Trade opportunities on agenda in China
ARARAT - On a visit to China late last year, a delegation from Ararat Rural City Council discussed trade opportunities with its Friendship City Yiwu, a city of two million people.
The council delegation of CEO Steve Chapple, Cr Ian Wilson, economic development manager, Clyde Humphries and international relations officer Henry Gunstone were invited to the opening of the 15th Yiwu International Trade and Commodities Fair.
To put Yiwu into perspective as a commercial manufacturing and export zone, it accounts for 60 percent of the world's plastic straws, 40 percent of the world's clocks and watches, six billion pairs of socks are produced annually and it produces so many zippers that they could circle the earth 20 times!
The city and its environs provides more than 80 percent of Christmas products to the world market.
The Yiwu permanent trade market (as distinct from the trade fair) also impressed the delegation, covering four million square metres.
While the basis of operation is wholesale, the delegation found many stalls willing to sell retail and there was also a small international shopping centre where retail goods were sold.
Mr Humphries is considering leading a business group from the region to visit the market, who may benefit from being able to purchase direct and join forces to ship goods in a combined container load, giving smaller operators a chance to benefit from lower costs.
Prior to the delegation Yiwu had invited Ararat Rural City Council to attend a food and tourism fair, but council was not able to attend due to the short notice.
However, the economic development unit is negotiating to have the offer of a free display and exhibition space extended for next year to allow enough time to create a credible display and platform for local wineries and Grampians Tourism to participate in the event with the assistance of Austrade and Vic Export.
Discussion were held regarding the possibility of a trade-based agent later representing any commodities from the Ararat region or Victoria.
After the departure of the main delegation back to Australia, the finance department of the Yiwu government hosted Mr Humphries to further investigate the trade fair and market place, spending a full day at each of venues.
The final day in Yiwu involved a visit to the nearby town of Pan'an, which itself was planning a delegation to visit Ararat in the near future and were seeking assistance in getting a relationship established with a Victorian Council.
Council has limited the number of `agreements' it has, but after visiting the region, Mr Humphries believed a smaller council with tourism and sustainable forestry based economy would be more suited.
On return to Australia he made a proposal to the Hepburn Shire Council, which eventually hosted a visit which was a great success.
A member of the delegation to Hepburn expressed a strong desire to import a container of wine from Hepburn Shire organic vineyard, once again reinforcing the `wine to China' link
Mr Humphries believes wine will bring commercial success to Ararat Rural City's many years of cultural exchanges and receival of Chinese delegations in Ararat.