India Trade Group Dinner
Greetings everyone in the languages of the realm of New Zealand - in English, Maori, Cook Island Maori, Niuean, Tokelauan and New Zealand Sign Language:- Kia Ora, Kia Orana, Fakalofa Lahi Atu, Taloha Ni (+Plus Sign).
May I specifically greet you: Hon Chris Carter, Minister of Education; Dr Richard Worth, MP and Chair of the India Trade Group; Tim Groser, MP; Dr Rajen Prasad, Chief Commissioner of the Families Commission; Members of the Executive of the India Trade Group; Distinguished Guests otherwise; Ladies and Gentlemen. May I then add, in the context of this evening, the greetings Namaste, Namashkar, Kam Cho, Sat Sri Akaal and Salaam Walaikum.
Thank you for inviting my wife Susan and me to attend this dinner marking the first anniversary of the India Trade Group. It is also a good reason to be at the Mahatma Gandhi Centre here in Auckland, the last occasion for which was in August for the celebrations marking 60 years of Indian independence.
In my contribution to this evening, I would like to take an opportunity to examine New Zealand's present engagement with India and the potential for that relationship to grow.
India has been a country very much in the news this year. The celebrations marking 60 years of independence have provided an opportunity to look afresh at how India has changed.
The time since independence has not always been easy but much has been achieved. In 60 years, life expectancy has more than doubled and, now, at 68 years, is higher than the global average. Likewise, over the same period literacy has climbed from under a quarter to more than a half. These improvements in health and education delivery have been achieved despite a massive increase in India's population, which now stands at more than 1.1 billion.
In the last 20 years, India's economy, which for a number of years sat in the doldrums, has surged. Since the 1990s, sustained high growth rates have set the stage for India to become one of the world's largest economies. Time magazine recently forecast that by 2050, only China and the United States will surpass India in terms of economic growth. Even so, while living standards have improved, by a number of measures, many Indians continue to live in relative poverty and much remains to be done.
The potential for increased trade between India and New Zealand is significant for several reasons. First, the two countries have much in common, including use of the English language, a Westminster parliamentary democracy, a common law-based legal system, commonwealth ties and sporting affiliations in cricket and hockey.
Secondly, capacity for those links has been enhanced by New Zealanders of Indian origin who, in last year's Census, numbered more than 104,000. While there has been a significant increase in migration by those of Indian origin in recent years, the roots of that relationship go back more than a century. Indeed, in the last few months, two books about the lives of New Zealand's early Indian settlers have been completed and launched.
New Zealanders of Indian origin have contributed much in a variety of occupations that span business, medicine, the law and many other professions. Earlier this year Susan and I had the pleasure of attending a dinner organised by Indian lawyers in Auckland that took up an entire large restaurant. The number of New Zealand lawyers of Indian origin practising in Auckland and Manukau was notable. When I was admitted to the Bar in 1970, the number of Indian lawyers were able to be counted on one hand and such a dinner could have easily been held in a family home!
Thirdly, the sheer size of India's economy means that the trading potential offered to countries such as New Zealand is significant. Tourism, education and film making have been the mainstay of the services trade with India. About 20,000 people travel each way between India and New Zealand each year while more than 120 film crews have visited New Zealand from India in recent years.
On the education front, the New Zealand Government's policy of offering domestic fees for international doctorate students has been particularly attractive to Indian students many of whom prefer to complete undergraduate degrees at home and postgraduate study overseas. Some New Zealand universities have also established relationships with Indian counterparts. About 3,000 students from India choose to study in New Zealand a year.
India is a significant trading partner of New Zealand's with merchandise exports to India in the year to June 2007 worth $NZD 357 million, a huge increase on 2004. Most of this trade is in primary produce, wool, logs and particularly coal. The trade base is also diversifying, with greater emphasis on specialised manufactured products. New Zealand in return imports diamonds, electrical machinery and textiles.
The Ministry of Foreign Affairs & Trade has identified some key issues that inhibit trade between New Zealand and India. They include the need for greater two-way investment, tariffs and non-trade barriers.
These are issues where the work for organisations such as the India Trade Group, which celebrates its first anniversary with this Dinner, and the India New Zealand Business Council, whose joint meeting with its Indian counterpart I attended in October, can be of assistance. In undertaking such activities, it is important, however, that all parties work together. Trade negotiations are highly complex and the work of the Government and the Ministry can easily be undermined if all other parties are not working in a similar direction.
I am advised that in its first year, the India Trade Group has been busy, hosting functions for two prominent Indian political leaders, for example —the former Chief Minister for the State of Uttaranchal in northern India, N.D. Tiwari, and the Federal Minister for Youth and Sports Mani Shankar Iyer. The ITG also signed a Memorandum of Understanding with the Indian Merchant Chamber in Mumbai and held a two-day trade fair in August in Auckland as a part of the Indian independence celebrations. I understand it has also been involved in lobbying to reduce tariffs on the sale of New Zealand wine, among other issues. All this work is to be commended.
In building trade links, it is also vital for there to be more than business underpinning the relationship. Education and cultural exchanges are also important in building a multi-faceted relationship. On that point the Asia New Zealand Foundation, of which Tim Groser was Executive Director for a term, deserves mention, because in addition to promoting business, media and youth leadership links it has done a great deal in making Diwali something which can be related to by all New Zealanders.
But there is more that could be done - for example, in building sister city relationships. The Sister Cities New Zealand organisation exhibits that no New Zealand local authorities have yet established a sister city relationships with cities in India. This maybe an area to which the India Trade Group could turn its attention because the SC initiative has shown time and again with Japanese, Korean and Chinese cities to be the harbinger of many links.
In conclusion, based on the common links between New Zealand and India, the potential for a much stronger relationship exists across a wide range of activities. I wish to commend the organisers and supporters of this evening.
And on that note I'll close. Thank you again for the invitation. Dhan baad, Shukriya.
Tena koutou, kia ora, kia kaha, tena koutou katoa.