West Java Memorandum of Understanding

In reply to Mr MARSHALL (Dunstan—Leader of the Opposition) (24 September 2015).

The Hon. M.L.J. HAMILTON-SMITH (Waite—Minister for Investment and Trade, Minister for Small Business, Minister for Defence Industries, Minister for Veterans' Affairs):

The Government of South Australia entered into a cooperative MoU with West Java on 21 August 1997. While the MoU expired in 2007, strong business, cultural, education and research links between the two jurisdictions have continued to develop.

In March 2015, we released the South Australia South East Asia Engagement Strategy. The Strategy includes a proposal to revive the MoU with West Java. On 24 September 2015, the new MoU was signed by the Premier and the Vice Governor of West Java.

The revival of the MoU will offer a sound platform to focus our efforts in Indonesia in line with our South East Asia Engagement Strategy.

The focus of the new agreement will be on building trade and investment and social and cultural links between our two states.

The large population of West Java is becoming increasingly wealthy and offers significant opportunities to supply South Australian products and services, particularly food and beverages, education and training and to some extent tourism.

Infrastructure development is also a focus for the West Javan Government. These developments offer opportunities in construction, water management and environmental services.

West Java's focus on modernising its agricultural (including aquaculture) sector and associated supply chains and logistics offers significant opportunities for South Australia to supply raw product, services, technology and training.

The Indonesian state's strong manufacturing base (automotive, defence and aviation) offers opportunities for South Australia to supply services including training, manufacturing technologies and high value components.

There is also opportunity to leverage education links and proposed cultural exchanges, such as the OzAsia Festival, to promote South Australia's products and services.

These opportunities I have mentioned are reflective of our areas of focus for Indonesia at a national level, and so offer us a valuable blue print for engagement for wider use across the country.

As for next steps, the Department of State Development have commenced work with the West Java Government and relevant stakeholders on a proposed work plan of activities under the MoU.