Estimates Vote

Department for Trade and Investment, $43,949,000

Minister:

Hon. S.J.R. Patterson, Minister for Trade and Investment.

Departmental Advisers:

Ms L. Muldoon, Chief Executive, Department for Trade and Investment.

Ms M. Antcliff, Deputy Chief Executive, Department for Trade and Investment.

Ms S. Adlaf, Director, Strategic Operations, Department for Trade and Investment.

Mr J. Ross, Director, Policy and Analytics, Department for Trade and Investment.

Ms R. Lang, Manager, Finance Procurement and Facilities, Department for Trade and Investment.

The CHAIR: Good morning and welcome back to Estimates Committee B. I will open with some remarks from the Chair. The estimates committees are a relatively informal process and, as such, there is no need to stand to ask or answer questions. I understand that the minister and the lead speaker for the opposition have agreed on an approximate time for the consideration of proposed payments, which will facilitate a change of departmental advisers; potentially not in this case. Can the minister and the lead speaker for the opposition confirm the timetable for today's proceedings, previously distributed, is accurate? I will take the indifference as a yes.

Changes to committee membership will be notified as they occur, and I have a number of those to make in a minute or so. Members should ensure that the Chair is provided with a completed request to be discharged form. If the minister undertakes to supply information at a later date, it must be submitted to the Clerk Assistant via the answers to questions mailbox no later than Friday 24 September 2021.

I propose to allow both the minister and the lead speaker for the opposition to make opening statements of about 10 minutes each, should they wish. There will be a flexible approach to giving the call for asking questions. A member who is not a member of the committee may ask a question at the discretion of the Chair. All requests are to be directed to the minister, not to the minister's advisers. The minister may refer questions to advisers for a response, should they wish.

Questions must be based on lines of expenditure in the budget papers and must be identified and referenced. Members unable to complete their questions during the proceedings may submit them as questions on notice for inclusion in the assembly Notice Paper. I remind members that the rules of debate in the house apply in committee. Consistent with the rules of the house, photography by members from the chamber floor is not permitted while the committee is sitting.

Ministers and members may not table documents before the committee. However, documents can be supplied to the Chair for distribution. The incorporation of material in Hansard is permitted on the same basis as applies in the house, that is, that it is purely statistical and limited to one page in length. The committee's examinations will be broadcast in the same manner as sittings of the house are broadcast through the IPTV system within Parliament House via the webstream link to the internet and the Parliament of South Australia video-on-demand broadcast system.

We will begin today with the portfolio of the Department for Trade and Investment. The minister appearing is the Minister for Trade and Investment. I declare the proposed payments open for examination and call the minister to make an opening statement, if he wishes.

The Hon. S.J.R. PATTERSON: Thank you, Chair. I would like to introduce the department representatives who we have here today. To my left, your right, we have Ms Leonie Muldoon, Chief Executive, Department for Trade and Investment. Also, behind me is Ms Megan Antcliff, deputy chief executive; Ms Sophie Adlaf, director, strategic operations; Ms Rebecca Lang, manager, finance procurement and facilities; and Mr Justin Ross, director, policy and analytics.

I am pleased to be here to talk about the work of my department in what has been one of the most challenging periods on record. Despite this, we have continued to drive investment, drive exports and create jobs and careers for people in South Australia, positioning our state as a global investment destination. However, the recent lockdown we have had in South Australia, and also the deteriorating situation in New South Wales, serve to illustrate as a reminder of just how delicate this situation is and how quickly things can change.

Reflecting back on the past year, how South Australia has performed and what my department has been able to achieve, there is much to be proud of. On the investment front, my department has delivered significant investment and was directly responsible for $703 million worth of foreign direct investment in the last financial year, creating more than 3,495 direct and ongoing full-time equivalent jobs for South Australians. This is a significant achievement, considering the extremely constrained environment the world has been operating in for the past 18 months.

If we include the 1,688 construction jobs associated with these projects, we have achieved a total of 5,183 jobs for South Australians. Through foreign and local investment, the Department for Trade and Investment has been directly involved in achieving almost $1 billion worth of investment over the past financial year. Some examples of the businesses we have attracted to South Australia over the previous year include global tech companies like Amazon Web Services, Google Cloud and MTX Group. These follow from on Accenture establishing in South Australia, creating 2,000 jobs.

A lot of the investments in this area focus on artificial intelligence (AI) and the world-class expertise we have in this space, thanks to institutions like the Australian Institute for Machine Learning (AIML) and the MIT Living Lab. As a government we have been focused on investing in areas where we can be globally competitive, and this is definitely an area in which we excel, which is why in this budget we have committed to our new $1.6 million AI in health program, to further grow and commercialise this important sector and create jobs.

Other significant investments include Qantas announcing its regional hub with new Embraer E190 aircraft based at Adelaide Airport and DCI data centres investing $70 million expanding their data centre facility. I am happy to talk about these and many other investments in detail later on. For small-scale investments we have the Landing Pad program, which continues to attract international companies with high growth potential. Last financial year, a total of 14 overseas and interstate companies were welcomed as South Australia Landing Pad grant recipients.

My department is also leading the across government economic reform agenda in Growth State and assisting South Australian companies within our priority sectors to apply for funding through the Australian government's national modern manufacturing initiative (MMI). Almost a year ago the Invest in South Australia website was launched, showcasing investment opportunities. Currently, there are around 38 investment opportunities listed, and it has supported the sale of investments such as the Titanium Security Arena, a $30 million investment. This has been a crucial tool for our overseas office network, which has been vital in connecting businesses with investors and investment opportunities.

Moving to trade, despite a significantly disrupted and challenging year, we have continued to deliver, facilitating $54.3 million worth of exports and 179 successful trade outcomes for South Australian exporters. The Department for Trade and Investment also supported 141 South Australian businesses to become first-time exporters or to enter new markets. We have continued to invest in our network of trade offices around the globe—a signature policy of this government—with a new trade and investment office in Singapore to cover South-East Asia, and new trade and investment specialists in Seoul in South Korea, New Delhi in India and New York in the United States.

In this budget we have doubled down on our policy and are investing in a trade and investment office in Paris, France, to cover Europe, and I am happy to talk about these and many other successes in detail a little later. As I have already mentioned, digital engagement has been the cornerstone of our work through 2020-21. During that time the department has delivered 88 digital webinars, seminars, business-to-business matching and hybrid events. We have also just finalised our business-to-business virtual platform to enable clients to interact efficiently with both the Department for Trade and Investment's trade advisers, our overseas offices and companies around the world, further bolstering our capabilities.

In other trade programs, we launched the second round of the eCommerce Accelerator Program, round 9 of the South Australian Export Accelerator Program and the $2.2 million Global Expansion Program. Again, I can talk about these in detail a little later on. From a whole-of-state trade perspective, South Australia has done exceptionally well, despite the global headwinds. In the year to May 2021, South Australian merchandise exports totalled $12.6 billion, a 13.7 per cent increase compared with the year to May 2020 and more than $1 billion ahead of last year's export performance.

I note that preliminary trade data has also been released for June 2021, giving us the latest financial year. Subject to any revisions when the final trade estimates are released for June, this pointed to yet further growth. In fact, we achieved an all-time record high of $12.8 billion for South Australian merchandise exports. This was up 15.1 per cent on the 2019-20 financial year.

Despite the positive trade numbers, there are many challenges still ahead, which is why in this budget we launched the new $5.4 million Wine Export Recovery and Expansion Program to support South Australian wineries, increase commercial opportunities, diversify into new markets and grow sales channels.

Lastly, we continue to work with the education sector on a plan to bring international students back to our state, which has been endorsed by the Australian government. We are the first jurisdiction to receive this approval. International students are a vital part of our society, culture and economy, and the objective is to have them back in South Australia very soon through our International Student Arrival Plan.

To not take up any more time, I will quickly summarise by saying that it has been an incredibly difficult year, but throughout it all my department has risen to the challenge, delivering for South Australia through stimulating significant investment and trade outcomes. As the world still grapples with COVID-19, South Australia is well positioned to further enhance our economy. We will continue to focus on driving investment, driving export growth and creating jobs and careers for people in South Australia.

The CHAIR: Lead speaker for the opposition, did you wish to make an opening comment?

The Hon. Z.L. BETTISON: I do not have an opening remark. I think we will go straight to the omnibus questions. The member for Badcoe has kindly offered to do those.

The CHAIR: That is what we call a handball. Member for Badcoe, proceed.

Ms STINSON: Absolutely.

1. For each department and agency reporting to the minister:

What is the actual FTE count at 30 June 2021 and the projected actual FTE count for each year of the forward estimates;

What is the total employment cost for each year of the forward estimates;

What is the notional FTE job reduction target that has been agreed with Treasury for each year of the forward estimates;

Does the agency or department expect to meet the target in each year of the forward estimates; and

How many TVSPs are estimated to be required to meet FTE reductions over the forward estimates?

2. For each department and agency reporting to the minister:

How much is budgeted to be spent on goods and services for 2021-22, and for each of the years of the forward estimates period;

The top 10 providers of goods and services by value to each agency reporting to the minister for 2020-21;

A description of the goods and/or services provided by each of these top 10 providers, and the cost to the agency for these goods and/or services; and

The value of the goods and services that were supplied to the agency by South Australian suppliers?

3. Between 1 July 2020 and 30 June 2021, will the minister list the job title and total employment cost of each position with a total estimated cost of $100,000 or more which has (1) been abolished and (2) which has been created?

4. Will the minister provide a detailed breakdown of expenditure on consultants and contractors above $10,000 between 1 July 2020 and 30 June 2021 for all departments and agencies reporting to the minister, listing:

the name of the consultant, contractor or service supplier;

cost;

work undertaken;

reason for engaging the contractor; and

method of appointment?

5. For each department and agency for which the minister has responsibility:

How many FTEs were employed to provide communication and promotion activities in 2020-21 and what was their employment expense;

How many FTEs are budgeted to provide communication and promotion activities in 2021-22, 2022-23, 2023-24, 2024-25 and what is their estimated employment expense;

The total cost of government-paid advertising, including campaigns, across all mediums in 2020-21 and budgeted cost for 2021-22?

6. For each department and agency reporting to the minister, please provide a full itemised breakdown of attraction and retention allowances as well as non-salary benefits paid to public servants and contractors between 1 July 2020 and 30 June 2021.

7. What is the title and total employment cost of each individual staff member in the minister's office as at 30 June 2021, including all departmental employees seconded to ministerial offices?

8. For each department and agency reporting to the minister, could you detail:

How much was spent on targeted voluntary separation packages in 2020-21;

What department funded these TVSPs (except for DTF estimates);

What number of TVSPs were funded;

What is the budget for targeted voluntary separation packages for financial years included in the forward estimates (by year), and how are these packages funded; and

What is the breakdown per agency/branch of targeted voluntary separation packages for financial years included in the forward estimates (by year) by FTEs?

9. For each department and agency reporting to the minister, how many executive terminations have occurred since 1 July 2020 and what is the value of executive termination payments made?

10. For each department and agency reporting to the minister, what new executive appointments have been made since 1 July 2020 and what is the annual salary and total employment cost for each position?

11. For each department and agency reporting to the minister, how many employees have been declared excess, how long has each employee been declared excess and what is the salary of each excess employee?

12. In the 2020-21 financial year, for all departments and agencies reporting to the minister, what underspending on operating programs (1) was and (2) was not approved by cabinet for carryover expenditure in 2021-22?

13. In the 2020-21 financial year, for all departments and agencies reporting to the minister, what underspending on investing or capital projects or programs (1) was and (2) was not approved by cabinet for carryover expenditure in 2021-22? How was much sought and how much was approved?

14. For each grant program or fund the minister is responsible for please provide the following information for 2020-21, 2021-22, 2022-23, 2023-24 and 2024-25 financial years:

Name of the program or fund;

The purpose of the program or fund;

Balance of the grant program or fund;

Budgeted (or actual) expenditure from the program or fund;

Budgeted (or actual) payments into the program or fund;

Carryovers into or from the program or fund; and

Details, including the value and beneficiary, of any commitments already made to be funded from the program or fund.

15. For the period of 1 July 2020 to 30 June 2021, provide a breakdown of all grants paid by the department/agency that report to the minister, including when the payment was made to the recipient and when the grant agreement was signed by both parties.

16. For each year of the forward estimates, please provide the name and budgeted expenditure across the 2021-22, 2022-23, 2023-24 and 2024-25 financial years for each individual investing expenditure project administered by or on behalf of all departments and agencies reporting to the minister.

17. For each year of the forward estimates, please provide the name and budget for each individual program administered by or on behalf of all departments and agencies reporting to the minister.

18. For each department and agency reporting to the minister, what is the total cost of machinery of government changes since 1 July 2020 and please provide a breakdown of those costs?

19. For each department and agency reporting to the minister, what new sections of your department or agency have been established since 1 July 2020 and what is their purpose?

20. For each department and agency reporting to the minister:

What savings targets have been set for each year of the forward estimates;

What measures are you implementing to meet your savings target; and

What is the estimated FTE impact of these measures?

The Hon. Z.L. BETTISON: My first question relates to Budget Paper 4, Volume 4, page 114, looking at the objectives of trade and investment. How many jobs in South Australia are related to the export of our goods and services? The department advised in November 2020 that there were 74,220 FTE jobs, down from 79,000. What is the current advice?

The Hon. S.J.R. PATTERSON: I am advised in terms of this figure as well—it is worth the committee noting—it is a derived figure, so it is not in the ABS statistics. It is done with the best modelling intentions, but that is, I think, a caveat that is worth considering, and I will touch on that a little bit later. In terms of the numbers for the 2019-20 year that you are looking for, I am advised that that number is 74,220 exporters.

As I said in my opening remarks, it certainly has been a tough year for exporters, but we know as a state and as a government that what we are really leaning in on and knowing is that to help grow our economy, one of the big levers that we have at our disposal is to grow exports. We are firmly committed to growing exports and helping out all those export companies and through that the jobs that come out of that, at an estimated value of 74,222. It is worth knowing they involve export more broadly as well.

If I could just reiterate that it has been hard for these exporters because of international border closures. Naturally, being an exporter you would want to be into those international markets and that has unfortunately not occurred because of international border closures. In lieu of that, we are leaning in and helping these exporters and these over 74,000 export jobs via our significant trade office network. That has been really useful for all our exporters over this period of time. As I said in my opening statements, we have rolled out some trade offices. We have further leaned in on that in the 2020-21 financial year, opening up Seoul in South Korea, which is an emerging market. It is going to be—

The Hon. Z.L. BETTISON: Sorry, Chair, my question was very specific. I have lots of questions and would like to move on.

The CHAIR: We are very early in proceedings, so I am going to give the minister a little bit of slack to provide an answer to you.

The Hon. Z.L. BETTISON: He did provide the answer.

The CHAIR: Yes, he is able to provide an answer as he wishes.

The Hon. S.J.R. PATTERSON: Thank you, Chair. I do feel it has been such a challenging year for these exporters and there is concern and they want to know what the government is doing to assist them because it is really important for our state's economy. It is not just these 74,000 jobs, of course, that rely on exports, it is all the indirect jobs that come out of it as well. I will continue on and further explain our assistance to these exporters in New York as well, which is a significant market. It is our second biggest export market, with over $900 million of trade there. So opening up in New York where we did not have a presence is very important.

The Hon. Z.L. BETTISON: It is not relevant.

The Hon. S.J.R. PATTERSON: New Delhi is an emerging market as well, and we are helping out exporters there, and just recently, we opened a trade office in Singapore. That ASEAN region has a massive growing middle-class food bowl. They are ravenous for our food and that will assist our exporters. Thank you for allowing me that time to reassure our exporters that while they cannot travel we are helping them out.

The CHAIR: That was a very fulsome answer, minister.

Mr WHETSTONE: Mr Chair, a point of clarification: I am just wondering whether the member for Badcoe has some form of dispensation for not having to wear a mask.

Ms STINSON: Thank you, I appreciate the reminder. I was speaking earlier and I neglected to put it back on.

Members interjecting:

The CHAIR: Members, let's—

Ms STINSON: As a point of clarification, Mr Chair, I understand that if we are speaking then we do not have to wear it, but maybe you could shed some light on that.

The CHAIR: Correct.

Mr WHETSTONE: Were you speaking?

Ms STINSON: Well, I was, yes—and I am speaking right now; there are words coming out of my mouth.

The CHAIR: Members, from both sides, please!

Mr WHETSTONE: Do as you are told.

Ms STINSON: Oh, sorry, I have to do as you tell me, is that what you are saying?

Mr WHETSTONE: What, are you going to bully me like you bully your staff?

Ms STINSON: You just told me to do as I am told. By you?

Mr WHETSTONE: Are you going to bully me like you bully your staff?

Ms STINSON: By you? You are going to tell me to do as I am told?

The CHAIR: Members!

Mr WHETSTONE: You are a bully!

Ms STINSON: Whatever!

The CHAIR: Members, this is completely unacceptable.

Ms STINSON: It is completely unacceptable.

The CHAIR: Completely unacceptable—

Mr WHETSTONE: Put your mask on.

The CHAIR: Completely unacceptable, from both sides. Please, enough! We are here to do a job for the people of South Australia. Let's remind ourselves of that. Member for Ramsay.

The Hon. Z.L. BETTISON: I will ask two questions in one, and I am asking specifically: how many South Australian businesses are considered exporters, and how many direct clients of DTI are there?

The Hon. S.J.R. PATTERSON: Seeing it is a two-part question, I have the first question at hand and while I am answering that we will be able to provide you with the second answer. In terms of the number of South Australian merchandise exporters that we have here, this is ABS data so we can rely upon its accuracy. It talks to 3,000 merchandise exporters, according to the latest data available. Of course, this will be updated as we go along. You will notice that in the opening remarks and the highlights of these export companies it talks to the number of South Australian companies we have assisted; however, that is by no means the entire number on the database. As we are waiting for that information, the number in the database—

The Hon. Z.L. BETTISON: I am happy for you to take it on notice.

The Hon. S.J.R. PATTERSON: We will give it a little bit more time but while we are waiting for that, it also talks to the TradeStart network that the department has here. We have TradeStart officers and they are really the conduit between these South Australian exporters and the global network. In the highlights it talks to this network assisting over 120 new exporters and companies to capture these new markets. In the absence of an answer I will take the second question on notice.

The Hon. Z.L. BETTISON: Thank you, minister. Moving on to Budget Paper 4, Volume 4, page 116. Why has the budget for the DTI office relocation and refurbishment gone from a budget estimate in 2020-21 of $448,000 to a total project cost of $879,000?

The Hon. S.J.R. PATTERSON: I am advised that as part of the relocation into the new SA Water building, the original budget—once the move started happening the furniture there or the office fit-out was not fit for purpose and so that caused more money to be spent on the fit-out. However, the long-term advantage of this move is that it will reduce the costs around the lease. It is also worth noting that the accounting standards—how this lease was accounted—have changed. However, on a long-term basis, this will produce savings that can then be reinvested back into supporting South Australian exporters and attracting investment into South Australia.

The Hon. Z.L. BETTISON: Does this include the $120,000 expended in 2019-20 or is that in addition, taking it to more than a million dollars?

The Hon. S.J.R. PATTERSON: I am advised that that includes the 120.

The Hon. Z.L. BETTISON: So the full cost of relocation for this department is $879,000?

The Hon. S.J.R. PATTERSON: Yes, that is what I am advised is the full capital cost.

The Hon. Z.L. BETTISON: Looking at the answer, this is a blowout of more than $430,000. You have mentioned that the office fit-out was not fit for purpose: who approved the previous office fit-out?

The Hon. S.J.R. PATTERSON: Of course, I was not the minister at the time the move was put in place. However, it occurred right at the outset of COVID and so there were further delays in terms of that.

The Hon. Z.L. BETTISON: Did I hear you correctly? The former minister signed off on this fit-out?

The Hon. S.J.R. PATTERSON: No, you did not hear that. What I said is I was not there. I was not the minister at the time, so I am just being advised. From what I have here, the government office accommodation committee approved this.

The Hon. Z.L. BETTISON: Can you please provide an itemised spend for this blowout, including a breakdown of the refurbishment costs and the relocation costs?

The Hon. S.J.R. PATTERSON: We will take that on notice.

The Hon. Z.L. BETTISON: You will take that on notice? Fantastic. I am quite concerned that we have spent nearly a million dollars relocating an office. It is obviously a very important part of our economy, but was this the right decision, given the challenges, the difficult time that we are facing at the moment? Do you think it was a mistake to spend nearly a million dollars on relocation?

The Hon. S.J.R. PATTERSON: I am advised that in the previous premises the department was spread across four floors and now this relocation allows them to move to a single floor, open plan. That, of course, gets all the synergies of having people working alongside each other, so just from an operational and staff effectiveness point of view, there is a big upside there.

In terms of the actual money itself, I am advised that the rent reduction from moving into this facility is in the order of about $500,000 per annum in operating costs and therefore repays itself. As I said, that money is able to be used at an operational level to further other programs—assist South Australian exporters to grow their business to assist investment into the state.

Maybe I could talk about one of the great programs that we are running. We talked about exporters and the challenges they have had, being unable to travel. That has brought into play digital as a really effective tool to be able to connect. One of the fantastic programs the department has run during COVID—we have had to be nimble and adapt—is the eCommerce Accelerator Program. That is a fantastic program, which actually allows businesses to upgrade their—

The Hon. Z.L. BETTISON: Point of order: my point of order is relevance.

The CHAIR: Yes, I will uphold the point of order, Member for Ramsay.

The Hon. Z.L. BETTISON: Thank you. Minister, since you became the minister, have you had the opportunity to cease this relocation and this spend of nearly a million dollars?

The Hon. S.J.R. PATTERSON: As I said, it is providing an ongoing rental saving of $500,000 every year.

The Hon. Z.L. BETTISON: No, my question is did you have the opportunity to stop this happening?

The CHAIR: Member for Ramsay, the minister can answer the question as he sees fit. Like any proceedings of the house, we let the minister provide his answer.

The Hon. S.J.R. PATTERSON: I refer you to my previous answer. I think it speaks for itself.

The Hon. Z.L. BETTISON: Can you explain the significant increase in cost of fleet vehicles outlined in the budget, from $68,000 in 2020-21 to $100,000 in 2021-22?

The Hon. S.J.R. PATTERSON: I am advised that this change relates to a change in accounting standards, which relates to capitalisation of fleet vehicle leases. That is why the figure has become $100,000.

The Hon. Z.L. BETTISON: With your increased digital footprint and our restricted movement, would you expect this to decrease in cost in the future?

The Hon. S.J.R. PATTERSON: To help you with the answer, these leases relate to our TradeStart advisers. We have seven who operate, and a number of those TradeStart advisers are in the regions. In Eyre Peninsula, for example, it is a massive network they have to cover, including as far away as Port Pirie. I have been there many times and been accompanied by the TradeStart adviser, both in Port Pirie and in Port Lincoln and also down in Mount Gambier.

So these are used to assist our regional businesses to connect with exporters. It is a vital network. As I said, our TradeStart advisers have assisted over 120 businesses to generate some really positive results. In terms of the accounting treatment, as I said, they did change.

The Hon. Z.L. BETTISON: Minister, let's move to Budget Paper 4, Volume 4, page 120. This activity indicator talking about international student enrolments was discontinued in March of 2021, but you obviously have a plan to recommence international student arrivals. When will the international students start to arrive in South Australia? Which countries will they be from? How many do you expect to arrive each month?

The Hon. S.J.R. PATTERSON: As I said in my opening statement—I think it has also been released in June—the industry itself is a vital sector for the South Australian economy. It contributed over $2 billion in the 2019-20 financial year, so from an economic point of view it is very important. Just from the social and cultural fabric, students are very important as well. With the closure of international borders in March 2020, there were many students who were getting towards the end of their studies and were stranded overseas. That has continued to increase, I am advised. The last estimates were around 10,000 students.

It is imperative, long term, that these students have a pathway back, and so we were the first state to announce a pilot program to try to get some students to come back. That was about ready to be undertaken when the cluster occurred in November 2020, but since then we have still been working with the sector to try to find a way where this important part of our society can come back.

As I said, some of these students while they have been overseas have been able to continue to study online. I think the universities have been fantastic in providing that support. The state government provided a $13.8 million student support package as well to help these students who were here in South Australia over the course of COVID. We have continued to progress working with them.

The industry has identified a site that could be potentially used for students to come back and quarantine because, of course, COVID quarantine has to occur for all international arrivals. The federal government was quite clear in this, and the state government has been supportive, that there are so many Australians stranded overseas that we do not want to see one Australian not able to come back because of these student arrival plans.

It has been mandated that these arrivals are outside of the flight caps and outside of quarantine. Hence, this site at Flight Training Adelaide out at Parafield has been identified. It is cabin-style accommodation, not really suitable to, I suppose, a quarantine facility for returning Australians.

The Hon. Z.L. BETTISON: Excuse me, minister, I was quite specific about my question about when. When, which countries and how many will arrive per month?

The CHAIR: Member for Ramsay, you are entitled to raise a point of order. The minister is able to answer as he sees fit.

The Hon. S.J.R. PATTERSON: It is important to put it in context because it is an issue that I think needs to be understood by the committee and also by the broader community. I think overall people understand that these students have spent their time sometimes investing four years. They can do all that they can online but they need to finish off some practicals. They need to come back here.

As I said, the Flight Training Adelaide school has cabin-style accommodation. It is envisaged to be able to cope with about 160 students at a time. These need to be quarantined for 14 days of course, so if you do the numbers, after they have been quarantined, there are probably two cycles a month. That gives you a bit of an indication about the numbers.

It does have to be signed off by the Chief Medical Officer, so the plan initially submitted to the commonwealth has been signed off by the Chief Medical Officer. That has gone through to the federal education minister, Minister Tudge, and has been approved. That is just one part of the process. That has been well received.

Since then, there has been a sector reference group set up. The offer has gone out to many of the institutions and universities. There is the ELICOS sector. There is TAFE as well. That gives you a bit of an idea about the sector support for this but it is going to have to work with the expert advice as well in terms of where these students are coming from. Of course, the universities know which students are most in need. They are the ones the universities are wanting to have the ability to come back first.

That is one of the issues, but of course there is also the fact that it has to be done in a safe and healthy way, so there will be advice relied upon when it gets to that stage, when the universities have been able to identify students, from the AHPPC and from the centre of communicable diseases branch as well in terms of saying which markets are able to allow repatriating students to come here. But, at all stages, it is being done methodically.

Our aim is for it to occur as soon as possible but only when it is safe, working with the medical advice. What has held South Australia in good stead through this whole pandemic is the expert advice given by the medical officers. We will be guided by that and so will this plan as well.

The Hon. Z.L. BETTISON: Just so I am clear, your expectation is there would be 320 students per month and you would like this to commence as soon as possible.

The Hon. S.J.R. PATTERSON: What I would say is as soon as is safe, of course. We are being very methodical and listening to the expert advice.

The Hon. Z.L. BETTISON: Talking about safe, given the recent outbreaks in New South Wales—and of course they have just extended lockdown for another four weeks—Victoria and here, New South Wales has announced a pause on bringing in international students. Are you still on schedule for what you intended to do? What was the original start date? What is our start date now that you are working towards?

The Hon. S.J.R. PATTERSON: As I said, the plan was announced in June and things change. You do need to be agile. There have been lockdowns in Victoria, New South Wales and even here, so that no doubt will cause some delays in terms of how it goes about, but in terms of the expert advice I see that it is still reliant on that.

The other thing worth noting is around the border closures as well. Where there is a commonwealth hotspot, that is how that impacts on the plan. The federal government ultimately will need to consider that as well. Our expert advice will be considered in terms of that, but we are working collaboratively, as I said, with SA Health, with universities and with the international education sector. It is not being rushed; it is being done in a safe way and I expect that to continue.

The Hon. Z.L. BETTISON: Minister, just so I am clear: 320 students a month as soon as possible. You are not actually able to tell me here, tell the committee, which countries these students are coming from. I think you would probably be able to tell me your top three countries, but as of today surely you have a pathway forward, you have a date that you are working to. Can you share that date here with the committee?

The Hon. S.J.R. PATTERSON: As I said, this is an industry-led plan. The sector reference group are meeting continually around this. They will be guided by the expert advice. It is not my place to put my—

The Hon. Z.L. BETTISON: You are the minister responsible. On 5 July, the Australian Financial Review reported that a spokesperson for the federal education department said the government was in discussion with all states and territories about the return of international students when conditions allow. You said you had a sign off by the Chief Medical Officer. You said you have been approved by the federal education minister. Do you still have that approval? Is that approval live right now?

The Hon. S.J.R. PATTERSON: Yes, I am advised that the approval remains.

The Hon. Z.L. BETTISON: So you have a green light for us to bring back international students today. When was the last time you discussed these plans with the commonwealth?

The Hon. S.J.R. PATTERSON: Your statement before is misleading. What is your final statement? What is your question?

The Hon. Z.L. BETTISON: I am sorry, I did not hear you.

The Hon. S.J.R. PATTERSON: Your statement is misleading so I reject the statement, and can you ask the question again?

The Hon. Z.L. BETTISON: My statement is misleading, that on 5 July the Australian Financial Review reported that the federal education department was in discussion with all states and territories about the return of international students?

The Hon. S.J.R. PATTERSON: That was not what I was referring to.

The Hon. Z.L. BETTISON: What are you referring to?

The CHAIR: Perhaps, minister, you would like to provide an answer to that question and perhaps in that process clear up what you wish to say.

The Hon. S.J.R. PATTERSON: That is why I am asking for the question, Chair.

The Hon. Z.L. BETTISON: My question was: when was the last time you discussed with the commonwealth your plans for returning international students?

Mr CREGAN: In which budget line does this appear?

The Hon. Z.L. BETTISON: Budget Paper 4, Volume 4, page 120, Activity indicator, South Australia's share of international student enrolments in Australia.

The CHAIR: Continue, minister.

The Hon. S.J.R. PATTERSON: As I was saying before, it is a complex process. First, the plan was submitted. The first part of the plan had to get signed off by the Chief Medical Officer. As I said, we are listening to the health advice, but that is one part. The universities, the education institutions, they need to work their way through this. They need to identify the cohorts of students that are most in need and satisfy the health conditions, and then the students have to come back. My comments from before stand. We have to work our way through this methodically, with the safety of South Australians as a priority.

The Hon. Z.L. BETTISON: On 18 June, you issued a press release regarding the approval by the commonwealth for an international student arrival plan. In the very last paragraph, you state, and I quote:

One of the Commonwealth’s pre-conditions for when students arrive is that the state border must be open for domestic travel…

Obviously, now that our border is shut to New South Wales and will be closed for the foreseeable future, it will be a challenge for this to happen. Have you requested that the commonwealth remove this precondition?

The Hon. S.J.R. PATTERSON: I think the thing to clarify about that precondition is that it takes into account whether there are declared hotspots, which is the case at the moment. That will have to be worked through, but, yes, the intent of it is that borders are open between states where there is not a commonwealth declared hotspot.

The Hon. Z.L. BETTISON: As it stands today, we do not have a start date, although you would like to proceed with it as soon as possible. We have had all the ticks, we have had the green light from the commonwealth. The precondition still stands that, while our border is shut to New South Wales or any of our borders, you cannot proceed; is that correct?

The Hon. S.J.R. PATTERSON: It is worth pointing out that, for a particular jurisdiction, it relies on their borders being open, as opposed to another jurisdiction having their borders closed. The other caveat is around commonwealth-declared hotspots as well, so where there is a commonwealth-declared hotspot that protocol around borders is not to stand.

The Hon. Z.L. BETTISON: Sorry, can I just be clear: we would have to have no commonwealth-declared hotspots and all borders open for this to go ahead?

The Hon. S.J.R. PATTERSON: You have misunderstood that. Where there is not a commonwealth-declared hotspot, then the border would have to be open is what I am advised.

The Hon. Z.L. BETTISON: Where there is not a commonwealth hotspot, the border would have to be open?

The Hon. S.J.R. PATTERSON: That is what I am advised. That is what is in the protocols and preconditions by the commonwealth government for us to proceed.

The Hon. Z.L. BETTISON: Would you be willing to table that information provided by the commonwealth?

The Hon. S.J.R. PATTERSON: It is a publicly released document I am fairly certain, their protocols and preconditions, so there is no need for me to provide it.

The Hon. Z.L. BETTISON: So that information is publicly available?

The Hon. S.J.R. PATTERSON: Yes, I am advised that the protocols and preconditions for international student arrivals is available for you to look at. You will be able to work your way through. We have worked our way through that, as has the industry. It is an industry-led plan. It is really important to understand that the industry is leading the sector—it is a really important sector, as I have explained before—and they are working hard on this. This is really important for those students, for the sector.

The Hon. Z.L. BETTISON: Will all international students be required to be vaccinated before they arrive in South Australia?

The Hon. S.J.R. PATTERSON: As I said, as we work our way through the universities and the institutions, they need to identify their students and then, in consultation with the expert health advice, which relies on SA Health and also on the Communicable Diseases Control Branch, the experts there, the AHPPC (Australian Health Protection Principal Committee), which will provide input to that as well. That is quite important. That is what we have been working on. Going into that, it was signed off by the Chief Medical Officer. I have to stress that we have relied with our responses throughout this whole pandemic on the expert advice, and we will continue to do so.

The Hon. Z.L. BETTISON: I am just a little unclear, minister: will vaccination be mandatory for international students to participate in this program?

The Hon. S.J.R. PATTERSON: I think my response before explained it—I rely on my previous response.

The Hon. Z.L. BETTISON: I think there is a lack of clarity here, because people are looking for certainty. If you are going to do this, South Australians want to know that the students will be vaccinated, how you are going to accredit it and what vaccinations will be acceptable for this purpose. When the Chief Medical Officer signed off, was there a condition that the students be vaccinated, and did it detail which vaccinations are acceptable?

The Hon. S.J.R. PATTERSON: In terms of the quarantine facility, I am advised—because you have to remember the quarantine facilities are to take these students—that it has been signed off by the Chief Medical Officer in terms of the risk profile of countries, whether people are vaccinated and what vaccinations they have used. Once institutions identify their students—that of course is required—then SA Health can look at it in consultation, as I said, with the AHPPC and the CDCB as well; that is really important.

We have to put in place a quarantine facility because we know that vaccines do not stop transmission. Vaccination just means, for the people who get the vaccines, that the effects of COVID are mitigated. So we still have to treat people, from a health perspective, with quarantine. That is what the facility at Flight Training Adelaide is about: doing it safely. We have relied on expert advice previously throughout this pandemic and, again, the plan has been signed off by the Chief Medical Officer; it has held us in good stead.

The Hon. Z.L. BETTISON: Minister, I want to be really clear here. We have the green light to go ahead with this. There are some preconditions that are still there, but had we not been in lockdown, and had New South Wales and Victoria not been in the situation they were in when we closed the border, you would have had the green light. However, you cannot tell me if the students need to be vaccinated, what vaccination is appropriate and how you would accredit it. Is it correct that right now you cannot tell South Australians that?

The Hon. S.J.R. PATTERSON: In terms of the process, as I said, the first stage is to get approval from the federal government that, as a jurisdiction, we can progress our International Student Arrival Plan. It did not mean that the very next day the plan could be implemented. There were conditions that had to be gone through, and they are still being worked through with the institutions. As I said, this is an industry-led plan and we are still working through a lot of those issues. That is done in conjunction with expert health advice.

The Hon. Z.L. BETTISON: What will be the staffing model at the Parafield quarantine facility? Will it be police, police security officers, private security or health staff?

The Hon. S.J.R. PATTERSON: As I said, those details are still being finalised, but they are working very closely with SAPOL and SA Health, relying on expert advice, to make sure that the health of South Australians is paramount.

The Hon. Z.L. BETTISON: Perhaps you could take that on notice for me, to be clear about the staffing model of the Parafield quarantine facility.

The Hon. S.J.R. PATTERSON: As I said, it is still being finalised. Once it is finalised we should be able to respond, if we are able to do that.

The Hon. Z.L. BETTISON: Thank you. Perhaps we will seek a briefing for that. Will the international students be coming on charter flights or commercial flights?

The Hon. S.J.R. PATTERSON: As I said, some of the preconditions for the International Student Arrival Plan are that it is done outside the flight caps and also that it does not displace Australians who need to go into medi-hotels, so that as many Australians can return as possible. In the actual preconditions and protocols it says that the preference is for commercial flights. Those details are still being worked through. Once the institutions have been able to identify their cohorts it will further inform what the flight use would be and what flights are available.

The Hon. Z.L. BETTISON: Given that this is a pilot program, who will evaluate the success of the trial and on what criteria?

The Hon. S.J.R. PATTERSON: In terms of the evaluation, I am advised there will be a number of players. SA Health will definitely be involved in that because that is one of the primary factors in any evaluation—a health perspective. SAPOL will be involved as well. The higher education sector will have to evaluate it, because it is not only the actual pilot itself.

Part of the preconditions is that once those students are out of quarantine they are continuing studies as well. How they have been supported, from a pastoral care point of view once they are integrated back into the university, is really very important for them as well. That will give a number of perspectives, and my department, which is working with industry, will also have input into that.

As I said, there is a sector reference group at the moment trying to contribute. We understand that it is really important to have a successful plan because it sends a message. In terms of the numbers, as I said there are about 10,000 students who cannot get back into South Australia and study. This can take—as we said before there is 160 at a time, so you can see that is not a big number compared to the 10,000.

What it does, though, is send a message that there is a pathway there: students can start their studies online, they can enrol in courses based in South Australia and then eventually they will be able to do face-to-face learning. Studies show, when they are doing surveys of these students, that they really do value the face to face. Online is important to them. They value the information and education they get from our institutions, and it is world class; however, the face to face is really important. It gives them other aspects—just the cultural issues of coming to another country.

From a South Australian perspective, this pilot sends a really good message. Even for Australia as well it is really important, I think, for Australia's positioning in the world from an international education point of view. It really does put a lot of focus onto Australia and says, 'There is a pathway for you to study in South Australia.'

The Hon. Z.L. BETTISON: On your numbers, we are looking at about 4,000 students a year coming through the Parafield quarantine facility. What will be the total cost of the trial? Who is going to be paying for it? Is it funded by government or the universities or will it be a full cost recovery?

The Hon. S.J.R. PATTERSON: In terms of arriving at the cost, there obviously will be a cost for the Flight Training Adelaide quarantine facility. It has been quite well known within the industry sector and among the students that the students and the international education providers, the education institutions—and also in terms of the actual accommodation provided by Flight Training Adelaide—would bear the bulk of the costs. That has always been up-front. They have known that. They are still working through it, of course. Once they identify the student cohorts and all the protocols are in place, that will give them the cost and then that will allow the student to make a decision to come or not.

The Hon. Z.L. BETTISON: So when we consider the cost to the state, is it an 80-20 split, a 70-30 split? What will be our overheads? Obviously, we are going to have a lease cost for the Parafield quarantine facility. I guess my question is: how long is this lease for with Parafield? Obviously, we are going to have to take some responsibility. What are the costs to the state?

The Hon. S.J.R. PATTERSON: We have had to be agile on this in terms of COVID and how long it takes. Those leasing considerations will, of course, be worked through by the sector reference group. We are all hopeful that we can get back to normal life as soon as possible and that international borders will open up. I do not think it is helpful to give a time line at this stage.

In terms of the costs, there may be some incidental costs associated with it because there are police involved in terms of making sure the quarantine arrivals land at the airport and then they get out to the centre. There are police resources that are used for that, health resources for COVID testing and things like that. So there are incidental costs, but as I said—and it has always been well advertised so that the education providers and the students are quite clear on this—the bulk of the costs will be borne by students, the educational institutions and Flight Training Adelaide itself, which is doing the quarantine facility.

The Hon. Z.L. BETTISON: Minister, will you, through DTI, take responsibility for the head lease of the Parafield quarantine facility? Will you be signing off on this lease?

The Hon. S.J.R. PATTERSON: I am advised that my department will not be—

The Hon. Z.L. BETTISON: The department is not signing off?

The Hon. S.J.R. PATTERSON: —signing a lease, no.

The Hon. Z.L. BETTISON: Are there any discussions about expanding the capacity at the current Parafield Airport to cater for more international students? You have indicated about 4,000 a year, 320 a month, but are there discussions going that this could be larger, post the pilot?

The Hon. S.J.R. PATTERSON: As I said, the sector reference group containing the institutions are working their way through this. Let's be quite clear that what we have submitted to the plan countenances that site and that site only.

The Hon. Z.L. BETTISON: So that is the only site we are looking at? We are not looking Edinburgh Air Force Base, nothing else is under consideration?

The Hon. S.J.R. PATTERSON: We have submitted the plan because it requires health to sign off on any plan. I think it is quite clear that you need to look at a particular site. We have put the plan through with this site and that is where we are going. As I said, this is a pilot. Let's get this going as soon as possible, taking into account those health and safety requirements. Let's get that worked through.

The Hon. Z.L. BETTISON: Moving to Budget Paper 4, Volume 4, page 130, Statement of cash flows. The funding for the Agent General was allocated $174,000 in 2019-20, but is estimated to be $394,000 in 2021-22. What has caused the significant increase in funding for this position over this short time period?

The Hon. S.J.R. PATTERSON: Could you tell me which line that was again, which budget paper?

The Hon. Z.L. BETTISON: We are looking at the statement of cash flows, page 130.

The Hon. S.J.R. PATTERSON: Could you repeat the question, please?

The Hon. Z.L. BETTISON: Funding for the Agent General was allocated at $174,000 in 2019-29, but is budgeted to be $394,000 in 2021-22.

The Hon. S.J.R. PATTERSON: You will notice in the budget line for 2021 there is $388,000, and then moving to $394,000. What I am advised is that it accounts for a full-time role but in fact is actually part time, and hence the difference between the actual and the budgeted amount because the role itself, which is appointed by the Premier I might add, is on a part-time basis.

The Hon. Z.L. BETTISON: So is there a mistake in the budget papers?

The Hon. S.J.R. PATTERSON: I am advised by the department that it is always budgeted as full time when you do your budget, but the actual, as it works through—because the position is part time, when it floats through at the end of the year and you get the actuals then you get the part-time result reflected in the actual results.

The Hon. Z.L. BETTISON: Was it a full-time position in 2019-20 when it was allocated at $174,000?

The Hon. S.J.R. PATTERSON: I am advised that in 2019-20 it was part time. As I said, the budget amount is as if it was full time, but because it is actually part time what we will find is that when the actuals for 2021 come out it will be less than the 380 and it will go down to reflect the part-time nature of the role.

The Hon. Z.L. BETTISON: So what is your expectation, given this is incorrectly—

The Hon. S.J.R. PATTERSON: It is correctly budgeted; that is how the budget is done. It is budgeted at full time, so it is correct. Let's be clear on that.

The Hon. Z.L. BETTISON: I still think there has been an increase here. I am just trying to understand that. What is your expectation that the actual result will be for 2021? You are saying we have an actual figure—this $174,000—but in the budget it reflects full time. We know it is now a diminished role because it is not for the whole of Europe. We know that the recent announcement of David Ridgway as the new Agent General in this diminished role is only three days a week. What is your expectation of what the actual figure will be?

The Hon. S.J.R. PATTERSON: Of course, you will remember that when the budget is put out, it is put out in June, which is before the actuals come in. Now that we have moved over, the department is going through the finals and so that will be known very soon. I am certain that by the time the Auditor-General's Report comes out you will have that result. In terms of the actual position itself, it is an appointment of the Premier and the money flows through from the Premier's budget into my budget, so it is paid on that basis. I hope that helps.

The Hon. Z.L. BETTISON: If we think about CPI costs and think about different things, what would your expectation be of what the actual result will be?

The Hon. S.J.R. PATTERSON: As I said, I am not going to go into a guessing game. When we are able to provide that I am happy to provide it. That is a number that will become known as they work through the final actuals for the 2021 budget. When we are able to provide that I am happy to do that because it is quite—

The Hon. Z.L. BETTISON: I will take on notice that you will provide it to me. Yes, you are correct, minister, that the appointment of the Agent General is the responsibility of the Premier, but did you or your department participate in the selection process for appointing the Agent General?

The Hon. S.J.R. PATTERSON: The appointment is a decision made by the Premier. The Premier makes that decision and appoints the Agent General. It is worth saying that the previous Agent General, Bill Muirhead, has been in the position for a really long time—I think he was appointed by former Premier Mike Rann, reappointed by former Premier Weatherill and then reappointed by this government as well.

It is worth taking this opportunity to thank Bill for his tireless advocacy for South Australia over there. He has been a credit to South Australia. He has been a great ambassador and on every occasion has put South Australia up in lights in London. It is a really important role. When I first became minister, Bill was one of the first to reach out to me and since then we have had a great working relationship. You never like to see change when good people are involved, but Bill is a credit to himself and has worked really hard for South Australia, so this is a great opportunity to thank him.

We look forward to the new Agent General taking up that role. It is important for South Australia. We see that the role can certainly play an important part in advocacy for South Australian exporters to help with our trade and also identify investment opportunities. Moreover, there is the Office of the Agent General. It is not just the Agent General, it should be noticed. There is a number of staff in there and some of them do some really good work from a trade and investment point of view.

I might just reflect on one of the undertakings from the Agent General's office in Europe. They have supported a defence system battery export into the United Kingdom valued at $4.3 million, which is really a credit to them. We are having troubles with wine as well. The wine industry has been facing heavy headwinds because of bushfires. That has really caused concern. There is COVID, of course, and then the market access issues into China.

One of the key priorities that the wine industry is telling us about is the need to diversify, to expand into other markets. That is why it is a really pleasing result that this budget allocates $5.4 million to a wine export recovery and expansion program. One of the markets identified to really help the industry diversify is the UK. The Agent General's office will have a key role to play. They have been fantastic in assisting our wineries, and there has been an increase, an uptick in wine exports into the UK recently: I am advised $100 million over the last six months, which is significant.

China was a massive market. Even Brian Smedley, who is the CEO of the SA Wine Industry Association said you cannot just replace China, especially in the short term. It is imperative that we diversify, and so to diversify into the UK is a good result. The Office of the Agent General will be really important in continuing to do that, especially while exporters cannot travel. I think that positive reinforcement for our wine industry will promote others to say yes, it is hard to expand into other markets, but we can see a path forward. I am really encouraged by that.

The Hon. Z.L. BETTISON: Chair, if we can wind this question up, please. Can I just be very clear, because you did not actually answer my question. Did you or your department participate in the selection process for appointing the Agent General? 'Participate' might include a briefing, a description of what you would be looking for. Did you participate in the selection panel?

The Hon. S.J.R. PATTERSON: I certainly did not participate in the selection panel. I think the Premier discussed this—

The Hon. Z.L. BETTISON: Did your chief executive participate in the selection process?

The CHAIR: Member for Ramsay, let the minister provide an answer to you before you move to your next question.

The Hon. S.J.R. PATTERSON: Thank you, Chair. I think the Premier was quite clear in this. He made the decision around the appointment itself, yes, but—

The Hon. Z.L. BETTISON: Very clear that the Premier made the decision?

The CHAIR: Member for Ramsay!

The Hon. S.J.R. PATTERSON: —I was not involved in any panel, and I am advised that the chief executive of the department was not involved in any panel.

The Hon. Z.L. BETTISON: Moving to Budget Paper 4, Volume 4, page 117. What is the total cost of the creation and maintenance of our trade offices since the Marshall Liberal government was elected?

The Hon. S.J.R. PATTERSON: I am advised that the budget for the trade office network over four years is $12.8 million. That covers a significant number of trade offices and a massive increase in representation for South Australian visitors since we came to government in 2018. I will just go through the network of trade offices that have been established in that time. Back in November 2018, we established a trade office in Shanghai. Since then, we have established a trade office in Tokyo in March 2019. That trade office in Japan has been pivotal in helping some of our food exporters get deals done there.

More recently, there has been some virtual wine-tasting as well. From an energy and renewable space, it has been critical in attracting some significant Japanese companies here to South Australia to look at green hydrogen as a real opportunity for export for South Australia but also for Japan to reach their ambitions of reducing their carbon footprint. That is going to be an important investment for the state going forward.

The Hon. Z.L. BETTISON: Point of order: my question was very specific about the cost.

The CHAIR: I believe the minister has provided that information, so I will call him up.

The Hon. S.J.R. PATTERSON: Yes, I was just going through, because this is a significant investment. I really think it is important for the committee to understand what stands behind that. Maybe if I just talk more about the trade offices. Yes, they have had significant achievements.

The Hon. Z.L. BETTISON: Chair, I am very specific about the cost.

The Hon. S.J.R. PATTERSON: In February 2020, we opened up the Houston trade office—

The CHAIR: Minister, I was upholding the point of order.

The Hon. S.J.R. PATTERSON: Apologies, Chair.

The Hon. Z.L. BETTISON: Do you have a total cost for the running of the trade offices? Can you repeat the answer?

The Hon. S.J.R. PATTERSON: Yes, I was advised that the budget for the four-year program is $12.8 million.

The Hon. Z.L. BETTISON: For the four years?

The Hon. S.J.R. PATTERSON: Yes; budget 2018-19 to 2021-22.

The Hon. Z.L. BETTISON: Will you provide a breakdown of the cost for each of the trade offices and which would be the most expensive to run? I am happy for you to take it on notice.

The CHAIR: Member for Ramsay, the minister can answer as he wishes.

The Hon. S.J.R. PATTERSON: I am advised the actual figure here for the China office in Shanghai is $1.3 million, and I said they have done some fantastic trade. China, as a market, is worth $3 billion of merchandise exports, so they are really assisting the trade. In the Tokyo office, I am advised the actuals is at $1.6 million.

I am advised that the USA Houston office is $0.6 million. I was going to allude to the fantastic work done attracting some fantastic South Australian food exporters via their Central Market program. Just recently, nine exporters were able to send their produce over to Texas to a retailer there, Central Market. It is a high-end retailer. The average salary of their customer base is over $100,000, and so they are looking for unique, high-end products and we were able to introduce them virtually.

This is in the middle of a pandemic. The Houston office opened up, as I said, in February 2020, which is just when COVID was starting. Even despite these challenges, these trade offices are producing some fantastic results. In all, 318 Australian companies have been supported across 24 markets in these five regions.

The Hon. Z.L. BETTISON: Point of order, Chair: my question was very specific—the breakdown costs of each trade office. We started—

The CHAIR: I believe the minister is getting to the answer. He has provided an element of that answer.

The Hon. S.J.R. PATTERSON: I would like to provide an element around the US Houston office, because they have worked hard. As I said, they have basically been under pandemic conditions the whole time they have been working for South Australia, and that Central Market is a great opportunity.

If we move on to the Dubai office, that has an actual cost there of $0.3 million. They also cover the Middle East, North Africa, India region. Through that office they have been able to secure an international education curriculum development project with Torrens University valued at $1.8 million. Torrens University is able to provide education into India, and that is really helping them while international students are not able to arrive in person. It helps expand and solidify their business.

If I move into the Singapore-based South-East Asia, that has only just started. Really, the actuals are quite low there. I have $0.044 million for that office there, but that is in the 2021-22 year. That will be in full operation and we will see that playing out further. I am advised also the London office overall has a budget of around $1.4 million.

The Hon. Z.L. BETTISON: I refer to Budget Paper 4, Volume 4, page 115. I have some questions about the state promotions unit. How many full-time equivalent staff are employed in the state promotions unit?

The Hon. S.J.R. PATTERSON: What point was that again, sorry?

The Hon. Z.L. BETTISON: Page 115, Workforce summary. How many FTE staff are employed within state promotions?

The Hon. S.J.R. PATTERSON: I am advised that the state promotions team has a quite broad remit in terms of promoting the state and also assisting with digital engagement. Especially with COVID, that has been a really important addition and acceleration in terms of our digital footprint. They have been in charge of the Invest in SA website, which has just recently been launched. I talked about that. It has about 38 investments up there.

They have also been heavily involved in digital webinars and seminars and educational pieces around the different sectors that we have in South Australia, which are the competitive strengths which are part of our growth state plan. I have been included in those sector month awarenesses so that really helps grow out awareness.

They have also been in charge of growing out the B2B connection, which is the new export side focus connecting South Australian businesses and exporters to potential importers throughout the world. That has been really important. They also assist with some promotions here in South Australia. We have talked about the market access issues for wine and the troubles there. One of the opportunities to try to mitigate the effects of that is in the domestic arena, so at the start of the year we ran a I Choose SA Wine promotion.

They also work in conjunction with other fantastic organisations that promote South Australia, Food SA being one. They do the I Choose SA, which we have seen South Australians take up in support of local businesses in this pandemic. They have also been in charge of rolling out some of our programs. The eCommerce Accelerator Program that I spoke about helps encourage South Australian exporters to upskill their digital offering and be able to connect with their digital export market.

So this is a broad remit. They not only help promote South Australia domestically; they also work with our trade offices to promote markets, investment opportunities and export opportunities for our trade offices. So there is really good synergy there. In terms of the full-time equivalent, I am advised that to be able to do that substantial amount of work we have budgeted for 16.2 FTE positions.

The Hon. Z.L. BETTISON: Probably my final question: does DTI fund Showcase SA?

The Hon. S.J.R. PATTERSON: I am advised that we do not fund Showcase SA. It is worth mentioning that I talked about them being one of the fantastic organisations that help promote South Australia. Recently, when I was in Port Lincoln they did a regional export awareness program, which opened up export, what the opportunities are, what assistance our department provides and what opportunities there are for exporters in the regions as well. It was great to go along there.

We also at the same time launched our global expansion program, which is about established South Australian businesses that are trading well nationally from a domestic market. We are wanting to assist them to take that success to the next level and be able to export. We launched that on that same day in Port Lincoln. It is a $2.3 million program that will really I think assist South Australian businesses. We thank Showcase SA for helping out in the regions and being a great ambassador for South Australian businesses.

The Hon. Z.L. BETTISON: So, minister, you do not fund Showcase SA but you work with them. Who funds them?

The Hon. S.J.R. PATTERSON: As far as I am aware—of course I do not know their business intimately—they are a commercial entity.

The Hon. Z.L. BETTISON: Well, you have obviously done work with them.

The Hon. S.J.R. PATTERSON: They run functions, they charge businesses accordingly and they make their money that way.

The Hon. Z.L. BETTISON: So did they charge you for the—

The CHAIR: Member for Ramsay, let the minister provide his answer.

The Hon. S.J.R. PATTERSON: Thank you, Chair. I have finished.

The CHAIR: The time allocated for examination of payments in relation to the Department for Trade and Investment has now expired; therefore, there are no further questions and I declare the examination of the portfolio Department for Trade and Investment completed and the estimate of payments for the Department for Trade and Investment closed.

Sitting suspended from 10:31 to 10:46.