Bob Carr (NSW, Australian Labor Party, Minister for Foreign Affairs) Share this | Hansard source

The answer to the honourable senator's question is as follows:

(1) The Government is currently considering the issue of joining the Voluntary Principles.

(2) Australia's arms embargo on Myanmar is implemented in the Autonomous Sanctions Regulations 2011. The making of a sanctioned supply or the provision of a sanctioned service by a person in Australia or by an Australian company or body corporate without prior authorisation is a criminal offence pursuant to section 16 of the Autonomous Sanctions Act 2011.

(3) The Department of Foreign Affairs and Trade has not made payments to Asialink for their Asialink Coversations or missions to Myanmar for the Australian Myanmar Business Taskforce. The Department of Foreign Affairs and Trade is not able to comment on whether or not other agencies have made payments to Asialink for the purposes outlined in this question.

(4) The Australian Embassy in Yangon refers business enquiries to Austrade in the first instance. The Embassy often provides general country briefings to Australian businesses that seek meetings. The Embassy also provides Australian businesses with generic contact details for the peak private sector body, the Republic of the Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI) and the government agency responsible for investment, the Directorate for Investment and Company Administration (Ministry of National Planning and Investment). The Embassy has also issued to a number of Australian companies registered with ASIC a courtesy letter confirming their registration details, which they can provide to the Myanmar government for the purpose of arranging meetings. Both Embassy and Austrade staff assisted with the business delegation which accompanied Minister Shorten on his visit to Myanmar in late October (see Question 6).

Austrade does not have an office in Myanmar and currently responds to inquiries about the Myanmar market from its office in Bangkok, via a general inquiries line (Austrade Direct - 13 28 78) and through the provision of information on the Austrade website. Austrade is currently planning how it will provide further support to Australian companies seeking to do business in Myanmar. Austrade participated in the Asialink mission to Myanmar in May 2012. In 2011-12, Austrade made Export Market Development Grants (EMDG) payments to three Australian organisations that listed Myanmar among their top six export markets.

(5) Australia is committed to supporting Myanmar's reform process, including in relation to economic development and the important role that quality foreign investment can play. To this end, Australia is co-funding the World Bank's analytical work program that is designed to support the broader re-engagement of the Bank and other donors in Myanmar to determine a range of capacity building priorities, including in relation to analysing the investment climate and access to finance issues. Australia is also discussing with Myanmar a range of other possible assistance, including capacity building, to help Myanmar manage the economic opportunities and challenges arising from its re-opening. These discussions are at an early stage and information will be available once Australia and Myanmar have further determined specific priority areas for assistance.

Australia provides most of the funding for the Economic Cooperation Work Programme (ECWP) under the ASEAN-Australia-New Zealand FTA (AANZFTA). Under this program, Myanmar is undertaking an OECD Investment Policy Review. These reviews are an international best practice tool to support investment growth.

(6) (a) The Labour, Trade and Investment delegation visited Myanmar from 22-26 October 2012.

(b) The following business and union representatives participated in the delegation:

(c) The delegation met with a number of government, non-government and business representatives in Myanmar, including President Thein Sein, Aung San Suu Kyi, the Myanmar National Human Rights Commission, the International Labour Organisation, the Federation of Trade Unions – Burma, and the Myanmar Federation of Chambers of Commerce and Industry. The delegation also met local civil society representatives.

(7) DFAT does not receive a specific budget appropriation for Myanmar. Each year, the department allocates an operating budget to work units in Australia and overseas based on business need. In 2012-13, the operating budget (excluding staff salaries and allowances) for the Australian Embassy in Yangon is $1.3 million.

(8) and (9) DFAT operates under a devolved budget management framework. Southeast Asia Division has overall responsibility for managing Australia's relations with Myanmar, in close cooperation with the Embassy in Yangon. The Embassy in Yangon has a separate operating budget which is used to cover expenditure that relates to the running of the mission, including for locally engaged staff, property, security, ICT, minor assets and administrative expenditure.