in normal font indicates Brisbane time
Thailand 3 hours behind Brisbane Beijing 2 hours behind Brisbane Guangzhou 2 hours behind Brisbane Hong Kong 2 hours behind Brisbane
Sunday 22 September 2013 – Brisbane / Bangkok
2.00 pm Depart Brisbane for Bangkok 2.00 pm Travel time: 9hrs 20mins
8.20 pm Arrive Bangkok 11.20 pm Met by Ben Giles, Counsellor (Commercial), Austrade and Protocol Officer from Department of Foreign Affairs and Trade
Overnight JW Marriott Hotel Bangkok 4 Sukhumvit Road, Soi 2, Bangkok 10110, Thailand
Monday 23 September 2013 – Bangkok
6.00 am – 8.30 am Travel to Mitr Phol’s Suphanburi 9.00 am – 11:30 am ethanol/cogeneration co-production facilities at 109 Moo 10 Nongmakahmong, Danchang, Suphanburi Travel time: 2hrs 30mins
8.30 am - 11.30 pm Site inspection and discussions with Mitr Phol 11.30 am – 2.30 pm representatives
11.30 am – 2.30 pm Travel to Foodland Supermarket (Lard Prao 2.30 pm – 5.30 pm Branch) 2675, Moo 9 Lardprao Road, Khwang Wangtonglang, Khet Wangtonglang, Bangkok
2.30pm – 3.00 pm Supermarket visit to support a Queensland 5.30 pm – 6.00 pm mandarin sales promotion in Bangkok.
3.00 pm - 6.30 pm Travel to Grand Hyatt Erawan Bangkok and liaison 8.00 pm – 9.30 pm time Travel time: 1hr 30 mins
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6.30 pm - 7.00 pm Meeting Mitr Phol Sugar Corporation Ltd 9.30 pm – 10.00 pm executives: - Isara Vongkusolkit, Chairman - Krisda Monthienvichienchai, President - Peter Michener, Vice President - Mike Barry, Chief Executive Officer (Australia) Venue: Grand Hyatt Erawan Bangkok – 494 Rajdamri Road, Bangkok
7.00 pm – 8.30 pm Queensland Government Trade Promotion 10.00 pm – 11.30 pm Reception Venue: The Residence No. 302, M Floor, Grand Hyatt Erawan Bangkok - 494 Rajdamri Road, Bangkok
Overnight JW Marriott Hotel Bangkok 4 Sukhumvit Road, Soi 2, Bangkok Tuesday 24 September 2013 – Bangkok / Beijing
7.00 am Checkout from hotel and transfer to Bangkok 10.00 am Airport
8:10am Check in at airport 11.10 am
10.10 am Depart Bangkok for Beijing 1.10 pm Travel time: 4hrs 40mins
3.50 pm Arrive Beijing and transfer to China World Hotel 5.50 pm
6:00 pm Meeting with Mr Shi Jie Li, Vice President, 8:00 pm Shandong Luxin Investment Holdings Group Co Ltd Venue: China World Hotel, Beijing
Overnight China World Hotel, Beijing No 1 Jianguomenwai Avenue, Beijing
Wednesday 25 September 2013 – Beijing
7.30 am - 9.00 am Breakfast meeting with: 9.30 am - 11.00 am - Joy Tang, Meat and Livestock Australia - Dr Rob Williams, Australian Agricultural Counsellor, Department of Foreign Affairs and Trade - Susan Corbisiero, Austrade
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Venue: Private room, China World Hotel, Beijing 9.00 am - 10.00 am Travel to next meeting 11.00 am – 12 noon Travel time: 1hr
10.00 am - 11.00 am Meeting with AQSIQ (Chinese market-access 12 noon - 1.00 pm officials) Venue: General Administration of Quality Supervision, Inspection and Quarantine, 9 Madian East Road, Haidian District, Beijing
11.00 am – 12.00 pm Travel to hotel 1.00 pm – 2.00 pm Travel time: 1hr
12.00 pm – 2.00 pm Industry Lunch Roundtable to discuss 2.00 pm – 4.00 pm Queensland Agribusiness investment and trade opportunities Venue: Grand Ballroom, China World Hotel, Beijing
2.00 pm – 2.30 pm Liaison Time 4.00 pm – 4.30 pm Venue: China World Hotel
2.30 pm – 3.30 pm Travel to next meeting 4.30 pm – 5.30 pm Travel time: 1hr
3.30 pm – 5.15 pm Meeting and site visit with YuXiangYuan (YXY) 5.30 pm – 7.15 pm Holding Group Venue: Zhangjiawan Town, Tongzhou District, Beijing
5.15 pm – 6.30 pm Depart YXY to transfer to Beijing Airport 7.15 pm – 8.30 pm Travel time: 1hr 15 mins
6.30 pm Check in at airport 8.30 pm
7.30 pm Depart Beijing for Guangzhou 9.30 pm Travel time: 3hrs 15 mins
10.45 pm Arrive Guangzhou 12.45 am Thursday Met by Tong Wang, Trade and Investment Queensland pm Transfer to hotel - Four Seasons Hotel Guangzhou
Overnight Four Seasons Hotel Guangzhou 5 Zhujiang West Road, Pearl River New City, Tianhe District, Guangzhou
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Thursday 26 September 2013 – Guangzhou
8.00 am – 9.45 am Breakfast briefing with Mr Zijian Zhang, 10.00 am – 11.45 am Commissioner – China, Trade and Investment Queensland Venue: Four Seasons Hotel Guangzhou
9.45 am – 10.00 am Travel to supermarket 11.45 am – 12.00 pm Travel time: 15mins
10.00 am – 11.00 am Visit to Aeon Supermarket - MaxValue 12.00 pm – 1.00 pm Venue: 36 Machang Road, Zhujiang Xincheng, Tianhe District, Guangzhou
11.00 am – 11.30 am Travel to hotel 1.00 pm – 1.30 pm Travel time: 30mins
11.30 – 12.00 noon Meeting with Mr Riqin Wu, Chairman, Ripengxin Business Development Shenzhen Co Ltd Venue: Four Seasons Hotel Guangzhou
12.00 noon – 2.00 pm Lunch with Shenzhen/Guangzhou seafood and 2.00 pm – 4.00 pm beef buyers delegation Venue: Four Seasons Hotel Guangzhou
2.00 pm – 2.30 pm Travel to next meeting 4.00 pm – 4.30 pm Travel time: 30mins
2.30 pm – 3.30 pm Meeting with Ms Cheng Ping, Deputy Director 4.30 pm – 5.30 pm General, Department of Agriculture of Guangdong Provincial Government Venue: 135 Xianlie Dong Road, Tianhe District, Guangzhou
3.30 pm – 4.00 pm Travel to next meeting 5.30 pm – 6.30 pm Travel time: 30mins
4.00 pm – 5.15 pm Meeting with Mr Lei Yongjian, Secretary 6.00 pm – 7.15 pm General, Guangdong Agribusiness Group Corporation Venue: No 33 Dongguanzhuang Road, Guangzhou
5.15 pm – 5.45 pm Travel to train station 7.15 pm – 7.45 pm Travel time: 30mins
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6.20 pm Depart Guangzhou for Hong Kong 8.20 pm Travel time: 2 hrs
8.20 pm Arrive Hong Kong 10.20 pm Met on arrival by Ms Angela To, Commissioner, Hong Kong, Trade and Investment Queensland pm Transfer to hotel - Harbour Grand Hong Kong
Overnight Harbour Grand Hong Kong 23 Oil St, Hong Kong
Friday 27 September 2013 – Hong Kong / Brisbane
8.30 am – 9.30 am Breakfast meeting with Mr Alan Yu, Vice 10.30 am – 11.30 am President and Chief Operating Officer, CK Life Sciences Venue: Harbour Grand Hong Kong, 23 Oil St, Hong Kong
9.30 am – 10.45 am Liaison Time 11.30 am – 12.45 pm Venue: Harbour Grand Hong Kong
9.30 am – 10.45 am Meeting with Honourable Steven Ho Chun-yin, and the Federation of Hong Kong Agricultural Associations (Dr Beth Woods, DDG, DAFF) Venue: Harbour Grand Hong Kong
10.45 am – 11.00 am Travel to Conrad Hong Kong 12.45 pm – 1.00 pm Travel time: 30mins
11.00 am – 12:00 pm Queensland Agriculture Investment 1.30 pm – 2.30 pm Roundtable (hosted by DAFF representatives) Venue: Level 7, Conrad Hotel Hong Kong, Pacific Place, 88 Queensway Hong Kong
12.30 pm – 2.00 pm Queensland Agribusiness Trade and 2.30 pm – 4.00 pm Investment Promotion Lunch Venue: Level 7, Conrad Hotel Hong Kong, Pacific Place, 88 Queensway Hong Kong
2.00 pm – 2.20 pm Travel to The Great Food Hall, Pacific Place, 4.00 pm – 4.20 pm Phase II Queensway, Hong Kong Travel time: 10 mins
2.30 pm – 4.00 pm Officiate at the ‘Queensland Fresh & Fresher’
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4.30 pm – 6.00 pm Food Promotion at the Great Food Hall Venue: The Great Food Hall, Level LG 1, The Mall, Pacific Place, Phase II Queensway, Hong Kong 4.00 pm – 4.30 pm Travel to hotel - Harbour Grand Hong Kong 6.00 pm – 6.30 pm Travel time: 30mins
4.30 pm Check out of hotel and Transfer to Hong Kong 6.30 pm Airport Travel time: 1hr
6.00 pm Check in at airport 8.00 pm
8.45 pm Depart Hong Kong for Brisbane 10.45 pm Travel time: 8hrs 45mins
Saturday 28 September 2013 – Brisbane
7.30 am Arrive Brisbane
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WHY THESE MARKETS?
• Queensland is often referred to as the food bowl of Australia. Our agricultural sector is worth $15 billion annually to the Queensland economy and we export $6.3 billion worth of agriculture and food products every year.
• Queensland has considerable untapped potential to significantly increase its annual agricultural output to support the Government’s target of doubling production by 2040.
• Asia, as a close neighbour, is vitally important to our plans to make Queensland the engine room of agricultural growth in the region. The demand for food and fibre in our part of the world is rapidly increasing. The world’s population is estimated to increase from 7 billion to almost 9.3 billion by 2050 and much of this growth will be in Asia.
• Queensland is ideally located and positioned to service Asia’s growing demand. The State already has a competitive advantage in beef, broad acre crop production and tropical crop production, and a reputation for safe, clean, quality produce.
• Queensland’s long-standing relationship with Asia remains one of our most important features. As major investors and trading partners for Queensland, Thailand, China, and Hong Kong all play a significant role in shaping our future economy.
• The Queensland Government places significant value on these relationships and this mission demonstrated the commitment to strengthen existing relationships and create new business opportunities for the State’s future agricultural economic growth.
THAILAND
• Thailand is one of Queensland’s major export market destinations for the meat and horticulture industries, representing two thirds of Queensland’s total food exports to Thailand.
• Thailand is Queensland’s third largest export market for mandarins, after Hong Kong and Indonesia, valued in 2012-13 at $7.7 million.
• In 2012, as part of Global Market Initiative project, Trade and Investment Queensland coordinated a market visit to Thailand for Queensland mandarin companies to assess the consumer preferences for Queensland mandarins, undertake supply chain monitoring and increase the market share of mandarins in Thailand. In September 2013, further work was undertaken in Thailand with Queensland mandarin companies to improve product handling and launch a Queensland mandarin promotion at a major chain in Bangkok.
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• As one of the most important agricultural industries in Queensland and Australia, Queensland’s sugar industry is worth more than $2 billion a year in a good season. With 95 per cent of Australia’s raw sugar produced in Queensland, Australia is the third largest exporter of raw sugar after Brazil and Thailand.
• The Mitr Phol Group in Thailand is the world's fifth largest sugar producer. The Group has operations in Cambodia, Vietnam, China and Australia. In Queensland, the Mitr Phol Group acquired MSF Sugar Ltd in 2010. MSF Sugar Ltd operates mills in Maryborough, Gordonvale, Mareeba and South Johnstone.
• An inspection of Mitr Phol’s Suphanburi sugar mill provided an opportunity to obtain an improved understanding of advanced sugar milling practices and the integrated ethanol/cogeneration facilities operating at this mill; to consider the applicability of such technology and diversity within the Queensland sugar industry; and the operation of this multi-national company given their presence in the Queensland sugar industry.
CHINA AND HONG KONG
• As a member of the Northern Australia Ministerial Forum, and convenor of the Northern Agriculture Ministers Group, the Queensland Minister for Agriculture, Fisheries and Forestry hosted a delegation of Chinese business people in Cairns in June 2013. This delegation, together with market intelligence from Trade and Investment Queensland confirmed that an agribusiness trade and investment visit to China and Hong Kong would be well worthwhile.
• Mission delegates included representatives from Queensland’s agricultural and related sectors who participated to learn more about the emerging China market and establish new business relationships and development opportunities in these markets.
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OFFICIAL DELEGATION MEMBERS
The Honourable Dr John McVeigh MP Minister for Agriculture, Fisheries and Forestry
Mr Jack Noye Director-General, Department of Agriculture, Fisheries and Forestry
Dr Beth Woods Deputy Director-General, Department of Agriculture, Fisheries and Forestry
Mr Bruce Mills Chief of Staff, Office of the Minister
AUSTRADE REPRESENTATIVE IN MARKET – THAILAND
Mr Ben Giles Counsellor (Commercial) and Trade Commissioner, Austrade - Bangkok
TRADE & INVESTMENT QUEENSLAND REPRESENTATIVES IN MARKET - CHINA
Mr Zijian Zhang Commissioner, Trade and Investment Queensland, Shanghai Office
Mr Yong Huang Director, Trade and Investment Queensland, Beijing Office
Mr Tony Wang Business Development Director, Trade and Investment Queensland, Guangzhou Office
Ms Angela To Commissioner, Trade and Investment Queensland, Hong Kong Office
BUSINESS DELEGATION MEMBERS – CHINA
Mr Charles Burke Chief Executive Officer, AgForce Queensland
Mr Rob McConnel National Industry Leader, Agribusiness, Deloitte
Mr David Hassum Director, Integrated Food and Energy Developments Pty Ltd
Mr David Bondfield Owner, Palgrove Charolais
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Ms Prue Bondfield Owner, Palgrove Charolais
Ms Jo Sheppard Project Manager, Agriculture, Toowoomba and Surat Basin Enterprise
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SITE VISIT TO MITR PHOL SUGAR MILL (SUPHANBURI)
Date: 23 September 2013 Venue: Mitr Phol’s sugar mill at Suphanburi
ATTENDEES
Mr Peter Michener Vice President, Mitr Pohl Group Mr Mike Barry Chief Executive Officer, MSF Sugar Ltd Anan Dangchum Power Plant Director Mr Ben Giles Counsellor (Commercial) and Trade Commissioner, Austrade - Bangkok
MATTERS DISCUSSED • I undertook a tour of Mitr Phol’s Suphanburi sugar mill to obtain a better understanding of advanced sugar milling practices, and the related ethanol/cogeneration facilities at this mill and to examine the potential for wider adoption of such technology in the Queensland sugar industry. • This provided an opportunity to further research Mitr Phol Sugar Corporation’s major acquisition of MSF Sugar Limited in 2010, and its Queensland sugar milling operations in Maryborough, Gordonvale, Mareeba and South Johnstone. • The Suphanburi mill operations provided a first-hand demonstration of sustainable sugar industry development that meets Kyoto Protocol standards. • I discussed how the Queensland Government would encourage new technologies and greater diversity and risk mitigation within the industry. • I also observed how Queensland industry agronomists are supporting the Mitr Phol Group’s adoption of an integrated farming system approach to improve Thailand’s agricultural productivity.
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SITE VISIT TO FOODLAND SUPERMARKET CO. LTD.
Date: 23 September 2013 Venue: Foodland Supermarket Co Ltd 2675 Lard Prao Road, Bangkok, 10310, Thailand
ATTENDEES
Sanguan Termvivit Vice President, Foodland Supermarket Co Ltd
Supamit Surongsain Asst Vice President Marketing, Foodland Supermarket Co Ltd
Mr Edwin Lim Managing Director, Foodland Supermarket Co Ltd
Mr Sarot Chief Executive Officer, Super Fresh Import Export Co Ltd Assavapornchai
MATTERS DISCUSSED • At this major Bangkok supermarket, I launched a mandarin promotion being conducted across five retail outlets in Bangkok, including the Foodland Supermarket chain during September as part of the Queensland Government’s Global Markets Initiative project, “Increasing international competitiveness of Queensland mandarins to Thailand”.
• I held discussions with Foodland Supermarket management and store managers about Queensland Murcott mandarins, and spoke of Queensland’s range of high-quality fresh food which is supported by internationally recognised quality assurance programs to ensure products are delivered in good condition to consumers.
• I thanked Foodland Supermarket executives as well as Ms Susan Jenkins from Ironbark Citrus in Mundubbera for participating and supplying product for this mandarin promotion initiative, and discussed Queensland’s capacity to supply additional fruit and potentially beef products to satisfy Thailand consumer needs.
• It was also a good opportunity to speak with numerous shoppers about the quality of Queensland mandarins and other agricultural and fisheries produce from our State.
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MEETING WITH THE EXECUTIVE MANAGEMENT, MITR PHOL GROUP
Date: 23 September 2013 Venue: Executive Boardroom Grand Hyatt Erawan 494 Rajdamri Road, Bangkok
ATTENDEES Mr Isara Vongkusolkit Chairman, Mitr Phol Group
Mike Barry Chief Executive Officer (Australia), Mitr Phol Group
Krisda Monthienvichienchai President, Mitr Phol Group
Peter Michener Vice President, Mitr Phol Group
Mr James Wise Ambassador, Department of Foreign Affairs and Trade
Mr Tom Black Counsellor (Agriculture), Austrade
MATTERS DISCUSSED • During my meeting with the Mitr Phol Group’s senior representatives I discussed the company’s potential future plans in Queensland following the 2010 acquisition of MSF Sugar Ltd, which operates sugar mills in Maryborough, Mulgrave, the Tablelands and South Johnstone. • I also thanked the Chairman for the opportunity to visit their ‘state of the art’ Suphanburi mill earlier during the day and emphasised the importance of the sugar industry to the Queensland economy. • I outlined the Queensland Government’s recognition of the importance of further sugar industry investment, including adoption of innovative technologies, practices and diversification opportunities to ensure long-term sugar industry sustainability and profitability. • I discussed Queensland Government’s approach and policy position in relation to future development and diversification opportunities to support the State’s sugar industry.
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QUEENSLAND GOVERNMENT TRADE PROMOTION RECEPTION - BANGKOK
Date: 23 September 2013 Venue: The Residences, Grand Hyatt Erawan, Bangkok
VIP ATTENDEES Mr James Wise Ambassador, Australian Embassy, Bangkok
Ms Jennifer Allen First Secretary (Economic) and Head of Public Diplomacy Unit,
Mr Sanguan Termvivat Vice-President, Foodland Supermarket Co Ltd
Mr Edwin Lim Managing Director, Foodland Supermarket Co Ltd
Chaweewan Choawalert Director, Import and Sourcing, Big C Supercentre
Supavadee Nimmanakait General Manager, Import Produce, Central Food Retail Company Ltd
Mr Isara Vongkusolkit Chairman, Mitr Phol Group
Krisda Monthienvichienchai President, Mitr Phol Group
MATTERS DISCUSSED • This was a business networking opportunity to meet Thai importers, distributors and retailers of fresh food including meat and seafood and horticulture, together with senior Mitr Phol Group representatives. • I provided an opening address to the audience promoting:
o Queensland’s extensive range of fresh fruits, vegetables and beef. Our internationally recognised quality assurance programs, leading technologies and pest management systems ensure that fruits, such as fresh Queensland mandarins, can now be enjoyed by Thai consumers.
o Queensland Government places a high priority on building collaborative business relationships with Thailand, and the Government’s Global Markets Initiative project, “Increasing international competitiveness of Queensland mandarins to Thailand” is a demonstration of the benefits of this approach.
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o The importance of the sugar industry to the Queensland economy and the Government’s recognition of the need for the industry to invest in innovative technologies and practices to ensure long-term industry sustainability and profitability.
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MEETING WITH SHANDONG LUXIN INVESTMENT HOLDINGS GROUP CO. LTD.
Date: 24 September 2013 Venue: China World Hotel No. 1 Jianguomenwai Avenue Beijing, China
ATTENDEES Mr Shi Jie Li Director, Vice President, Shandong Luxin Group
Mr Jixu Lu Manager, Investment Business Unit Shandong Luxin Group
Mr Jian Fhou Shang (Joe) Investment Manager, Investment Business Unit, Shandong Luxin Group
MATTERS DISCUSSED
• This meeting provided a briefing with senior representatives of the Shandong Luxin Investment Holdings Group Co Ltd which is owned by the Shandong Provincial Government. • The Group expressed an interest in potential investments in Australian agribusinesses, particularly the dairy sector for milk powder production purposes. • I thanked the group for their interest and offered to provide an introduction to Queensland dairy companies and other key Queensland contacts for gaining further information about Australia’s highly regarded food safety and packaging regulations. • I outlined the Queensland Government’s commitment to encouraging additional investment in the agricultural sector to support a doubling of future production capability, and how Queensland provides an attractive and stable proposition for Chinese investors seeking investment security.
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MEETING WITH MEAT AND LIVESTOCK AUSTRALIA, AUSTRALIAN AGRICULTURAL COUNSELLOR AND AUSTRADE
Date: 25 September 2013 Venue: Private Dining Room China World Hotel No. 1 Jianguomenwai Avenue Beijing, China
ATTENDEES Dr Rob Williams Agricultural Counsellor, Department of Foreign Affairs and Trade Ms Joy Tang China Manager, Meat and Livestock Australia (MLA) Ms Susan Counsellor (Commercial) Trade Commissioner, Austrade Corbisiero
MATTERS DISCUSSED • I was provided with a briefing by the Beijing-based Meat and Livestock Australia (MLA) representative, Australian Agricultural Counsellor from the Australian Embassy, and Austrade on the strong growth in red meat exports to China and further growth opportunities together with existing market access issues. • I obtained specific information regarding red meat issues in relation to trade with China, including the following key topic areas:
o exponential growth in China’s red meat market o diversification of chilled and frozen meat cuts and how this is impacting on other markets
o clarification of Chinese statements in August 2013 regarding the growth of chilled beef imports into China
o efforts to open a live (slaughter and breeder) cattle trade and issues with blue tongue virus and arbovirus
o cold chain facilities approval process o kangaroo meat destined for human consumption.
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MEETING WITH CHINESE MARKET ACCESS OFFICIALS
Date: 25 September 2013 Venue: General Administration of Quality Supervision Inspection and Quarantine (AQSIQ) No. 9 Madian East Road Haidian District Beijing, China
ATTENDEES Li Chunfeng Deputy Director General Import and Export Food Safety Bureau, AQSIQ
Dou Shulong Deputy Director, Animal Quarantine Division, AQSIQ
Dr Liu Jian Import and Export Safety Bureau
Mr David Foote Chief Executive Officer, Australian Country Choice
MATTERS DISCUSSED • I acknowledged the jurisdictional responsibilities between the People’s Republic of China and the Australian Government and provincial/state governments in relation to market access negotiations. • I advised the Queensland Government is supportive of the Australian position and is keen to discuss issues of mutual concern. • I highlighted Queensland Government’s commitment to establish trade of high quality live (feeder and slaughter) cattle with China. • I acknowledged China’s position in relation to imports of chilled meat, and noted that while there is a voluntary agreement between the Chinese Government and the Australian Government to halt trade of chilled beef for the time being, frozen meat is still allowed and that accounts of 85 per cent of export to China. • I encouraged further discussions being held in Australia to support increasing the supply of chilled beef to China as well as potential cooperative food safety projects to share best practice expertise. • To assist in overcoming obstacles regarding blue tongue virus and live cattle trade, I encouraged further discussions with Chinese delegates attending the North Australia Ministerial Forum in November 2013. • I also welcomed Chinese interest in trade and investment in relation to the Queensland sugar industry. • I briefly discussed AQSIQ protocols covering the importation of kangaroo meat into China.
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INDUSTRY LUNCH ROUNDTABLE TO DISCUSS QUEENSLAND AGRIBUSINESS INVESTMENT AND TRADE OPPORTUNITIES
Date: 25 September 2013 Venue: Grand Ballroom, Level 1, China World Hotel No 1 Jianguomenwai Ave, Beijing
ATTENDEES
Shiwen Mei Deputy Director General, China Development Bank Boxiang Ding Shandong Dizheng Industrial Co Ltd
Fei Hongjun Chairman of the Board, Shandong Dizheng Industrial Co Ltd
Xiaosong Lu President, Dawn Run Beef Group Co Ltd
Alex Zhang Partner, Hosen Capital
Zuojiang Yu COFCO
Yelong Qin COFCO
Xinhua Jia President (Financial Department), YuXiangYuan (YXY) Group
Li Zhang Chief Executive Officer, Dalian Weilin
MATTERS DISCUSSED
• I hosted this luncheon to engage with potential Chinese investors and promoted Queensland as an attractive trade and investment partner.
• I provided an opening address to business delegates promoting trade of Queensland agriculture and fisheries produce and highlighting the Government is open to and welcomes international investment and is actively assisting investors to engage with agriculture projects in Queensland.
• The audience included representatives from Chinese investment and development groups and major agricultural organisations.
• The luncheon also provided the opportunity for business delegates to promote their investment proposals direct to potential Chinese investors.
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MEETING – MS WANG JIANHUA, CHIEF EXECUTIVE OFFICER, YUXIANGYUAN (YXY) GROUP
Date: 25 September 2013 Venue: Zhangjiawan Town, Tongzhou District, Beijing
VIP ATTENDEES
Ms Wang Jianhua Chief Executive Officer, YuXiangYuan (YXY) Group
Mr Zhang Yuanfei Vice President, YXY Group
Jia Xinhua President (Financial Department), YXY Group
MATTERS DISCUSSED
• This meeting provided me with the opportunity to thank Madam Wang for her interest in sourcing Queensland beef to supply her business operations in China.
• I emphasised that the Queensland Government looks forward to continuing to work cooperatively with the YXY Group to grow the company's capabilities in supplying beef and other meat products into the Chinese market.
• I discussed Queensland's capabilities in the provision of high quality food safety training for meat processors.
• The meeting also provided an opportunity to engage with locally based development officers within Beijing.
• I also had the opportunity to observe the signing of a Memorandum of Understanding between the YXY Group and representatives from Palgrove Charolais who were delegates on the mission.
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SITE VISIT TO MAX VALU (AEON) SUPERMARKET, GUANGZHOU
Date: 26 September 2013 Venue: Max Valu Supermarket 36 Machan Road Zhujiang Xincheng Tianhe District Guangzhou
ATTENDEES Mr Cheng Huajin Max Valu Purchasing Manager
EVENT OVERVIEW • I visited the Max Valu food supermarket to see first-hand how red meat and other produce is sold to Chinese consumers in a high-end retail setting. • Max Valu and JUSCO stores are part of the Japanese multinational company AEON Group, which opened its first Max Valu-branded premium food supermarket Guangzhou in January 2013. AEON Group is the largest retailer in Asia and is represented in four major regions in China (Beijing/Tianjin, Shandong, Guangdong and Hong Kong). AEON has more than 1,500 Max-Valu stores world-wide, and plans to have 100 stores in China by 2020. • Aeon Group stable mate JUSCO Ltd has a long standing relationship with the Australian beef industry through its Japanese stores. • I promoted the strengths of Queensland’s beef industry and the industry’s ability to supply premium quality chilled and frozen beef to Guangzhou.
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MEETING WITH MR RIQIN WU, CHAIRMAN, RIPENGXIN BUSINESS DEVELOPMENT SHENZHEN CO LTD
Date: 26 September 2013 Venue: Max Valu Supermarket 36 Machan Road Zhujiang Xincheng Tianhe District Guangzhou
ATTENDEES Mr Riqin Wu Chairman, Ripengxin Business Development Shenzhen Co Ltd
Mr Aimin Luo General Manager, Ripengxin Business Development Shenzhen Co Ltd
MATTERS DISCUSSED
• I discussed Mr Wu’s interest in sourcing Queensland kangaroo meat and his progress in securing permits from the Food Safety Bureau to enable imports of kangaroo meat to China for subsequent sale in retail outlets across Guangzhou and Southern China.
• I outlined that I had met senior representatives from the General Administration of Quality Supervision Inspection and Quarantine office whilst in Beijing, and kangaroo meat imports were discussed.
• I agreed to meet Mr Wu when he visits Australia in October 2013 to hold further discussions, and suggested that Trade and Investment Queensland may assist in developing the visit itinerary.
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MEETING WITH SHENZHEN AND GUANGZHOU SEAFOOD AND BEEF BUYERS DELEGATION
Date: 26 September 2013 Venue: Four Seasons Hotel 5 Zhujiang West Road, Pearl River New City, Tianhe District, Guangzhou
ATTENDEES
Ms Connie Iam Chief Financial Officer, Guang Zhou Global Food Co Ltd Mr Steve Mo General Manager, Bester Foods Mr Anthony Wang Sales Department, Infinitus Chin Hon Director, E J Enterprise Sun Donghui Director General Manager, China Shenzhen North-South Import and Export Trading Co Ltd
Purchasing Manager, Guangzhou Aoxin Hongye Marine Yang Yi Ping Product Co Ltd
Liu Min Food Products Department, GMG General Machinery Crystal Wong China Linking International Trading Limited
MATTERS DISCUSSED • I met with a delegation of Shenzhen and Guangzhou commercial food import company representatives who visited Queensland in September 2013 to source meat and seafood supplies. • I sought feedback from buyer mission members on their visit to Queensland. Delegates had particular interests in sourcing frozen boxed beef (for retail chains) and chilled beef (for steak house and premium restaurant distribution), as well as Spanner Crab, Coral trout, tropical Rock Lobster, tuna, scallops and prawns. • I presented a speech promoting the strengths of Queensland beef and seafood products, including our stringent quality controls and ability to deliver fresh, premium quality products. • I encouraged buyer mission members to maintain business connections with Queensland companies, and invited the delegation to visit Queensland again.
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MEETING WITH DEPARTMENT OF AGRICULTURE OF GUANGDONG PROVINCIAL GOVERNMENT
Date: 26 September 2013 Venue: No. 135 Xianlie Dong Road, Tianhe District
ATTENDEES Ms Cheng Ping Deputy Director General Department of Agriculture of Guangdong Provincial Government
MATTERS DISCUSSED • This meeting provided an opportunity to meet my Ministerial counterpart in China’s Guangdong Provincial Government to discuss matters of mutual benefit relating to agriculture. • The Guangdong providence has a total farming area of 4.572 million hectares and in 2011, the number of key agriculture businesses in Guangdong reached 2,403. Key agricultural products include grains, vegetables, meat, eggs and milk. • I highlighted the importance of agriculture to the Queensland economy and outlined Queensland Agriculture Strategy priorities. • I emphasised that the Queensland Government views China as a valuable trade and investment partner and that it would be keen to explore mutually beneficial opportunities. • We discussed some of the collaborative opportunities in Queensland which could be explored including cooperation in research and development, food sciences, veterinary and animal husbandry and plant breeding and production technologies.
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MEETING WITH GUANGDONG AGRIBUSINESS GROUP CORPORATION
Date: 26 September 2013 Venue: Guangdong Agribusiness Group Corporation No. 33 Dongguanzhuang Road, Guangzhou
ATTENDEES Mr Lei Yongjian Secretary General, Guangdong Agribusiness Group
Mr Lu Linhan Deputy Vice President, Guangdong Agribusiness Group
MATTERS DISCUSSED • This meeting provided an opportunity to further develop the relationship with the Guangdong Agriculture Group (GDA) and help to clarify their interest in investing in Queensland’s beef industry. • GDA is a State Owned Enterprise focusing on agribusiness and representatives have visited Queensland twice in 2012, expressing interest in investment and sourcing sugar. • I stressed the importance of agriculture to the Queensland economy and outlined priorities in the Queensland Agriculture Strategy. I emphasised that foreign investment in the sector is welcome. • I highlighted Queensland’s potential for further development in the beef sector, and there is a full range of technologies and services supporting the sector:
o veterinary and animal husbandry expertise including training o genetics expertise i.e. embryo transplants and artificial insemination o production management including nutrition, breeding o animal welfare, handling and transport as well as food safety and traceability
o abattoir construction design, equipment and fit-out. • We discussed potential investment opportunities in the Queensland sugar and dairy sectors. • I invited Mr Yongjian to return to Queensland to investigate more specific investment opportunities.
Great state. Great opportunity. 28
MEETING WITH MR ALAN YU, CK LIFE SCIENCES
Date: Friday 27 September 2013 Venue: Harbour Grand Hong Kong 23 Oil Street Hong Kong
ATTENDEES Mr Alan Yu Vice-President and Chief Operating Officer CK Life Science International (Holdings) Inc
MATTERS DISCUSSED • We discussed CK Life Sciences’ activities in the production of agricultural chemicals, pesticides, fertilisers, nutraceuticals and health supplements, and pharmaceuticals research. • The company is a subsidiary Cheung Kong Group, one of the biggest overseas investors in Australia, with investments amounting to AU$11 billion in infrastructure and utilities projects, including a port project in Brisbane. • We discussed the company’s Narangba plant and its $420 million project to construct Australia’s first multi-functional sugar, ethanol and electricity generation plant near Ingham, with North Queensland Bio Energy Corporation Pty Ltd. • I reinforced Queensland’s motivation to attract investors and promoted the assistance that Trade and Investment Queensland can provide. • I invited Mr Yu to review first-hand potential agribusiness projects when he next visits Queensland.
Great state. Great opportunity. 29
MEETING WITH THE HONOURABLE STEVEN HO, MEMBER OF THE HONG KONG LEGISLATIVE COUNCIL (AGRICULTURE AND FISHERIES) AND THE CHAIRMAN, FEDERATION OF HONG KONG AGRICULTURAL ASSOCIATIONS
Date: Friday 27 September 2013 Venue: Harbour Grand Hong Kong 23 Oil Street Hong Kong
ATTENDEES Honourable Steven Ho, Member of the Hong Kong Legislative Council Chun-yin (Agriculture and Fisheries)
Mr Chan Kin Yip Chairman, Federation of Hong Kong Agricultural Associations
MATTERS DISCUSSED • This meeting was conducted by Dr Beth Woods, Deputy Director-General of the Department of Agriculture, Fisheries and Forestry, and discussed trade related issues regarding live cattle exports from Queensland to China. • Mr Chan Kin Yip advised that Foshan Delux has developed a feedlot and abattoir in the Pearl River Delta region of southern China. With the growing demand for beef in China, this group is seeking to source additional cattle for this facility. • Discussion was held regarding Queensland’s live cattle export capability and the regulatory requirements under the Exporter Supply Chain Assurance (ESCAS) system before an export approval for cattle can be issued by the Australian Department of Agriculture. • Dr Woods also discussed feeder/slaughter cattle health protocols between Australia and China, including blue tongue virus requirements. • Dr Woods thanked the representatives for the briefing and asked to be informed of future developments as the proposal progresses.
Great state. Great opportunity. 30
HONG KONG INVESTMENT ROUNDTABLE Date: Friday, 27 September 2013 Venue: Chatham Room, Level 7, Conrad Hotel Hong Kong, Pacific Place, 88 Queensway, Hong Kong
VIP ATTENDEES Mr Chunqiang Ma Chairman, Australian Golden Nan Mr LinYi Zhang, Paul Deputy Director, China Development Bank Mr Eric Sung China Green (Holdings) Ltd M. Ma Shing Yung Chief Executive Officer, Le Gaga Holdings Ltd Dr George Lam Chairman, Macquarie Capital (Hong Kong) Ms Angela To Commissioner, Trade and Investment Queensland, Hong Kong
EVENT OVERVIEW • This investment roundtable meeting focused on Queensland agriculture and was hosted by the Department of Agriculture, Fisheries and Forestry. Approximately 60 guests with a specific interest in Queensland agriculture projects attended. • Jack Noye, Director-General of the Department of Agriculture, Fisheries and Forestry provided an overview of Queensland agriculture investment opportunities in sectors including meat processing (abattoirs), aquaculture, beef production (including cattle raising, feedlots and genetics) and horticulture (avocados and sugar). • The Director-General emphasised the range of business advantages that Queensland offers to investors and reinforced that the Queensland Government welcomes international investment. • The roundtable provided individual mission delegates with a forum to present their investment proposals to Hong Kong investors.
Great state. Great opportunity. 31
QUEENSLAND AGRIBUSINESS TRADE AND INVESTMENT PROMOTION LUNCH
Date: Friday 27 September 2013 Venue: Chatham Room, Level 7, Conrad Hotel Hong Kong, Pacific Place, 88 Queensway, Hong Kong
VIP ATTENDEES Mr Chunqiang Ma Chairman, Australian Golden Nan Mr LinYi Zhang, Paul Deputy Director, China Development Bank Mr Eric Sung China Green (Holdings) Ltd Mr Ma Shing Yung CEO, Le Gaga Holdings Ltd Dr George Lam Chairman, Macquarie Capital (Hong Kong) Mr Eddy W.M. Lee Chairman, Lee Kam Kee Co Ltd Mr Z W Lui Managing Director, Ng Fung Hong Dr Wayne Leung Managing Director, Wing Kee Product
EVENT OVERVIEW • This investment-focused networking lunch followed the Queensland Agriculture Investment Roundtable. • The reception allowed me to meet with potential and existing Hong Kong investors and promote Queensland as an attractive investment destination for agriculture. • I delivered a welcome speech and emphasised that the Queensland Government is actively assisting investors to engage with agriculture project proponents in Queensland. • I promoted Queensland’s reputation for fresh, premium quality beef, fruit and vegetables, sugar, cereal grains and cotton and our ability to service growing demand in Hong Kong for these products and spoke of significant investments into Queensland agriculture. • I answered a range of questions in relation to trade and investment opportunities in Queensland agriculture, fisheries and forestry industries. • The reception also provided the opportunity for business delegates to promote their investment proposals direct to potential Chinese investors.
Great state. Great opportunity. 32
SITE VISIT TO GREAT FOOD HALL, HONG KONG
Date: 27 September 2013 Venue: The Great Food Hall Unit 009 on Level LG1 The Mall, Pacific Place, Phase II Queensway, Hong Kong
ATTENDEES Mr Timothy Broderick Head Chef, The Great Food Hall Mr David Vernon Director, Shelbourni Verona Great Food Hall shoppers
EVENT OVERVIEW • I launched the Queensland food promotion “Queensland Fresh and Fresher” which showcased seafood, meat, horticulture and food and beverage products from ten Queensland companies. • The Great Food Hall is the premier flagship store of ParknShop, supplying gourmet, high quality products to middle-high income Hong Kong families and expatriate communities. There are more than 280 stores in Hong Kong and Macau and 30 stores in mainland China. • I delivered a speech, which reaffirmed the relationship between Queensland food suppliers and Hong Kong retailers such as ParknShop. • I highlighted that Australia is world-renowned for producing high-quality and safe food, free of many of the pest and diseases other countries may have. • It was a pleasure to meet representatives of Queensland exporters and observe promotion of Queensland products including beverages, horticultural produce and meat.
Great state. Great opportunity. 33