Claims of wasted opportunities in China 'plain nonsense'

David Carter. Photo / Christine Cornege

The Government says the resignation of the entire China Beachheads advisory board has not damaged New Zealand's trade with China in the face of Opposition concerns that opportunities are being squandered.

Chaired by China veteran and investment banker David Mahon, the board resigned en masse after a meeting at the New Zealand Embassy in Beijing two weeks ago, saying NZ Trade and Enterprise was undermining its work helping companies do business in China.

Labour MP David Parker said the resignations were "a vote of no confidence" in NZTE's China policies "by those most closely involved".

Responding to questions from Parker, acting Economic Development Minister David Carter said the resignations occurred after differences of opinion developed over a period of time between the Beachhead advisory board and NZ Trade and Enterprise.

"It was agreed that the best way forward was to start with a clean slate."

Carter said he was aware of Mahon's criticisms that New Zealand was failing to fully realise opportunities presented by the 2008 free trade agreement with China.

"And I certainly don't agree with them.

"For [Parker] to suggest that New Zealand is not trading satisfactorily with China is just plain nonsense."

He said trade figures speak for themselves. "We've observed a 140 per cent increase in the amount of trade with that country, that is the fastest rate of growth in the history of New Zealand and NZTE.

"I don't believe any damage has been done to the New Zealand reputation in China at all.

"What the member needs to realise is the Beachheads programme dealt with 12 New Zealand companies working in China, NZTE works with 183 companies quite successfully, as the trade figures demonstrate."

NZTE chief executive Peter Chrisp said his organisation would not move to replace the Beachheads board for some time but NZTE remained "committed to having a strong coalition of private sector advisers in the market".

He was confident New Zealand remained "absolutely and totally" able to explore trade opportunities in China.

"We've got developments in the technology and ICT sectors, wine, mussels, live lobster, air links, iwi development and education.

"Across the path there is an energetic and specific work programme."