The Growth Of Australia s Resource Industries - 2073 Words

Beyond the tremendous growth of Australia’s resource industries lies another story of great Asian potential. This is the story of a future Australian economy and society that is fully engaged with Asia. Already, companies from outside the resources sector that have begun their journey into Asia are writing the first chapters of that story. The choice to make the Asian Century an Australian century is ours to make. It is time to decide. Asia’s economic transformation is most evident in three areas. First Asian economies have sustained high investment in infrastructure, housing, Industry and human capital. Second, these economies are increasingly sophisticated and integrated across the region and with the rest of the world. And third,†¦show more content†¦Similarly, relationships are critical in highly competitive Asian markets. Australian firms expanding to Asia must place higher bar, relative to their domestic businesses, on prioritising market entry, building relationships and gaining advantage from intellectual property and expertise. And finally, Asian markets are diverse and dynamic, so Australian firms need agile, adaptive operating models. As Australian firms develop and deliver services and products to Asia, they drive incomes and living standards for Australians. Non-resource exports to Asia already generate A$65b of revenue while Australian has A$74b of direct and portfolio investment in Asia. Yet despite the rapid growth of Asia, Australia’s share of non-resource imports into the region has fallen over the past decade. If Australia could arrest this decline or even increase its non-resource share of Asian imports to peak levels of 2001 Australia could gain between A$10b and A$30b in annual export revenue by 2021. Over the next decade this could be worth between A$60b-A$125b in total value for the Australian economy. These estimates do not account for revenue from Australia’s direct and portfolio investment stock in Asia and further revenue from Australia’s direct and portfolio investment stock in Asia and further revenue likely to flow from the increased resilience and adaptability of Australia ’s institutions and firms