Chinese treated to special gifts from mayor

Hastings Mayor Lawrence Yule.

Local wines are being sipped more than 11,000km away, with Hastings District Mayor Lawrence Yule hawking what the region has to offer in China.

Leading a first of its kind 70-plus delegation to Xiamen City in the country's south east, Mr Yule is representing New Zealand in his capacity as the Local Government New Zealand (LGNZ) president.

He said that during the forum, which is being hosted by the Chinese People's Association for Friendship with Foreign Countries (CPAFFC), the delegation would focus on three priority areas.

"One is around primary and food-based exports, one is around tourism and one is around education - the education one being the fee-paying student concept," he said.

However, he would also be using his brief time in the populous nation to let those they met with know that good things grew in the Hawke's Bay.

"For instance we are seeking to get Hawke's Bay wine on all the banquet tables," he said. "I have also taken a whole lot of wine gifts for the other mayors. We are right up there in terms of showcasing Hastings and Hawke's Bay as a part of this because it is a major strategic opportunity."

Mr Yule said food based products were what New Zealand mainly exported to China - while NZ imported large numbers of fee-paying students.

"So it's very big for our region and I have noticed an exponential growth in the last five years in terms of products from the Hawke's Bay going into China.

"And that is mirrored around New Zealand."

When pressed for more specific products, the mayor said the Bay predominantly exported wine, apples, leathers, honey and meat to China.

"It's a big deal," he said.

Mr Yule said China was chosen for this exploratory junket as it was New Zealand's biggest trading partner.

"China is our biggest trading partner and as such our relationship with them is extremely important to our economy," Mr Yule said.

"Current projections show China's outbound investment is estimated to exceed US$1.25 trillion [$1.98 trillion] over the next 10 years and we want to ensure that New Zealand, and most importantly our regions, attract some of this investment."

Last year, when Chinese President Xi Jinping was in New Zealand, he and Prime Minister John Key witnessed Mr Yule and President of CPAFFC Madam Li Xiaolin sign an agreement to establish better connections between New Zealand and more than 600 cities and provinces in China.

According to the LGNZ, this year an additional agreement, the Xiamen declaration, will be signed by New Zealand and Chinese mayors, detailing the forum's intent to improve relations and work towards the advancement of economic development outcomes for the people of both countries, supporting the department's regional development policy.

"Having an agreement with one of the world's largest economies is a significant step to supporting regional economic growth," said Mr Yule.

"Since the 2008 signing of the free trade agreement with China, New Zealand exports have risen from $2.2 billion to $8.3 billion. The deepening of relationships at a sub-national level opens the door for further trade and investment.

"There is a lot of historic interest between China and New Zealand and there is massive potential despite the fact that at the moment things are a bit flat in China.

"In the long term, our view is that there is massive potential."