Hoiberg Business Group have concluded our bi-monthly business briefing meetings in China with our business associates. One thing that has become apparent is that the new leaders of China have a commitment to environmental issues and that the challenges that face China offer opportunity to Australia and the wider world.
As an example, the Government has admitted that an area estimated at 3.33 million hectares of China’s farmland (an area the size of Belgium) is too polluted to grow crops, highlighting the risk facing agriculture after three decades of rapid industrial growth.
Chinas commitment to cleaner water supplies
This brings into question the national strategy of ensuring food security. Media outlets in China have reported that various Government officials have said China is committing tens of billions of yuan per year to pilot projects aimed at rehabilitating contaminated water and underground water supplies, as well as projects aimed at removing cadmium from the rice production cycle.
A Joint Australia–China Agribusiness Opportunity
This presents enormous economic opportunities for the Australian agribusiness sector. As it is apparent that we are losing our manufacturing and cost competitiveness on an international scale, we have an opportunity to do what we have always done well – innovate and invest.
The future position of Australia lays in being a “think tank” – a position of R&D, industrial and agricultural innovation and industrial design. We may not have the resources to be a major manufacturing nation, but we have the capacity and education to be a world power in innovation.
HBG believes that Australia has the capacity to be a major partner in Chinas shift to better agriculture systems. For more information, please contact us today on (07) 5443 7600.
