Opportunities in Russia growing rapidly

The Minister for Trade, Simon Crean, said today that Australian exporters and investors are making strong inroads into the Russian market – and there is considerable potential for further growth.

“Opportunities are opening up in a range of sectors in which Australia has strengths — food and agribusiness, mining and energy, infrastructure and financial services,” Mr Crean said.

“Long-term, strategic partnerships pay off. There is huge potential in Russia — and we need to work with Russia to develop it.”

Mr Crean co-chaired the second Australia-Russia Joint Commission on Trade and Economic Co-operation (JCTEC) with his Russian counterpart, Minister Aleksey Gordeyev. 

“We had a good exchange,” Mr Crean said. “I emphasised the Government’s commitment to our trade and investment relationship with Russia” and pressed a number of priorities of Australian businesses operating in Russia.

"We have agreed to work together on a bilateral investment agreement and on a bilateral agreement to facilitate our growing agricultural trade.

“I am convinced this is a relationship that’s been underdone”, Mr Crean said. 

“We haven’t held a JCTEC with Russia since 1995 — when Labor was last in office. Dialogue at the government-to-government level is important as is the business-to-business and business-to-government dialogue, to support the commercial relationship.”

Mr Crean also held three industry round-tables with representatives of Australian financial services, agriculture and mining and energy sectors to explore opportunities to build on the $1 billion two-way trade relationship. 

“There are challenges doing business in Russia — there’s no point denying that — but the benefits are there for those who are willing to put in the effort”.

Our investment partnership is a real success story — in both directions — and is now valued at over A$6 billion.

“We have to build on this success story because investment — particularly in sectors like finance, energy and mining — is increasingly driving trade opportunities.

“With the current uncertainty of the global financial crisis it is more important than ever that we build our trade and investment partnerships — particularly with one of the fastest growing markets for Australian business abroad”, Mr Crean said.