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John Key tour - Colombia Colombia has:-
- Amazing natural resources;
- High quality fertile soils;
- Growing economy;
- Business friendly;
- Not scared of FTAs (free trade deals);
- Well-educated people;
- Addressing security issues;
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- On track to be Latin America’s second largest economy.
Colombia’s economy is certainly growing but it will be a long time before it is Latin America’s 2nd largest economy.
Brazil is the biggest regional economy, Mexico 2nd (and tipped to overtake Brazil in 2015) and Argentina 3rd.
The present top three economies are countries blessed with hugely abundant natural resources which will buttress their economic growth in the future.
Colombia has its fair share of natural resources but they are not sufficient to not propel it past Brazil, Mexico or Argentina in economic out-put any-time soon.
No doubt there is enormous potential for NZ goods and services in Colombia and Minister Guy is correct in highlighting the opportunities and the PM’s foreshadowing the establishment of a NZ embassy in Colombia will help our trade enormously.
PS Colombia is misspelt in your header.
Thomas – thanks for the response. It is certainly a long-term game but clearly the opportunity overtime is also to come into the Pacific Partners Alliance in which NZ currently an observer.
Fran – Thanks for your reporting during the PM’s Latin American tour. Your reports have been insightful and useful to anyone following the tour and interested in trade with the region.
Your observation that the only reason anyone asked the PM if he would attend Chavez’s funeral was because he was in the region was right on the money as his attendance would have been a minor side-show in the melee and not advanced our trade interests in any material way and it would not have crossed anyone’s mind the PM could attend had he been in NZ when Chavez expired.
That is not to say that NZ shouldn’t pay more attention to trade opportunities in Venezuela. NZ sold goods worth NZD433m to Venezuela in 2012 of which $430m was for dairy products so there is considerable scope for other NZ goods and services if we want to tap their abundant petro-dollars.
Venenzuela imports 80% of its food so that’s a good example of how, dairy aside, we can do business with them not counting services such as IT & project management which are much in demand there.
Primary Industries Minister Hon. Nathan Guy’s intention to visit Venezuela in the near future is a good move which can set the stage for NZ exporters in the future.
Although NZ’s Mexico City embassy is accredited to Venezuela NZ really needs dedicated representation in Caracas to pave the way for our exporters and investors.
A decade ago NZ had an honorary consul in Caracas but the post has been vacant for many years; a position that needs revisiting if increasing NZ’s trade across the board with Latin American region is truly a serious consideration.
There’s no substitute for personal relationships when it comes to doing business with Latin America (obviously elsewhere too but especially so in Latin America) and NZ needs someone on-the-ground in Caracas to take the initiative and start opening doors.