Submission No 23
Inquiry into Australia’sRelationshipwith Malaysia
Organisation: Department of Agriculture, Fisheries andForestry
Contact Person: Ms GaeI Macnaughtan02 6272 4365
Address:
Joint Standing Committee on Foreign Affairs, Defence and TradeForeign Affairs Sub-Committee
Australian Government
Department ofAgriculture, Fisheriesand Forestry
Submission
byThe Australian Government Department of
Agriculture, Fisheries and Forestry
to theInquiry into Australia’s Relationship with Malaysia
by the
Joint Standing Committee on
Foreign Affairs, Defence and Trade
November 2006
DEPARTMENT OF AGRICULTURE, FISHERIES AND FORESTRY
DAFF Submission to the JSCFADT Inquiry into
Australia’s Relationship with Ma/aysia
Table of Contents
ExecutiveSummary 31. Bilateral GovernmentRelations 51.1. Ministerial Engagement 51.2. FormalandInformal Mechanisms 61.3. CooperativeActivities 71.4. SharedEngagementthroughMultilateral Fora 72. TradeRelationship 92.1. BilaterialPortfolio Trade 92.2. TradeIssues 152.3. Malaysia-AustraliaFreeTradeAgreementNegotiations 162.4. PortfolioIndustryCooperation 173. ScientificCooperation 183.1. TechnicalCooperationandCapacityBuilding 18
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DAFF Submission to the JSCFADT Inquiry into
Australia’s Relationship with Malaysia
Executive Summary
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Thebilateralagricultural relationshipbetweenAustraliaandMalaysiais a positiveone,supportedby constructiveworking relationshipsbetweengovernmentofficials andcooperativeengagementattheMinisterial level. TheAustralianGovernmentDepartmentofAgriculture,FisheriesandForestry(DAFF) contributesto thebilateralrelationshipthrougharangeofconsultativeandcooperativemechanismswith Malaysiaandregionalcapacitybuilding activitiesin sanitaryandphytosanitary(SPS)-relatedareas.
The Malaysia-AustraliaFreeTradeAgreement(MAFTA) negotiations,launchedin April 2005,providean importantopportunityto gain preferentialaccessto theMalaysianmarket,aswell asaddressa numberof otherissuesthataffect our tradewith Malaysia. MAFTA will furtherdeveloptradebetweenAustraliaandMalaysiain theagricultural,food, fisheries,and forestrysectors.
Ministerial engagementon bilateralportfolio issuesandcooperationis very activewith a numberof successfulvisits by both MalaysianandAustralianportfolio Ministersoverrecentyearsthathavefurtherstrengthenedthegrowingties betweenourtwo countries.
At officials’ level, therearea rangeof consultativemechanismswhich facilitateopendialogue,improvedunderstandingandcooperation.DAFF officials engageconstructivelywith theirMalaysiancounterpartson a broadrangeofportfolio issues,including biosecurity,SPScapacitybuilding and internationaltradeissues.Consultationandcooperationis carriedoutthroughbothformal arrangementsand informal networks.A majorcooperativemechanismis theMalaysia-AustraliaAgricultural CooperationWorkingGroup,animportantforum forprogressingagriculturaltradeandmarketaccessissueswhichcontributesto thepositivebilateralagriculturalrelationship. AustraliaandMalaysiaalsoengagein annualtechnicaldiscussionsatofficials’ level regardingbilateralplantquarantineandmarketaccessissues.
While Australiahasanoverall tradedeficit with Malaysia,Australiahasa significanttradesurpluswith Malaysiain agricultureand food. Australianagriculturalandfood exports(including fish andseafood)to Malaysiawerevaluedatover$910million in 2005-06,comprisingapproximately40 percentofAustralia’stotal exportsto Malaysia. Themajorproductsexportedweresugar,dairy andgrains. Malaysianagriculturalandfoodexportsto
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
Australiawerevaluedat $228 million in 2005-06,themajorexportsbeingoil andfat
($117million) andseafood($26million).
While Malaysiaexportsconsiderablymoreforestproductsto AustraliathanAustraliaexportstoMalaysia($181 million vs $46.4million in 2005-06),Malaysia’snet importerstatusofpaperandpaperproductsrepresentsa significantmarketopportunityfor Australia.
AlthoughMalaysiaandAustraliasharea broadlypositive bilateralagriculturalrelationship,therearea small numberof areaswhereimprovementscould furtherfacilitatetradein portfolioproducts. Theseinclude tariffs, Malaysia’sproposedimplementationoftariff ratequotas,Halalcertificationandimport licensing. MAFTA negotiationsprovidean opportunityto addresstheseissues.
DAFF is also involved in a numberofregional capacitybuildingactivitiesin SPS-relatedareasthat benefitMalaysia’sagriculturesector. Cooperativeefforts in thisareafacilitatecloserrelationshipsbetweenAustralianandMalaysianofficials on technicalissues.Technicalcooperationandcapacitybuilding activities alsohavea positive impacton theoverall bilateralrelationship.
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
1. Bilateral Government RelationsAustraliaandMalaysiahavea positivebilateral relationshipon issuesrelevantto theagriculture,fisheriesand forestryportfolio, supportedby constructiveworking relationshipsbetweengovernmentofficials andcooperativeengagementandmutualgoodwill atthe Ministerial level.DAFF is involved in arangeofbilateralconsultativeandcooperativemechanismswith Malaysiaatofficials’ level andsupportsMinisterial engagementbetweenour two countries.
1.1. Ministerial Engagement
Ministerial Visits
Overthepasttwo years,during a timeof significantresurgencein the bilateral relationship,arangeofsuccessfulvisits by portfolio AustralianandMalaysianMinistershasfurtherstrengthenedthegrowingtiesbetweenour two countries. Malaysiahasactivelysoughtto buildupon its relationshipwith Australiaandagriculturalcooperationhasbeenpartof this resurgence.
A cleardemonstrationofthe improvedrelationshipwas thevisit to Australiain April 2005 byMalaysianPrimeMinisterAbdullahBadawi,togetherwith keyMinisters including AgricultureandAgro-BasedIndustryMinister, Muhyiddin Yassin.
The thenMinister for Agriculture, FisheriesandForestry,theHon WarrenTruss,visitedMalaysiain June/July2005. This wasthefirst visit to Malaysiaon recordby a portfolioMinister. MinisterTrusshadbilateralmeetingswith his Malaysiancounterpart,MinisterMuhyiddin, aswell astheMalaysianMinisterofPlantationIndustriesandCommodities,PeterChin, and the MalaysianMinister ofInternationalTradeand Industry,RafidahAziz.
Minister Muhyiddin alsovisited Australiain March 2006. A key outcomeofthis visit wasthesigningby Ministersofthe Memorandumof Understanding(MoU) for theEnhancementofAgriculturalCooperationin Canberra.Most recently,the Minister for Agriculture, FisheriesandForestry,theHon PeterMcGauranMP, met with Minister Muhyiddin during a visit to Malaysiain August 2006.
TherehasalsobeenMinisterial-levelengagementon forestry issuesandcooperationincludingthroughMinister McGauran’sdiscussionswith MinisterChin andrelevantofficials duringhisvisit to Malaysiain August2006. The formerMinisterfor Fisheries,ForestryandConservation,Senatorthe HonIan Macdonald,alsohadbilateraldiscussionswith MinisterChin in April 2005during the visit to Canberraby PrimeMinisterAbdullali andhis delegation.
Malaysiahasalsoshownaninterestin Australia’sapproachto waterresourcemanagementandMinisterMeGauranandtheMinisterfor theEnvironmentandHeritage,SenatortheHon IanCampbell,both metwith the thenMalaysianMinister ofNaturalResourcesandEnvironment,AdenanSatem,duringhis visit to Australiain September2005.
Ministerial-levelForums
A key bilateralMinisterial Forumofrelevanceto theportfolio is theMalaysia-AustraliaJointTradeCommittee(JTC),co-chairedby theAustralianMinister for TradeandtheMalaysianMinisterofInternationalTradeand Industry. The JTC meetsannually,providing a high-levelconsultativemechanismfor thediscussionoftradeandeconomicissuesandto exploreavenuesforexpandingthebilateraltradingrelationship.The JTCalsoprovidesa forumto progresscooperationandwork towardsresolvingparticulartradeissues.
In relationto portfolio-relatedbilateralcooperation,JTC initiativeshaveincluded: thereactivationof theMalaysia-AustraliaAgricultural CooperationWorkingGroup(seebelow);a
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
joint Halal FoodProductionandMarketingInitiative; andprocessedfoodseminarsforMalaysianexporters.
1.2. Formal and Informal Mechanisms
AustralianandMalaysianofficials work togethercooperativelythroughboth formal andinformal mechanismsto enhancemutuallybeneficialcooperationandprogressspecific tradeissues.
Malaysia-Australia Agricultural Cooperation Working Group
The Malaysia AustraliaAgricultural CooperationWorking Group (MAACWG) providesthemechanismto managebilateralagriculturalandrelatedissuesin asystematicandcoordinatedmanner.It is an importantforum for progressingagriculturaltradeandmarketaccessissuesandcontributesto the positivebilateralagriculturalrelationship.The Groupoverseesand facilitatesregularandcomprehensiveconsultationandcooperationon agriculture,fisheries,agri-food,SanitaryandPhytosanitary(SPS)andoperationalquarantinematters.
The MAACWG is alsothemechanismfor implementingactivitiesundertheMoU for theEnhancementofAgriculturalCooperation,signedby MinisterMcGauranandhis Malaysiancounterpart,MinisterMuhyiddin, in March 2006. TheMoU encouragesmutuallybeneficialcooperationandimplementationofactivities thatwill providecommercialopportunitiesand/ortangiblebenefitsto the privatesectorsof bothcountries.
TheMAACWG wasestablishedin December2000by the thenMalaysianMinisterofAgriculture,EffendiNorwawi, andthe thenAustralianMinisterfor Trade,theHonMarkVaile,to cooperatein areasofagriculturefor mutualbenefit. At that time theGroupoperatedonarelatively informal basis,with participationby officials from theMalaysianMinistry ofAgricultureandAgro-BasedIndustry(MoA), relatedMalaysianagenciesandtheAustralianHigh Commissionin KualaLunipur. ThreemeetingsoftheGroupwereheld in 2001 and2002.
The decisionby TradeMinisters in 2004to reactivatethe MAACWG reflectsthe positivedevelopmentsin the bilateralagriculturalrelationship.TheMAACWG is nowco-chairedbyseniorofficials from DAFF andMoA. lndustryinvolvementhasbeenendorsedby Ministersandwill beimportantto the future successoftheGroup.
Sinceits revitalisation,two meetingsoftheMAACWG havebeenheld: in August2005 in KualaLumpurandJuly 2006 in Canberra.The secondmeetingincludedinauguralmeetingsofsub-workinggroupson livestock,cropsand fisheries. ThenextmeetingoftheGroupisscheduledto beheld in Malaysiain mid-2007.
While forestry lies outsidethe portfolio responsibilitiesof MoA, Malaysiahasagreedin-principle to discussforestry issuesandcooperationat future meetingsoftheMAACWG,subjectto agreementby relevantMalaysianministries.
Malaysia-AustraliaBilateralPlantQuarantineTechnicalDiscussions
AustraliaandMalaysiaengagein annualtechnicaldiscussionsregardingbilateralplantquarantineandmarketaccessissues.Threemeetingshavebeenheldsince2003,with themostrecentbeing28-30November2005 in Malaysia. The discussionsinvolve seniorofficials fromBiosecurityAustraliaand the Crop ProtectionandPlantQuarantineDivision oftheMalaysianDepartmentofAgriculture. The fourth TechnicalDiscussionsarescheduledto be heldinAustraliain December2006.
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DAFF Submission to the JSGFADT Inquiry intoAustralia’s Relationship with Malaysia
Informal Mechanisms
Outsideofthe formal mechanismsoutlinedabove,officials from DAFF andtheMalaysianMinistry ofAgriculture andAgro-BasedIndustryliaise regularly to progresscooperativeinitiativesandtradeandmarketaccessissues. Thesestrongpeople-to-peoplelinks arestrengthenedandenhancedby thework ofofficials from theAustralianHigh CommissioninKualaLumpur andthe recentappointmentin 2006ofanAgricultural Counsellorto Bangkok,who is alsoaccreditedto Malaysia.
1.3. Cooperative ActivitiesOverrecentyears,AustraliaandMalaysiahaveengagedin a numberofportfolio-related
cooperativeactivitiesandareasfor furthercooperationarecurrentlyunderconsideration.
The Ninth MalaysiaPlan,a comprehensiveblueprintapprovedby theMalaysianCabinetwhichoutlineshowthebudgetwill beallocatedto all economicsectorsfrom 2006-2010,identifiesagricultureas oneofMalaysiatsmainenginesofgrowthover thenext five years. Malaysiaisinterestedin Australianexpertiseto assistwith projectsto furtherdeveloptheiragriculturesectorandfacilitateachievementofthesegoals.
Inline with theseobjectives,Malaysiaproposeda rangeofcooperativeactivitiesat thesecondmeetingofthe revitalisedMAACWG in July 2006, including in theareasofquarantine,e-certification,pesticideregistration,pestcollectionand livestock identification. DAFF iscurrentlyfinalising considerationoftheproposalswith Malaysia,with a view to implementingafirst trancheofactivitiesundertheMoU for theEnhancementofAgricultural Cooperationpriorto the nextmeetingoftheGroup(scheduledfor mid-2007).
The MAACWG haspreviouslyfacilitatedcooperationactivities including quarantineeducation
andtraining, supplychainmanagement,qualityassuranceand food safety.DAFF hasalsobeeninvolvedwith activitiesundertakenby visiting Malaysiandelegations,suchasa successfulstudytourby officials from theMalaysianMinistry ofAgriculture andrelatedagenciesto theLeeton/Narranderraricegrowingregionin 2001, in conjunctionwith theAustralianHigh Commissionin KualaLumpurandtheRiceGrowersAssociationofAustralia;andAustralianQuarantineandInspectionService(AQIS)presentationson Australia’sIlalalfood certificationsystem.
A key areaofDAFF’s involvementin bilateralcooperationwith Malaysiais in theareaofSPS-relatedtechnicalcooperationandcapacity-building.Activities in this areaincludetheAustralianFumigationAccreditationScheme— Malaysia,the SPSCapacityBuilding Programmeandcollaborationon ScrewWorm Fly researchanddevelopment.Theseactivitiesarediscussedunder Section3. Scientific Cooperation. Australian industry has alsoengagedin mutuallybeneficialcooperativeactivitieswith Malaysia. ExamplesofsuchactivitiesarediscussedunderSection2.4 Portfolio Industry Cooperation.
1.4. Shared Engagement through Multilateral Fora
AustraliaandMalaysiaare bothproponentsofmultilateral tradeliberalisationfor agriculturalproductsandalsowork cooperativelyin a numberofinternationalstandardsettingbodies(inrelationto foodstandardsandquarantine)which impacton agricultureandfoodtrade.
World TradeOrganizationandCairnsGroup
Malaysiais a strongproponentoftheWorld TradeOrganization(WTO) rules-basedsystemandboth AustraliaandMalaysiaaremembersof the CairnsGroup,which playsanimportantrole in
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
advocatingfurther internationalagriculturaltradereform in WTO negotiations.Bothcountriessharethe view that the greatestprospectsfor agriculturaltradeliberalisationwill comefrom anambitiousoutcomefrom the WTO DohaRoundof negotiations(currentlysuspended)andsosharea majorstakein anearlyresumptionto thenegotiations.
A delegationof seniorMalaysianofficials, including theDeputySecretaryGeneral(Development)ofthe Ministry ofAgricultureandAgro-BasedIndustry,aftendedthe recent20thAnniversarymeetingofthe CairnsGroup,held20-22September2006in Cairns.
United NationsFoodandAgricultureOrganisation
In additionto commoninterestsin theWTO, as CairnsGroupmembers,AustraliaandMalaysiaalsocooperatecloselyin otherinternationalfora on primaryindustry issues,includingtheFoodandAgriculture Organisation(FAO) oftheUnitedNations. This includesthroughtheinternationalstandard-settingbodiesofFAO, suchastheCodexAlimentariusCommission(Codex)and internationalPlantProtectionConvention(IPPC),whosestandard-settingin relationto food safetyandplant quarantineimpactson global trade.
Cooperationin International Forestry Fora
AustraliaandMalaysiaarebothmembersof a numberofinternationalforestryfora including:UnitedNationsForum on Forests(UNFE);
• InternationalTropicalTimberOrganisation(iTTO);• AsiaForestPartnership(AFP);• Asia-PacificForestryCommission(AFPC) oftheFAO; and• AsiaForestLaw EnforcementandGovernanceTaskForce(AsiaFLEG).
Althoughthesearemultilateral fora, Australiaworks with Malaysiaon a rangeofissueswithinthem. As a donor,Australiahascontributedto the funding ofa rangeofMalaysianforestryprojectsthroughthe ITTO, including oneon improvingfurnituremanufacturingin Malaysiain2005.
Cooperationin International Fisheriesand AquacultureAustraliaandMalaysiahavea positiverelationshipon fisheriesandaquacultureissues,arefourmultilateral fisheriesandaquaculturemultilateralfora whereboth AustraliaandMalaysiaaremembers:• IndianOceanTunaCommission(IOTC);
There
NetworkofAquacultureCentresin theAsia Pacific (NACA);APECFisheriesWorkingGroup;andFisheriesSupportUnit, which is constitutedundertheauspicesofthe Indian OceanRim —
Associationfor RegionalCo-operation.The principal focusofthesefora is thesustainabledevelopmentof wild capturefisheriesandaquaculturein the Indian OceanandtheAsia-Pacificregion. Thesefora areresponsibleforconservationandmanagementofresources,developmentofcooperativeactivitiesandcapacitybuilding througheducationandtraining, researchandcommunicationnetworks, Malaysiahasalsobeenapproachedto engagein a regionalforumon Illegal, UnreportedandUnregulatedfishing to be convenedin 2007. Malaysiahasa largeaquacuituresectorand,throughNACA, Australiais workingwith Malaysiato increasethe productivityofthat sector.
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
2. Trade Relationship2.1 Bilateral Portfolio Trade
AlthoughAustraliahadan overalltradedeficit with Malaysiaofapproximately$4,212 million in2005-06,Australiahasa significanttradesurpluswith Malaysiain agricultureand food. Thissurpluswasapproximately$682 million in 2005-06.
AustralianAgricultural andFoodExportsto Malaysia
Malaysiais an importantregionalmarketfor Australianagriculturalproductsandis amongourtop five marketsfor dairy,horticultureproducts,wheatandsugar. Australianagriculturalandfoodexports(including fish andseafood)to Malaysiawerevaluedatover $910 million in2005-06,comprisingapproximately40 percentofAustralia’stotal exportsto Malaysia. Of theseexports,sugarwasthe largestcomponent(estimatedat $281 million), followed by dairy ($210million), grains($167million), andprocessedmeat($46million).
Malaysianfoodandagriculturalexportsto Australiawereworth $228 million in 2005-06,
includingoil andfat ($117million) andseafood($26million).
Major Australian Agricultural and Food Exports to Malaysia
400
350
300
S 250 —— Sugar- Live animals
E Fruit & nutso 200 ~-0airy
—*--Grains150 I—.— Processed Mea
100
50
0
Source:ABARE (2006)
Trade in Sugar
Australiais a majorsupplierofraw sugarto MalaysiaandMalaysiawasAustralia’sprincipalmarketin the2003-04and2004-05financialyears.
Sugarimportsinto Malaysiaoperateunderan import licensingarrangementmanagedby theMalaysianMinistry ofInternationalTradeandIndustry(MITI). Importsarepartly underlongtermsugarcontracts(LTCs) andpartly spot sales.LTCs are negotiatedby MITI on behalfofthefour Malaysiansugarrefiners. Foranumberofyears,MalaysiahasmaintainedLTCswithAustralia,ThailandandFiji. In recentyearsBrazil (or traderssourcingfrom Brazil) andSouthAfrica haveenteredthemarket.
2000-01 2001-02 2002-03 2003-04 2004-05 2005-06
Year
S
DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
Malaysia’ssugarindustry is characterisedby upwardtrendingconsumptionspurredby a rapidlygrowing foodprocessingindustryanda smalldomesticsugarcanebasedproductionsectorthatappearsunlikely to expand. With excessrefining capacity,someimportsofraw canesugararerefinedandre-exportedto regionalmarkets.Malaysiaexportsover200,000metric tonnesofrefinedsugarto the regionannually,including to AustraliaandNewZealand. In 2005-06,Australiaimportedrefinedsugarfrom Malaysiaworth approximately$214million.
Trade in Dairy Products
MalaysiawasAustralia’ssecondmostvaluableexportmarketin 2004-05,importing$205 million worthof Australiandairyproducts,with 80 percent in the form of milk powders.
Malaysiansareamongstthe lowestconsumersofdairyproducein Asia,with only 58%ofhouseholdspurchasinganydairy produce. However,the local dairy industrydoesnotproducesufficientquantitiesoffreshfluid milk to satisfyMalaysia’sneeds,so freshmilk is supplementedby reconstitutedfluid milk andothermilk products. Ingredientssuchasskimmedmilk powder,wholemilk powderandwheyneededto producecondensedmilk andothermilk productsareimported,mainly from AustraliaandNewZealand.
Although theMalaysianGovernmentaimsto increaseself-sufficiencyin freshliquid milkproductionfrom the current6 to lOpercentby 2010,Australianexportsofdairy productstoMalaysiaarestill likely to increaseasMalaysia’sdairy consumptionnses.
Trade in GrainsMalaysia,aswith mostoftheAsianmarkets,importswheatfrom Australiapredominatelyin theform offlour, althoughsmall amountsofun-milled wheatis also imported. Malaysiaconsistentlyimportsover600,000tonnesofAustralianwheateachyearandin 2004-05wasAustralia’seighth largestexportmarketfor wheat,importing 888,000tonnes.
Volume of Australian exports of wheat and flour to Malaysia
loon
900
800
700
Tonnes 600(000)
400
300
200
100
01997-98 1998-99 1999-20 2000-01 2001-02 2002-03 2003-04 2004-05
Year
Source: ABARE(2006)
10
U ______________
DAFT Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
Trade in Meat and Livestock
Australiaenjoysa strongbilateral tradingrelationshipin meatandlivestockwith Malaysia.While Malaysiais relatively selfsufficient in theproductionofpork,poultry meatandeggs,ithaslow levelsofselfsufficiency in theproductionofbeefandmutton, thusproviding asignificantmarketfor Australianmeatandlivestockexports. Major AustralianmeatexportstoMalaysiain 2005 weresheepmeat(8438tonnesworth approximately$28.5million), andbeefandveal(4461 tonnesworth approximately$15 million). Livestockexportsto Malaysiatotalled$23.5million in 2005, including cattle($20.1million), sheep($1.3)andgoats($2.1). Malaysiais Australia’ssecondlargestmarketfor exportsoflive cattle(afterIndonesia),with exportsofapproximately38,000headin 2005.
Malaysia’scattleherdis approximately750,000head,up from 558,000headin 1981 and701,000headin 1991, comparedto theAustraliancattleherdwhich is estimatedat26.5 millionhead.
FAO figures indicatethat theconsumptionofanimal protein,particularlybeef,is increasingsteadilyin Malaysia,with strongdemandexceedingproduction. This, coupledwith anincreasein income(GDPgrowthof6.6 percentin 2004and6 percentin 2005),will providea strongconsumermarketleadingto a furthergrowthin beefconsumptionandthereforeincreasedopportunitiesfor Australianexports.
AustralianmeatandlivestockexportstoMalaysia2005-06
30
25
$AUD 20 —~_________________________________________________million
45
10
S
0 ____________________
Source: ABS (2006)
Trade in Horticultural Products
Malaysiahashistorically beena majormarketfor Australianhorticulturalproduceand in2005-06rankedsixth, behindJapan,NewZealand,Hong Kong, theUSA andSingaporeasanexportmarketforAustralia’s freshandprocessedfruit, nut andvegetableexports.
ThevalueofAustralia’sfreshandprocessedfruit, nutandvegetableexportsto Malaysiain2005-2006wasapproximately$59 million. The majorexportswereoranges($15.7million),grapes(511.1million), carrots($7.1 million) andpotatoes($1.9million).
Live Cattle Live Sheep Live Goats Beet & Veal Sheep meat
Product
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
While Australianhorticulturalproduceexportshavemorethanhalvedin thepastfouryears,theremay be opportunitiesto expandexportsto Malaysiain themediumto longerterm,dueto:a decreasein arabIcland in Malaysiaavailableto grow food; an increasinghealthconsciousness,with consumersbuying morefreshproduce;tradeliberalisation,includingnegotiationson a freetradeagreement;growthin thehypermarket,supermarket,hotel, resortand foodservicesectorswhereimportedfruit andvegetablestendto be sold; and the fact thatAustraliacanprovidequality horticulturalproductswhich arecounter-seasonalto northernhemisphereproducts.
The valueofMalaysia’sfreshandprocessedfruit, nut andvegetableexportsto Australiain2005-06was$2.8 million ofwhich themainproductexportedwasprocessedpotatoes($0.6million).
Trade in Wool
Australianwool exportsto Malaysiahavegrown dramaticallyoverthe lasttwo years,both involumeandin value,with a 185.7percentincreasein actualvolume anda 139.6percentincreasein valuesince2004. Malaysia’sshareofAustralianwool exportshasgrown to1.8 percentin 2004-05,comparedto 0.5 percentin 2003-04,making it Australia’s eighth largestmarketin 2005-06. Despitethis growth,theMalaysianmarketis still quite small, valuedatapproximately$37.7million in 2005-06. (Chinais thepredominantdestinationfor Australianwool exports,accountingfor 57.9percentofexportsby volume in 2005-2006).
Malaysian Agricultural and Food Exports to Australia
Malaysianagriculturalandfood exportsto Australiawerevaluedat$228 million in 2005-06,comprisingapproximately3.4 percentofMalaysia’stotal exportsto Australia. Oil and fat wasby farthe largestcomponent($117million), reflectingMalaysia’spositionastheworld’sleadingexporterofpalmoil. Othermajor itemsincludedseafood($26million), biscuits($10million), soft drink, cordialandsyrup($4million).
120
110
100
90
80
70
80
60
40
30
20
10
0
C0
E0~an4
Major Australian Imports of Malaysian Products (2005-08)
Source: ABARE (2006)
Oil arre fat Seafood Biscuit Soft dtrk, Irfuit and Cereal food Sugar Bread, cake Confectionerycardiat and Vegetables and baking mix arid pastry
syrup
Imports from Malaysia
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
Bilateral Trade in FisheriesProductsMalaysiais not a significantexportmarketfor Australianseafoodalthoughanestablishedtradingrelationshipexists in fish andseafood,with edible fish, prawnsandcannedseafoodthemajortradedcommodities.
In 2005-06,Australiaexported$6.14million offish andseafoodto Malaysia. Of theseexports,wholerock lobster($1.3million), preparedorpreservedabalone($1.08)million andfrozenscallops($949,000)werethe majorproductsexported.
Australian Fisheries Exports to Malaysia
1.4
1.2
1
0.8
0.6
0.4
0.2
0
Whole rock lobster Abalone Frozen scallops
Product
Source: ABARE(2006)
In 2005-06,Malaysiaexported$27.4million offish andseafoodto Australia. Themajorproductswereornamentalfish ($1.94million), preparedor preservedshrimpsandprawns($1.21million), preservedorpreparedfish ($1.08million) andmolluscs($593,000).
Until the mid-1990s,Malaysiawasa netexporterofseafood,howevernowit is thesecondlargestimporterof fisheriesproductsin the region,afterThailand. Unlike Thailand,whichundertakesprocessing(eg. canning)ofa significantamountoffish for export,mostfish productsimportedinto Malaysiaareconsumeddomestically. Suchimportsareexpectedto increasebecausefish is animportant food ingredientfor all ethnicgroupsin Malaysiaandnationalproductionis unlikely to meetincreasingdemand.
TheMalaysiandomesticsectoris well managedbutcloseto exploitablelimits. Seafishingcontributessome80 percentof thenationalcatch,howeveranincreasingrole is beingplayedbyaquacultureproduction.Malaysia’smainaquacultureexportsarefreshandfrozenfish, prawnsandshrimp.
Thevolumeof Malaysianexportsofornamentalfish is expectedto increasewith thegovernmentallocatingfundsto establish,promote,marketanddevelopthis field ofaquaculture.
CC
C.4-~1
13
sr--— _____
DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
Bilateral Trade in forest Products1\alaysiaandAustraliahavea healthybilateral tradingrelationshipin forestproducts.Australianexportsofforestandpaperproductsto Malaysiain 2005-06wereworth$46.4million. The main productsexportedfrom Australiato Malaysiaincludedpaperandpaperboard($26.8million), sawnwood ($6.9million), roundwood($2.3million) andmiscellaneousforestproducts($1.5million). Australiahasenjoyedan increasein exportsoftheseproductsto Malaysiain recentyears.
Australian forest product exports to Malaysia
30
1 ________________________
25
—— Roundwood
sAUD20—-Sawnwood
‘5 _______________________________
10
5.
0-
2000-2001 2001-02 2002-03 2003-04 2004-05 2005-06
Year
Paper andPaperproductsMiscellaneousforest ProduoM
Source:ABARE (2006).
Malaysiais a netexporterofwoodproducts,with the exceptionofpaperandpaperproducts.ExportsofMalaysianforestproducts(not includingfurniture) to Australiain 2005-06wereworth $181million.
Malaysiais alsoa largeexporterofwoodenfurnitureandis rankedamongsttheworld’s top tenexportersoftheseitems. Woodenfurnitureexportsfrom Malaysiato Australiain 2005 werevaluedat $171 million.
Malaysia’snet importerstatusofpaperandpaperproducts(Malaysiaimportedover1.1 million tonnesofpaperandpaperboardproductsprocessedinternationallyin 2002 whileexporting149,000tonnes)representsa significantmarketopportunityfor Australia.
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DAFF Submission to the JSCFADT Inquiry intoAustralia s Relationship with Malaysia
2.2. Trade Issues
While MalaysiaandAustraliasharemosttradingrelationships,thereareto fUrther facilitatetrade.
abroadlypositive bilateralagriculturalrelationship,as ina smallnumberofareaswhereimprovementscouldbe made
Tariffs
AlthoughMalaysia’seconomyis relatively opento tradeandmostAustralianagriculturalexportsfacevery low orzeroappliedtariffs, dairyproducts,somehorticulturalproducts,processedmeat,someseafood,andarangeofprocessedfoodsfacetariffs ofbetween5 and30 percent. Sometropical fruits andalcoholicbeverages,notablywine, also facespecificratetariffs.
Australianforestindustriesface significantbarriersexportingto Malaysia,with import tariffsrangingfrom 0-300percent. The tariff level is generallyloweron rawmaterialsand increasesfor thosewith value-addedcontentorwhichundergofurtherprocessing.
While Malaysiahasno tariffs on importsofwool, it doesmaintain15-20percenttariffs oncertainwoollen products(suits,trousers,jacketsandjumpers).
Although Malaysiantariffs aregenerallylow, furtherliberalisationin theareasoutlinedabovewould improveaccessfor Australianportfolio exports. The principlevehicleto achieveareductionin tariffs is throughtheWTO DohaRound(currentlysuspended).TheMalaysia-AustraliaFreeTradeAgreement(MAFTA), currentlyundernegotiation,alsoprovidesanopportunityto reduceandeliminatetariffs andenhancebilateraltradein portfolio products.
Tariff Rate QuotasMalaysiahasrecentlyindicatedanintentionto imposetariff ratequotas(TRQs)on 21agriculturalproducttariff lines,in line with their WTO commitments.We areseekingfurtherdetailsfrom Malaysianauthoritiesandconsultingwith Australianindustry to minimisetheimpactof theintroductionofsucha TRQ system. In addition,throughMAFTA negotiationsweareattemptingto haveAustralianexportsexemptfrom theseTRQ arrangements.
Halal certificationHa/a/Accreditation- Meat
Meatexportsto Malaysiamustbe Halal andmeatplantsmustbe approvedby the MalaysianDepartmentofIslamic Development,in orderto exportnominatedproductsthatcomplywithstrict Halal requirements.
Malaysiaundertookanaudit of fifty Australianmeatestablishmentsin 2005. Religiousslaughterissueswith beefwereidentifiedduring thataudit, andsubsequentreligious decreesrelatingto electricalstunningandthe timing ofthe thoracicstick resultedin Malaysiadelistingall Australianbeefslaughterestablishments.Therewereno issuesrelatingto the religiousslaughterof sheepor goatsflowing from theaudit.
TheAustralianQuarantineand InspectionService(AQiS), in consultationwith industryandMalaysianofficials, subsequentlydevelopeda protocolfor theuseofpneumaticstunningincattle. A Malaysiandelegationauditedfive establishmentsagainsttheprotocolin March 2006andthreeofthesegainedapprovaleffectivefrom 6 April 2006. Malaysiaformally advisedAQIS ofits acceptanceof the Halalprotocolon 30 May2006.
AQIS is seekinga follow-up auditofotherslaughterestablishmentsverifiedby AQ1S asmeetingtheprotocol. AQIS will alsobe seekingconsiderationby Malaysiafor the listing of independent
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Re/ationship with Malaysia
boningroomsandotherfurtherprocessingestablishments.Malaysiahasyet to confirmitsagreementto the scopeor timing of theproposedaudit.
Na/alAccreditation- Dairy
Unlessa specificclaim of Halal is madeon thepackaging,the MalaysianGovernmentdoesnotrequirethatdairy productshaveanyparticularHalalcertification. WhereHalal claimsare made,the MalaysianIslamic authoritiesrecognizecertification from Australian-basedIslamicauthorities,
However,therehavebeenoccasionsin thepastwhereMuslim countrieshavecalledfor Halalcertificationon all dairy productsor haveonly recognisedcertificationby the Islamic authorityof the importing country. Malaysiatook this approachbriefly in 1996 but withdrew followingsubmissionsfrom the AustralianGovernment.
Import licensingWhile most of Malaysia’stariffs arelow, therearediscretionaryimport licensingarrangementsin manyproductsectorsofinterestto Australianexporters.Agriculturalproductssubjecttoimport licensingincludesugar,rice anddairy products. Industryhasconcernsover theuncertaintysuchdiscretionaryarrangementscausesas the basisfor grantingof import licensing.ThroughMAFTA negotiations,we areseekingto ensureimport licensingis not actingas abaffler to tradefor our exports.
Other Non-Tariff Barriers
Labellingrequirements - Wine
AustralianwineexportsenteringMalaysiaarerequiredto includelabellingwhich statesthealcoholcontentin BahasaMalaysia. Wineimportedinto Malaysiarequiresthat a bottlefromeachcaseof importedwinebetakenfor analysis,therebyincreasingthe landedcostof theproduct. Winesexportedfrom Australiahavealreadyundergoneanalysisby accreditedlaboratoriesto ensuretheycomplywith Australianlaws. We areseekingto addresssuchissuesthroughMAFTA negotiations.
2.3 Malaysia-Australia Free Trade Agreement Negotiations
PrimeMinister JohnHowardandhis Malaysiancounterpart,PrimeMinisterAbdul lahBadawi,agreedto launchtheMalaysia-AustraliaFreeTradeAgreementnegotiationson 7 April 2005following the completionof parallelseopingstudiesby both countries. Therehavebeenfour fullroundsofnegotiationssofar (Kuala Lumpur,May andAugust2005,Canberra,March2006 andKualaLumpur, July2006). Negotiationsareexpectedto concludein 2007.
A ETA with Malaysiapresentsasignificantopportunityto gainpreferentialaccessto theMalaysianmarketandallow Australianexportersto furtherutilisetheir comparativeadvantagein low freight costs. A ETA may alsobe capableof addressingongoingmarketaccessconcerns,suchas Halal certificationof Australianmeatexports,andprovidean opportunityto removetherisk posedby highboundtariff ratesandthe proposedimplementationof TRQs. We areconsultingwith industry to ensureindustryconcernsaretakeninto accountin negotiations.
A ETA with Malaysiais likely to facilitate an increasein Australianexportsof dairyproducts,someprocessedmeatproducts,otherprocessedfoodsandbeverages,including wine andsomehorticulturalproducts.
Overall,Malaysiais arelatively maturemarketfor Australianexportersandanyincreasesindemandwill bein line with the wagegrowth andeconomicdevelopmentof the middle-income
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
class. Nevertheless,theMalaysianmarketis becomingincreasinglycompetitivein thosesectorswhere importscanbe sourcedfrom SouthAfrica, Chinaand SouthAmericain thesameseasonasAustralia’ssuppliers.
2.4 Portfolio Industry Cooperation
As well asgovernment-to-governmentcooperation,AustralianandMalaysianportfolioindustrieshaveengagedin cooperativeactivitiesandcommercialarrangementswith mutuallybeneficialoutcomes.
Cattle in Oil Palm Plantations
A key exampleofsuchmutually beneficialcooperationis theintegrationof Australian-borncattleinto Malaysianoil palmplantationsto assistin weedmanagementandcontrol.
Malaysiais theworld’s largestproducerofpalmoil, with about4 million hectaresunderplantation,producingapproximately15 million tonnesofcrudepalm oil in 2005 andemployingapproximately365 000 plantationworkers. The total volumeof Malaysianexportsofoil palmproducts,constitutingpalm oil, palm kerneloil, palmkernelcake,oleochemicalsandfinishedproductswas 18.62million tonnesin 2005,generatingexportrevenueofapproximately$10.21 billion.
Malaysianpalm oil plantationsaresusceptibleto weedinfestationwith weedmanagementcostsforplantationsin the orderof$43 perhectareperyear. The exportofAustralianBrahmancattleto l’vlalaysia for useasanorganicweedcontrol in oil palmplantationshasprovenverysuccessful,contributingto largecostsavingsin theorderof 80 per centoverfouryearsfor largeplantationsdueto reducedchemicalandlabourcosts. Thehigh proteinfeedhasalso resultedingoodgrowthratesfor the cattle.
MeatandLivestockAustralia(MLA) hasprovidedtechnicalsupportto this initiative, includingsuccessfulseminarsin 2005 with furtherseminarsscheduledformid-November2006, involvingtheAustralianBrahmanBreedersAssociation(ABBA) andtheNorthernTerritory Government.
Thissuccessfulcooperationwas featuredon theABC’s Landlinein July 2006.
Restraining Boxes
A furtherexampleofmutuallybeneficial industry-ledcooperationwith Malaysiais theinstallationofrestrainingboxesto addresspotentialanimalwelfareconcerns.MLA andLivecorp, throughthe South EastAsianJointProgramme,havedeveloped,testedand installedanumberofrestrainingboxesin key IndonesianandMalaysianabattoirs. DAFF hasprovidedfunding undertheLive Animal TradeProgrammeto furtherthis initiative to addresspotentialanimalwelfareconcernsaroundAustralianlive cattleenteringthesemarkets.
Fundinghasbeenapprovedfor the installationoffifty restrainingboxesoverthreeyears. Theobjectiveoftheprojectis to install MLA/Livecorp designedrestrainingboxesin all IndonesianandMalaysianabattoirsreceivingAustraliancattle.
The projectwill addressanimalwelfareissuesin IndonesiaandMalaysiaby introducingtechnologicallyappropriateandhumaneslaughtermethodsfor AustraliananimalsexportedtoIndonesiaandMalaysiafor consumption.
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
3.Scientific Cooperation
3.1 Technical Cooperation and Capacity Building
TheAustralianGovernmentis stronglysupportiveofregionalcapacitybuilding in relationtoSanitaryandPhytosanitary(SI’S) issuesaswell aszoonoticdiseases.DAFT is involved in anumberofAustralianfundedregionalcapacitybuilding activitiesin SI’S-relatedareasthatbenefitMalaysia’sagriculturesector. Ourwork in this arealeadsto acloserrelationshipbetweenAustraliaandMalaysiaon technicalissues.Benefitsincludean increasedMalaysianunderstandingofAustralia’sapproachandthe importanceofhaving appropriateSI’S regimes.In addition, there are potential flow on benefits, including that, as systemsimprove in countriessuchasMalaysia,therisk ofincursionofexotic pestsanddiseasesinto Australiais reduced.Technicalcooperationandcapacitybuildingalsohavea positive impacton theoverall bilateralrelationship.
Australian Fumigation Accreditation Scheme— Malaysia
In responseto thehigh quarantinerisk posedby ineffectivefumigationtreatmentsperformedoffshore,AQIS developedthe AustralianFumigationAccreditationScheme(AFAS) to assistoffshorefumigatorsto meetAustralia’squarantinerequirements.Malaysiawasidentifiedasacountthat would benefit from participationin AiFAS andwasthesecondcountryto participatein the AFAS programmeafter Indonesia.
AFAS involveson-site fumigationtraining,developmentand implementationof a registrationsystemfor approvedfumigationcompanies,andperiodic third partyreviews. To successfullyimplementAFAS in Malaysia,extensivetraining wasdeliveredto Malaysianfumigationindustrypersonnelandofficers from the MalaysianDepartmentofAgriculture(DoA) in bestpracticefumigationtechniquesfor quarantinepurposes.A “train-the-trainer”coursewasalsodeliveredin November2005,to allow DoA to providetrainingto fumigatorsandrelevantDoAstaffand to ensuretheongoingsuccessofAFAS in Malaysia.
AFAS hasbeenin operationin Malaysiasince 1 December2005, following the signingofaMoU in August2005. Therearecurrently41 Malaysianfumigationcompaniesregisteredtoconducttreatmentsfor goodsdestinedfor Australia.
AQIS is alsoworking in cooperationwith theMalayssianDoA, the lndonesianAgriculturalQuarantineAgencyandtheUnitedStatesDepartmentofAgriculture to progressarrangementsforan Asia-PacificEconomicCooperation(APEC) fundedAFAS Symposium.
SPSCapacity Building Programme
A majorprogrammethroughwhich DAFF engagesin technicalcooperationandcapacitybuilding with Malaysiain theareaofSI’S is the SI’S CapacityBuilding Programme(SI’S CBP).This is a three-yearprogrammefundedby AusAID andmanagedby theOffice oftheChiefPlantProtectionOfficer (OCPPO)within DAFF.
The programmeinvolvesthe tencountriesofSouthEastAsiaandaimsto enhancethecapacityof ASEAN focalcountries(Cambodia,Laos,Myanmar,Vietnam,Thailand,Indonesiaand thePhilippines)to meetinternationalstandardsconsistentwith theWTO Agreementon theApplicationofSanitaryandPhytosanitaryMeasures(the SPSAgreement).As a non-focalcountry, Malaysiais noteligible for fundingunderthis programmeand thereforeparticipatesintheprogrammeusingits own resources.Malaysiaoftencontributesfacilities andexpertisetoprogrammeworkshops.
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with M~~.sia
The programmealso supportstheASEAN FreeTradeAgreement-CloserEconomicRelationsCloserEconomicPartnerships(AFTA-CER CEP) agenda,including theintent outlinedin theMinisterial Declarationfor AustraliaandNewZealandtoprovidecapacitybuildingassistancetoASEAN countries.
The programmegoal is addressedthroughthreekey components,eachunderpinnedwith severalactivities:1. SPSTradeLinkages- to promoteunderstandingin theSouthEastAsianregionofthe
linkagesbetweenthe SPSAgreementand trade.2. Enhancedcapacityto constructplant pestanddiseaselists andconductpestrisk analyses.3. Strengtheningregionalcapacityto control trans-boundarymovementofanimaldiseases.
Delegatesfrom focal countriesparticipatein activities thathelp build plant andanimalhealthcapacityfor internationaltrade. Activities includetraining in diagnosisofpestsanddiseases,integratedanimaldiseasezoning,rehabilitationandmanagementofplantpestcollection,developmentandsupportfor databasesystemsto supportpestanddiseaseinformationmanagement.
SoutheastAsia Foot-and-Mouth DiseaseFramework
Australiaalsoworks collaborativelywith Malaysiaon foot-and-mouthdisease(FMD) issueswithin the SoutheastAsiaFMD (SEAFMD) framework,aswell asthroughtheSI’S CEP.
SEAFMD wasinitiated in 1990 in recognitionofthe importanceofFMD asa regionalanimalhealthissuewith the potentialto spreadacrossinternationalboundaries.It becamea formalWorld Organisationfor Animal Health(OLE) programmein 1994with theformationofaspeciallyestablishedSub-Commissionfor FMD in SouthEastAsia. Dr GardnerMurray, theAustraliandelegateto theOLE is the presidentoftheOlE RegionalSub-Commissionfor FMD inSouthEastAsia.
The SEAFMD programmeis progressingwell andthemodelis beingusedto supportdiseasemanagementactivities in otherareas,for exampleavianinfluenza. The eightcomponentsoftheprogrammehavebeen:. internationalcoordinationandsupport;• programmanagement,resourcesandfunding;• public awarenessandcommunications;0 diseasesurveillance,diagnosis,reportingandcontrol;
policy, legislationandstandards;• regionalresearchandtechnologytransfer;• privatesectorintegration;. monitoringandevaluation.
Emerging and Resurging Zoonotic DiseaseRegional Initiative
In responseto outbreaksofH5Nl highly pathogenicavianinfluenza(HPAI) in the region,AusAID designeda programmeofassistanceto strengthenthecapacityofEastAsiancountriesto identify andrespondto outbreaksofAl andotherrelateddiseasesthroughanumberofscientificcollaborativeactivitiesbetweenthe differing disciplinesofhumanandanimalhealth,aswell asbetweenAustralianandASEAN (and its membercountries)agencies,including theASEAN HPAI Taskforce. Malaysiafulfils a numberofroleswithin the ASEANHPAITaskforceandcoordinatesa numberofTaskforceactivities.
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DAFF Submission to the JSCFADT Inquiry intoAustralia’s Relationship with Malaysia
The 3 year,Sim AusAID-funded‘EmergingandResurgingZoonoticDiseaseRegionalinitiative2005—2007’programmeaimsto addressgapsin theareasofsurveillanceandreporting,humanandanimalhealthlaboratorydiagnosticcapacity,andemergencypreparedness.
DAFF, throughits ProductIntegrityAnimal andPlantHealth(PIAPH) Division managesan
elementof theprogramme,focusingon surveillance,diagnosisandemergencymanagement.
Collaborationon ScrewWorm Fly ResearchandDevelopment
AustraliaandMalaysiahavealsocollaboratedon researchanddevelopment(R&D) in relationtoOld World ScrewWormFly (OWS), a seriousinsectpestof warm-bloodedanimals,presentinAfrica, theMiddle East,SouthandSouthEastAsia andPapuaNew Guinea.
During the1990s,theAustralianGovernmentprovidedfundingfor theconstructionofa facilityat Kluang,JohorState,Malaysia,for R&D into thecontrolof OWS undera MoU. Thiscooperationincludedtechnicalandengineeringtechnologytransfer. At the conclusionof a fieldtrial ofthesterile insecttechniquein July 2000, the facility washandedoverto theMalaysianGovernmentin accordancewith the MoU.
Australiacontinuedto assisttheMalaysianGovernmentwith its offer to providethe facility forfurtherinternationalOWSR&D, including throughthe InternationalAtomic EnergyAgency(LAFA) andtheFoodandAgriculture Organisation(FAO), particularlyto countriesin theregionandto assisteffortsagainstOWS in Iraq.
Fruit Fly Research
MalaysiahoststheSouthEastAsianRegionalFruit Fly Centre,the main hub for anewnetworkof SouthEastAsianlaboratoriesand institutionsconcernedwith researchon tropical fruit fliesandthemanagementoftheseseriouspests. The Centreaimsto coordinateresearchon pestfruitflies andfacilitatetheapplicationofresearchto minimiseproductionlossesandenablesafetradein commoditiesaffectedby pestfruit fly. The CentreexistsunderaMoU betweenAustralia’sGriffith University andtheMalaysianGovernment,with endorsementby all ASEAN AgricultureMinisters. Malaysia,ashost, providesstaff, office spaceand interim laboratoryfacilities. TheMalaysianGovernmentis alsobuildingnewfacilities at Serdang,nearKualaLumpur,toaccommodatethe Centrein the long term. Griffith University, throughits own Fruit FlyResearchGroup,providestechnicalsupportto the RegionalCentre’sproposedwork programme.
While Australiadoesnotcurrentlycontributetowardthecorefunding oftheCentre,theAustralianGovernmenthascontributedto recentactivitiesthathavetakenplaceundertheumbrellaoftheCentre,the regionalnetworkorGriffith University’s Fruit Fly ResearchGroup.Theseinclude: two workshopson fruit fly surveillanceanddiagnosticsfundedby AusAID, within-kind contributionsfrom DAFF; trainingin fruit fly diagnosticsusing Departmentalfunding,andACIAR-fundedprojectsin VietnamandIndonesia.
Technical Cooperationin Forestry
Malaysiahasproposedtechnicalcooperationwith Australiain forestryplantationestablishmentandmanagementandin wood-workingand furnituredesign. Following discussionswith, andcorrespondencefrom, theMalaysianMinisterofPlantationIndustriesandCommodities,PeterChin, in April andMay2005, the thenMinister for Fisheries,ForestryandConservation,SenatortheHonIan Macdonald,wrote to MinisterChin in July 2005 suggestingthat thedevelopmentofcloserlinks betweenAustralianandMalaysianresearchandeducationinstitutionswould benefitboth countriesandthat Malaysianinstitutionscould liaise directly withorganisationssuchastheForestandWood ProductsResearchandDevelopmentCorporationandCSIRO,to pursuetechnicalcooperation.
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