AustCham News February 2019 by The Australian Chamber of Commerce in Hong Kong

香港澳洲商會

The Australian Chamber of Commerce Hong Kong

austcham news • Issue 206 | FEB 2019 10 Record Number of Companies Make Hong Kong Home 12 Hong Kong’s Got Talent (but needs more) 16 AustCham’s Hong Kong Budget Submission

Julie Bishop Celebrates Close Australia Hong Kong Relationship Her Last Major Speech Before Announcing Exit from Politics

Where Business, People and Ideas Connect

www.austcham.com.hk

Introducing Our 2019 ACBA Judges The AustCham Hong Kong ACBA team is gearing up for the biggest ACBAs yet! Having received a total of 193 nominations from nearly 100 Australian and Chinese companies, our judges have the exciting task ahead of identifying the best of the best in each of the eight award categories. Sam Guthrie Chair of the 2019 ACBA Judging Panel

Kimberley Cole Global Business Executive

Joburt Betadam Managing Director, HKS China

eputy Consul General D (Commercial), Australian Consulate-General in Hong Kong; Senior Trade and Investment Commissioner, Australian Trade and Investment Commission Tracy Colgan President and Managing Director, Kamsky Associates

Deborah Biber Advisor to the 2019 ACBA Judging Panel Chief Executive - Pacific Basin Economic Council Hong Kong

Meet our judges

Save the Date Tickets for the May 28 Hong Kong Gala Awards Dinner will go on sale in the coming weeks. Check our website www.austcham.com.hk for updates and registration. 2019 AustCham Westpac Australia-China Business Awards Gala Dinner 28 May 2018 | 6:30pm Grand Ballroom, Grand Hyatt Hong Kong, 1 Harbour Road, Wan Chai

Sponsorship Opportunities The 2019 AustCham Westpac Australia-China Business Awards Program provides the ideal platform to showcase your company’s brand, products or services. For more information, please contact Jessica Meyers, Business Development Manager at AustCham Hong Kong at Jessica.meyers@austcham.com.hk.

PRINCIPAL SPONSOR

Westpac has been the official key sponsor of the ACBAs since 2009. Westpac has operated in Asia for over 40 years and was the first Australian bank into China. In addition to its Asian regional headquarters in Singapore, Westpac has branches in Hong Kong, Beijing, Shanghai, Mumbai and a representative office in Jakarta. Westpac’s goal in China is to both support Australian and New Zealand customers in the region, as well as provide a gateway for Chinese firms and individuals with interests in Australia and New Zealand. Visit: www.westpac.hk or www.westpacbank.com.cn

Chairman's Column

his year we celebrated Australia Day with our annual lunch marked by an outstanding and wide-ranging speech by former Foreign Affairs Minister, Julie Bishop. Her insights traversed her first experience of Hong Kong in her student days, to the high-level diplomacy as Australia’s Foreign Minister, to the challenges facing Australia in an ever changing global community. By the end of the month she had changed her mind from her public comments at the lunch and announced in Parliament her intention not to stand for re-election. I would like to extend a big thank you to all of you who joined us at this very special event. We are particularly grateful to our event co-sponsors ANZ and Qantas, together with other supporting partners, sponsors, Platinum Patrons and members for their unfailing support. We also say thank you to everyone who took a corporate table and also booked individually, as well as to the choir from the Australian International School. A special thank you to Farhan Faruqui, CEO of International Banking at ANZ for moderating an entertaining fireside chat with Julie which concluded the lunch. For those who missed her speech, please visit AustCham’s website to watch the video.

austcham news issue 206 Cover Story 5

Hong Kong Focus

Record Number of Companies Make Hong Kong Home

The 11 Professions in Talent List of Hong Kong

Australia’s Cut

Apply Here

Making an Impact HK Budget

AustCham Intern Programme

As you may know, Hong Kong’s Financial Secretary, Paul Chan, released the Hong Kong 2019-20 Budget at the end of the month. In our submission based on member feedback, AustCham called for greater investment in elderly care and childcare support; waste management and environmental protection; education and building capability on data science, coding and cybersecurity.

Reception Marks End of Successful 2018 Programme Feature Story 18 News 20

These issues were raised by our members and were reflected in the submission. Many of these areas were addressed in his speech. We will continue to work closely with all government bureaus and departments and support Hong Kong’s long-term prosperity and international standing. There are a number of major events we are organising over the coming weeks, ranging from cybersecurity to Rugby Sevens – something for everyone.

Julie Bishop Celebrates Australia Hong Kong Relationship

Member Comment

Australian Federal Election

Committees in Action 24 On the Scene

- Australia Day Lunch 2019

Yours sincerely, Andrew Macintosh chairman@austcham.com.hk Qantas C sleep banner ad 195x55mm hires.pdf 1 4/8/2017 15:10:04

austcham news Online version

Chamber Chatter

What’s Trending

ur Australia Day lunch celebration (which features in this issue) was an extraordinary way to bring together our diverse Australian business community. And we were delighted to bring to Hong Kong, former Foreign Affairs Minister Julie Bishop for what subsequently proved to be her final major address before announcing she would not be contesting the next election.

The insights and observations Julie shared with us were thought provoking – certainly as Australia’s largest international chamber, this was a wide-ranging address on matters of relevance to us. I encourage you to reflect on her comments regarding the public loss of confidence in the Australian political process and the greater deficit of trust between the political class and the public – and yet at the same time Australia has enjoyed 28 years of uninterrupted economic growth and is the envy of much of the world. As expatriate Australians and as investors into Australia, I think we are able to see this with greater clarity as we are one step removed, allowing us to better see the opportunities that lie ahead. There have been recent international newspaper articles which highlight this phenomenon, in which they speak of Australia’s complacency, borne of not having witnessed an economic downturn for decades. Whatever your view, this is indeed an interesting time to be observing Australia from afar. And of course, it was a great honour that Julie Bishop chose our event to be one of her last major public addresses (her valedictory speech at Parliament being a very important speech of course) prior to announcing that she would not contest the seat of Curtin. Stay tuned for our planned election night event when we will invite you to gather to watch the election unfold. Greater Bay Area Outline Plan The recent launch of the Greater Bay Area Outline Plan signaled substantial opportunities for Australia particularly in the areas of education, innovation and infrastructure. We were very pleased to see many of the recommendations and observations we had highlighted in our Greater Bay Area position paper reflected in the outline plan. The chamber welcomes the strong focus on the advantages of Hong Kong operating within one country, two systems, with the rule of law and an independent judiciary which have been highlighted in this plan. This plan seeks to capitalise on these inherent advantages and to ensure that Hong Kong continues to act as the international gateway to the mainland while co-operating with Macau and the nine mainland cities for continued sustainable growth. We will have further analysis of the plan in next month’s issue. Jacinta Reddan, Chief Executive, AustCham

AustCham Platinum Patrons

February 2019

Published By: The Australian Chamber of Commerce in Hong Kong Room 301-302, 3/F, Lucky Building 39 Wellington Street, Central, Hong Kong Tel: +852 2522 5054 Email: austcham@austcham.com.hk Editorial Committee: James Kelly Jacinta Reddan Advertising: Email: advertising@austcham.com.hk

Where Business, People and Ideas Connect The Australian Chamber of Commerce in Hong Kong is Australia's largest international chamber with about 1,400 members representing about 500 Australian and Hong Kong based companies. It's the largest Australian business grouping outside the country and the second largest of 28 International Chambers of Commerce in Hong Kong. The AustCham mission is: To promote & represent business & values while enabling members to connect, engage & grow bilateral relationships. Disclaimer: The views expressed in this publication are not necessarily those of the Australian Chamber of Commerce in Hong Kong, its members or officers. The Australian Chamber of Commerce in Hong Kong takes no responsibility for the contents of any article or advertisement, makes no representation as to its accuracy or completeness, and expressly disclaims any liability for any loss however arising from or in reliance upon the whole or any part of this publication.

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Cover Story

"Ladies and Gentlemen, I Simply Love Hong Kong"

In her first major speech since standing down as the Minister for Foreign Affairs and Trade, and her last before announcing her departure from Federal Parliament, the Hon Julie Bishop MP provided an eloquent, wide ranging address on the relationship between Australia and Hong Kong, and the global challenges facing us in her keynote speech at AustCham’s Australia Day Lunch.

have visited Hong Kong many, many times over the years as a tourist, as a student, as a lawyer, as a politician, but my first visit in the late 1970s remains a vivid memory. My sister and I were university students and we went on our first overseas trip together to Asia. We traipsed through Singapore, Malaysia and Thailand and our final destination was Hong Kong. On our last evening we pooled our Thomas Cook travellers-cheques and booked dinner at The Peninsula.

colony in New South Wales, in your case, 53 years later in 1841 with the British occupation after the first Opium War.

I believe the maître d’ flinched just a little as he seated two Aussie chicks in our Balinese batik sun frocks and sandals, utterly hideous fashion statement, at Gaddi’s, which was one of the finest dining rooms in the world. But the waiters treated us like princesses, the height of Hong Kong sophistication meeting the height of Australian informality, and I knew from that moment that this was my kind of town.

The idea of Hong Kong is timeless; a quintessential global trading hub, a free port with few tariffs and duties and very little regulatory interference. A place that’s so easy to start a business and do business, a place that has been able to transition with great agility from a manufacturing hub to a services hub – a financial services hub in particular – and a place that attracts some of the best and brightest talent from around the world. An idea that has led this small island city to be one of the wealthiest per capita communities on the planet and a significant global economy in its own right. The idea of Hong Kong is to be treasured, to be promoted, defended, protected within the ‘one country, two systems’ concept.

Australia and Hong Kong have deep and long-standing connections, including through our common British heritage, and we both mark the 26th of January as the beginning of British rule. In our case 1788 with the establishment of a penal

The idea of Hong Kong is to be treasured, to be promoted, defended, protected within the ‘one country, two systems’ concept.

cont P.6

Cover Story cont from P.5

Australia and Hong Kong have a very rich and diverse relationship in terms of trade, commerce and investment. Hong Kong is our sixth largest export market, Hong Kong is our fifth largest source of foreign direct investment, and that will only grow as the result of a free trade agreement between our two economies. Way back when I was Shadow Minister for Foreign Affairs and Trade, in Opposition, I championed a free trade agreement between Australia and Hong Kong. On coming to government in 2013 we focused on free trade agreements with China, Japan, South Korea and of course the Trans-Pacific Partnership, the TPP-11. But a free trade agreement with Hong Kong was always at the top of my mind, and when we released the Foreign Policy White Paper in November of 2017, as Andrew pointed out, the first foreign policy review in 14 years, it set out a framework of what we saw as Australia’s foreign policy priorities, interests, and our values, that would guide our foreign policy over the next decade and beyond. A key objective of the White Paper was negotiating a successful free trade agreement with Hong Kong. So, personally, I am absolutely delighted that Australia and Hong Kong have been able to conclude negotiations and that we expect, hopefully, a signing of this free trade agreement in coming weeks. This represents a significant milestone in our relationship, but, importantly at this time it sends a very powerful message to the world that Australia and Hong Kong are committed to free and open, liberalised trade. I thought that this afternoon I would give you some perspectives of mine, as a former Foreign Minister and as a currently serving Australian politician, about some of the political developments in Australia and some of the international trends which are emerging.

There is a disconnect in Australia and the more the public lose confidence in our political process and the greater the deficit of trust between the political class and the public, we see more politicians coming up with populist, short-term policies

Shortly after our most recent and all-too-regular leadership upheavals, I attended an international summit meeting with political and business leaders, and one Foreign Minister said to me: What is it with Australia? You are so highly regarded as a well-governed country, you have a strong and competitive economy, you have a lifestyle that is the envy of the world. Yet, if you talk to an Australian, they’ll tell you they’re the worst-governed nation on earth, they have the worst bunch of politicians, and that given you’ve had seven Prime Ministers in about 11 years, the place is in chaos! February 2019

I disagreed with the analysis. Part of it was true, but I disagreed with the analysis. Nevertheless there is a disconnect in Australia and the more the public lose confidence in our political process and the greater the deficit of trust between the political class and the public, we see more politicians coming up with populist, short-term policies, that might win you votes in the short-term, but in the longer term they only add to the lack of confidence and the mistrust. We are not alone in this phenomenon. There was a very important piece of work done by the Washington-based Pew Research Centre back in 2017, and they surveyed 38,000 people across 38 countries, including Australia, about forms of government and democracy in particular. Now, the good news for Australia is that of those surveyed 88 per cent said they thought democracy was a good idea. Only 40 per cent indicated a strong preference for democracy. When they were asked about what sort of alternative government would you prefer, about 40 per cent said they would like to see Australia governed by an unelected panel of experts. That was meant to be the Cabinet, but anyway. Another 19 per cent said they would be happy with a strong leader who was unconstrained by parliaments and courts. Twelve per cent said bring in the army, they’d like to see military rule. Now, while I find it alarming that a significant minority of Australians appear to be comfortable with military or civilian dictatorship, there was an even more worrying finding. When asked: How much trust do you have in your government to do the right thing by your country? About 40 per cent said they had some level of trust, seven per cent said they have a high level of trust. Seven per cent of those surveyed said they had a high level of trust in the government to do the right thing by the country. cont P.7

Cover Story cont from P.6

I think this is a general malaise about politics. I don’t believe it’s a seriously considered analysis of ditching our democratically-elected parliament and embracing autocracy. But nevertheless, it does give us cause for concern – and that disconnect between the public’s expectations of what governments should and shouldn’t do and what we actually deliver. There is a conundrum: some people believe that government does too much, that government is interfering in our lives and should get out of our lives. Others believe that government is not doing enough, that government should be able to solve society’s ills. Others still believe whatever government is doing, it is wrong. So, it’s incumbent upon us to explain the limits of what governments can and can’t do and to have the courage to articulate longer-term policies, beyond the 24/7 media cycle, beyond the electoral cycle, longer-term policies in the national interest of the country. Because if people continue to believe that governments should be doing more than it is possible for them to do, and that politicians promise what cannot be delivered, then we risk a permanent state of dissatisfaction and mistrust.

We owe it to the Australian public to give them confidence in what is one of the longest-standing democracies in the world today. The truth is individual choices, the choices we make as individuals, have a far more profound impact on our lives than the majority of decisions taken by politicians in Canberra. But there is a real need for us to build trust in our institutions, to support our democracy and to raise the level of public and political debate. The politicians have a lot of work ahead of them. You only have to watch Question Time to see the tone and level of debate in Australian politics. But we owe it to the Australian public to give them confidence in what is one of the longest-standing democracies in the world today.

I also think that, to an extent, we’re suffering from our success. As Andrew said, we are entering our 28th consecutive year of uninterrupted economic growth. That is a world record. No other country on earth has come close to 28 consecutive years of uninterrupted economic growth. It also means that nobody under 45 has ever experienced a recession or anything like it. Unemployment is at 5 per cent. There are immense opportunities for work in Australia. We have one of the highest standards of living in the world. We’re regularly, consistently, in the top three nations in terms of the Human Development Index, with Norway and Sweden and we have a significant social security net. And that success makes it difficult for politicians to argue for long-term structural reform, particularly if it means any reduction in government support or any withdrawal of entitlements or any perceived or otherwise, reduction in the standard of living. I also think that there is a concern across Australia – and again, not confined to Australia – but concern about the impact of what we call the Fourth Industrial Revolution, and whether government is sufficiently preparing us for it. By that I mean the advent of automation, artificial intelligence and robotics, the Internet of Things, that is disrupting the way we live, the way we work, play, engage.

I laughed at the thought of artificially intelligent lawyers until I thought of artificially intelligent politicians.

Just this week I met with a consortium of lawyers in Perth – in fact, representatives of Herbert Smith Freehills and King & Wood Mallesons – and this consortium is developing digitised legal practice. Take smart contracts, for example, that will be embedded with code so that the contract self-activates, you get rid of the middleman. Its artificial intelligence taking over the legal practice. I laughed at the thought of artificially intelligent lawyers until I thought of artificially intelligent politicians. There’s material for a stand-up comedy routine there but I think I’m going to have to work on it. Anyway, the good news is though, that humanity is not redundant in this fourth industrial age, at least not according to a recent World Economic Forum report called The Future of Jobs in 2018. This was a report that surveyed some 300 companies across 20 countries and represented a combined workforce of, say, 15 million people. All of the companies surveyed named four technologies that will absolutely disrupt their business and their industry in the next few years: widespread availability of high-speed mobile internet, artificial intelligence, the greater use of big data and cloud-based technologies. cont P.8

Cover Story cont from P.7

About 50 per cent of the companies surveyed said that they would be reducing staff numbers over the next few years over the next four years because of automation, because of technology. About 40 per cent said that they would actually be increasing staff because they’ll be using technology to augment the work of their employees. Twenty-five per cent of them said that over the next few years there will be new jobs and new roles in their businesses and industries, that currently don’t exist, because of the advent of AI, automation.

The report also went on to say that by 2022 a million jobs would be lost in these industries surveyed, due to technology, but 1.75 million would be created because technology was supporting greater productivity and efficiency and there was a greater need for humans skilled in interacting with machines. But it is an issue that is concerning Australians and governments need to be vocal on how we can harness the excitement and creativity of technology. There is another issue that has caused a lot of political upheaval in Australia in recent years and that’s energy policy. The cost of electricity has been a subject of political debate for a long time in our country, and the issue of climate change. Without doubt it was a platform that Kevin Rudd used to defeat John Howard at the 2007 election and it’s been an issue that has divided parties and the public ever since and caused a lot of political upheaval. I think the closest that we came to a consensus on climate change and energy policy was the National Energy Guarantee, which was designed to provide affordable, reliable power and give certainty to the electricity generators so that they could make the long-term investment that is required. It is no longer Coalition policy and I don’t see an immediate solution to the impasse. But I think that in future there will be some kind of National Energy Guarantee, some kind, because we have to give generators the confidence to invest in Australia. As we see in the closure of coal-fired power stations, the advent of renewables, not yet a debate on nuclear power, we need to have an energy policy that does deliver affordable, reliable energy that allows us to meet our international obligations. As we enter the period in the lead-up to the election the different policy positions of the two sides of politics in Australia are crystallising. The Liberals and Nationals, the Coalition, will be focusing on job creation, on economic growth, on lower taxes, on budget reform, on ensuring that we have a budget surplus so that we are in a position to fund the necessary essential services upon which Australians rely. And Labor increasingly emboldened to talk about higher taxes, a greater role for the unions, more regulation, and I’m surprised that they’re promoting policies like reforms to the capital gains tax, to negative gearing and imputation credits and the cash February 2019

refunds. I think these will be issues that will actually define the next election.

Do not give up on us. That would be a mistake. Big mistake.

The political environment is challenging for the government. There have been consistent opinion polls showing a Labor win, albeit with a very unpopular leader. But opinion polls this far out from an election are not conclusive, and my very strong advice is: do not give up on us. That would be a mistake. Big mistake. Ladies and gentlemen, perhaps I could turn to some international issues, for there are risks out there and Australia, integrated into the global economy, is affected by the trends and the events that we see worldwide. The rise of populism and economic nationalism is giving rise to zero-sum anti-globalist sentiment, and populist leaders are arguing that global trade has benefited some nations to the detriment of others and that protectionism is the answer. Policy-makers must argue against this and remember the lessons of history because global trade benefits all. It is a rising tide that lifts all boats. The recent US-China trade conflict is of course a concern, but I have been confident for some time that we will see a peaceful negotiation that resolves some of the outstanding issues. And I’m heartened by what President Trump has said recently about the talks in Washington. I think if you put the rhetoric aside, we are likely to see the emergence of a US-China free trade agreement which would undoubtedly be to the global benefit. Sure, there are issues like cyber-security that need to be resolved, but overall, I believe that both nations appreciate the importance of their economies to global peace, stability and security. We’re always on the lookout for a ‘black swan’ event, a rare and unforeseen event that can have significant effects, cause immense upheaval, and by their very nature they are unpredictable. But recently we’ve been hearing more about ‘grey rhinos’. Grey rhinos are risks that are obvious but that cont P9

Cover Story cont from P.8

the majority are ignoring or refusing to see. And President Xi Jinping referred to both metaphors, black swans and grey rhinos, in a recent speech to the Chinese Communist Party. In retrospect, if you look at the global financial crisis of 2008, that was described as a black swan event, but there were a significant number who had the foresight to predict the US sub-prime meltdown. So in retrospect it was a grey rhino. There are some current grey rhinos on the horizon – the increase in private and public debt in many nations since 2008, of course the US-China relationship, the struggle to find an orderly Brexit that will impact not only the UK and the EU but globally, and the capacity of governments to support the financial markets should another banking crisis erupt. These are some of the risks that are ahead of us and we need to take action now and implement policies to smooth the imbalances. There’s another risk that is of great concern and that is the decreasing support for the international rules-based order. That is, the framework of alliances and treaties and conventions and norms underpinned by international law that has evolved since the Second World War. It’s an order that was established and championed and guaranteed by the United States and its allies, but it has undoubtedly been of benefit globally, and some nations are choosing to cherry-pick which parts of that order apply to them and which parts they’ll ignore.

It was designed to create a world out of chaos and it has to the extent that we haven’t had a Third World War and we have seen the greatest rise in human prosperity in living history over the last 70 years. And those nations that stand to benefit most and have benefited most from the international rules-based order ought be the staunchest advocates to support it and keep it. Australia, as an open export-oriented market economy, as an open liberal democracy committed to freedoms and the rule of law, should and must be a strong advocate for the international rules-based order. Sure, there need to be changes, and where change leads to better outcomes we will support it, but we should not lack courage in supporting those aspects of the rules-based order that have provided us with relative peace, stability and prosperity, and Australia has benefited enormously from it. Ladies and gentlemen, I want to wish you a very happy Chinese New Year. Now, while some might have referred to 2018 as a Dog of a Year, I feel sure that the Year of the Pig will bring great resilience and determination, and courage from our policymakers will be a feature of 2019.”

View Ms Bishop’s speech and fireside chat with ANZ’s Farhan Faruqui here

Ms Bishop Offers Advice to Students

s part of her visit to Hong Kong, Julie Bishop visited the Australian International School Hong Kong (AISHK).

Greeted on arrival by Head of School, Mark Hemphill and AISHK Captains and Prefects, Ms Bishop provided an insightful address to some 400 secondary students, staff and parents. Ms Bishop’s opening remarks resonated with the young audience, as she reflected on pivotal moments, both during her career and as a student herself, which shaped her outlook on life and her path to becoming a pioneering leader in her field. School Captains and prefects held a Q and A session with Ms Bishop, comprising questions from secondary students. On the topic of diversity Ms Bishop emphasised the importance of ensuring a balanced representation of our country. Other topics discussed included climate change, career pathways for young people in politics today and her recounting some of the most memorable moments in her own career.

Hong Kong Focus

Record Number of Companies Make Hong Kong Home Australian firms seeking to set up or expand in the SAR are benefitting from InvestHK’s support

he latest figures from Hong Kong Government’s department dedicated to supporting companies to set up or expand in the SAR, Invest Hong Kong (InvestHK), show a record high and a year-on-year increase of 8.5% by assisting 436 overseas and Mainland companies in 2018. The number of jobs created, 5,268, also rose by 3.3% on the previous year. InvestHK’s Director-General of Investment Promotion, Stephen Phillips, said he was delighted to see the continued increase in the numbers in 2018. “2018 was another record year for InvestHK in terms of the number of companies assisted and the number of jobs created. Hong Kong continues to attract overseas and Mainland investors because of its core advantages and emerging business opportunities, especially in light of the Belt and Road initiative and the latest developments in the Guangdong-Hong Kong-Macao Bay area,” Mr Phillips said. “Our targets in 2019 include companies ranging from entrepreneur-led ventures to multinationals that plan to set up or expand in the city. Special focus is also being put on attracting innovation and technology companies in line with the Government’s policy objectives,” he said. 2018 highlights The 436 companies came from 43 economies. Mainland China continued to provide the most with a total of 101 companies, followed by the US (63), the UK (43), France (26), and Australia and Singapore (both 20).

February 2019

InvestHK assisted companies from a broad range of sectors. The top sector was innovation and technology (99 companies), followed by tourism and hospitality (61) and transport and industrial (59). The 436 companies together created 5,268 new jobs in their first year of establishment or expansion, representing a 3.3% increase compared with 2017. Several other recent Hong Kong Government surveys suggest that the city remains a magnet for overseas and Mainland businesses while its start-up ecosystem is thriving.

Hong Kong’s startup ecosystem has skyrocketed in the last few years Mr Phillips said, “Hong Kong continues to attract and retain leading overseas and Mainland companies, as well as entrepreneurs from around the globe setting up leading edge and innovative businesses. Factors that attract world-class investment include Hong Kong’s strategic position in the region as well as its international status as a sophisticated business and financial city with a business-friendly environment. “Hong Kong’s startup ecosystem has skyrocketed in the last few years. The results showed that as at November 2018, the number of startups grew by 18% year-on-year, and jobs created surged by 51%. “The start-up community is also highly international, with 35 per cent of founders coming from outside Hong Kong. Vibrant cont P.11

Hong Kong Focus cont from P.10

sectors include fintech, followed by e-commerce/supply chain management/logistics technology, professional or consultancy services, information, computers and technology.” According to the 2018 Annual Survey of Companies in Hong Kong with Parent Companies Located Outside Hong Kong jointly conducted by Invest Hong Kong (InvestHK) and the Census and Statistics Department, the number of business operations in Hong Kong with parent companies overseas and in Mainland China climbed 6.4% to 8,754 in 2018, compared to 8,225 a year ago. The 8,754 respondent companies comprised 1,530 operating as regional headquarters (RHQs), 2,425 as regional offices (ROs) and 4,799 as local offices (LOs). The number of RHQs showed a robust growth of 8.3% from 1,413 last year, revealing the key role Hong Kong plays for many businesses across Asia.

In terms of jobs, the number of people engaged by the companies reached an all-time high at 485,000, compared to 443,000 in 2017. In terms of source country/territory, Mainland China ranked first with 1,591 companies, followed by Japan (1,393), the United States (1,351), the United Kingdom (712) and Singapore (427). Australia ranked 11th with 172 companies. The survey also collected views on the attractiveness of Hong Kong as a location for setting up businesses. Favourable factors included “simple tax system and low tax rate” (67%), “free flow of information” (62%), “free port status” (59%) and “geographical location” (59). In addition, InvestHK’s 2018 Annual Start-up Survey found that there were 2,625 startups operating in major public and private co-work spaces and incubators, up 18% from 2,229 in 2017. Together these startups employed 9,548 people, a 51% rise over 6,320 in 2017. Of the founders, 62% were from Hong Kong, and 35% from outside Hong Kong, of whom 17% came from the UK, 16% from the US, 12% from Mainland China, and 9% from Australia. Major sec tors included fintech (16%), followed by e-commerce/supply chain management/logistics technology (11%), professional or consultancy services (11%), information, computer and technology (10%). For further information on how InvestHK can help your company, visit www.investhk.gov.hk

Hong Kong Focus

Hong Kong’s Got Talent (but needs more)

Last August the SAR Government released its first Talent List, drawn up with a view to attracting high quality talent in a focused way to support Hong Kong’s development. Skilled Australians are well placed to benefit from the professional opportunities identified, and gain valuable experience.

Waste Treatment Specialists

Asset Management Professionals

• • Experienced waste treatment specialists with expertise in planning, implementing, coordinating and evaluating comprehensive waste management 5 toFintech systems that are designed maximiseProfessionals waste prevention, reuse, and recycling opportunities. •

Experienced investment analysts and investment consultants with expertise in researching into investment opportunities and building investment portfolios. Experienced fund managers with expertise in supervising administration of fund portfolios and implementing investment and distribution policies.

Marine Insurance Professionals

• Experienced professionals in marine insurance with expertise in supervising the preparation of valuations and reports, managing the formulation of insurance policies, running day-to-day underwriting team, covering new business, monitoring binder progress and claims management, finding ways to grow competitive pricing and excellent > Experienced professionals inaccounts fintechthrough with expertise in conducting a broad rang service.

Actuaries

of tasks related to application of technology to financial services and relevan research and development, including distributed ledger technologies, artificia Fintech Professionals intelligence, big data and cyber security.

• Actuaries with expertise in carrying out actuarial valuation related to product pricing, assets and liabilities management and risk management, and supervising the preparation of valuations and reports. 6 Data Scientists

5 &

• Experienced professionals in fintech with expertise in conducting a broad range of tasks related to application of technology to financial services and relevant research and development, including ledger technologies, artificial intelligence, Cyberdistributed Security Specialists big data and cyber security.

Data Scientists & Cyber Security Specialists • Experienced data scientists with expertise in working with large datasets (Big Data); and using machine learning and statistical methods, etc. to meet client business needs; developing and implementing statistical tools to build predictive models.

• Experienced cyber security specialists with expertise in designing and maintaining information security technology, standards and policy; supporting the front-line defence; carrying assessmentdata and scientists with expertise in working with large datasets (Bi > out Experienced auditing the security implementation. Data); and using machine learning and statistical methods, etc. toP.13 meet clien cont February 2019

business needs; developing and implementing statistical tools to build predictiv models. > Experienced cyber security specialists with expertise in designing an

chnology Experts cont from P.12

onducting a broad range al services and relevant r technologies, artificial

Hong Kong Focus

> Innovation and technology expertsand in leading a broad range of tasks relat Innovation Technology Experts research and development in relevant innovation fields, including but not li • Innovation and technology experts data in leading a broad to pharmaceutical and life science/biotechnology; engineering (e.g. range of tasks related to research and development mining/data analytics), artificial intelligence, robotics, distributed l in relevant innovation fields, including but not limited technologies, biometric technologies, industrial/chemical engineering; to pharmaceutical and life science/biotechnology; materials science/nanotechnology.

8 Naval Architects

data engineering (e.g. data mining/data analytics), artificial intelligence, robotics, distributed ledger technologies, biometric technologies, industrial/ chemical engineering; and materials science/ nanotechnology.

Naval Architects nology experts in leading a broad range of tasks related to

pment in relevant innovation fields, including but not limited • Naval architects with expertise in studying and nd life science/biotechnology; data engineering (e.g. data preparing specification for the building, conversion ics), artificial orintelligence, robotics, distributed repair of ships or offshore structures; supervisingledger etric technologies, industrial/chemical their overall design, construction,engineering; maintenance and anotechnology. and repair; and advising on the certification and registration of vessels.

11 Dispute Resolution Professio

seers & Superintendents of Ships

with large datasets (Big hods, etc. to meet client l tools to build predictive

tise in designing and s and policy; supporting d auditing the security

Marine Engineers & Superintendents Ships > Naval architects with expertise in studying and preparingofspecification fo building, conversion or repair ofengineers ships or structures; supervising • Marine andoffshore superintendents of ships with overall design, construction, maintenance and repair; and advising on expertise in the overall management and technical certification and registration of vessels. operations of assigned fleet in a safe and profitable

Creative Industries Professionals

manner, who may also work in the classification societies or as private surveyors to conduct statutory certification and surveys throughout the ship's life.

Dispute Resolution Professionals &

Dispute resolution professionals s ers and superintendents of ships with expertise in the overall Transactional > Lawyers Recording engineers with expertise and investor-state disputes, includ ndexpertise technicalin• operations of assigned fleet ininarecording, safe and profitable h studying and preparing specification for the editing and mixing audio. Mastering engineers with • Dispute resolution professionals specialisingat in the conc and binding decisions ay work in the or classification societiessupervising or as privatetheir surveyors or also repair of ships offshore structures; expertise fine-tuning recorded resolving international financial and investorstruction, maintenance and repair; andmusic. advising expertise in assisting the parties to utory certification and insurveys throughout the ship'son life.the state disputes, including Arbitrators with expertise stration of vessels. > Transactional lawyers, in particular • Cutting/pressing engineers for vinyl LP with expertise in rendering final and binding decisions at the with specialised knowledge of and in producing top quality records and Long Plate conclusion of arbitral proceedings; Mediators with investing or host records. expertise in assisting the parties to thestates. dispute to

dustries

• Game development experts (game designers, game programmers, game graphic designers) with Professionals expertise in various aspects of a game's creation. • Game producers with expertise in setting direction and strategy of the game, managing production team and assuring quality. • Professionals in film industry with expertise in various roles for film pre-production, production and post-production and are winners of designated renowned international film festivals.

reach a negotiated settlement.

• Transactional lawyers, in particular, those from developing Belt and Road countries, with specialised Enquiryin cross-border knowledge ofGeneral and experience transactions from investing or host states.

enquiry@talentlist.gov.hk (852) 2810 3876

https://www.talentlist.gov.hk/pdf/ talent_list_Pam_v18_en_wcag.pdf Enquiry on QMAS

qmas1@immd.gov.hk (852) 2829 3383

Hong Kong Focus

Australia’s Cut Australia has proven experience in one of the professions identified in the Government’s Talent List – film production. Pravin Menon, Director, Government Relations & Operations with Screen Producers Australia (SPA), provides this overview of the on and off screen relationship between Australia and Hong Kong ahead of FILMART March

trade conference, which attracts over 800 attendees and facilitates approximately A$100M in production deals and development opportunities every year. In terms of trade, Hong Kong is a regional base for many Australian exporters in Asia. There are over 100,000 Australian ex-pats based in Hong Kong and more than 500,000 Australian residents travel to Hong Kong every year. With English as a main language, its proximity to China makes it an ideal launching pad for many Australian companies wishing to enter or expand in Asia. Hong Kong is Australia’s third largest two-way trading partner and export destination in North Asia, contributing almost A$6 billion in two-way trade and 3.5% of total services exports. While services trade with Hong Kong has grown year on year, cultural exports have been in decline. Australia attracts more than A$670 million in travel services from Hong Kong, but almost none of this is education-related travel – a significant missed opportunity by comparison with other Asian markets.

SPA delegation to Korea last year

here has been a long-standing relationship between Australian independent producers and the Hong Kong film industry. This dates back to the first AustralianHong Kong co-production, Brian Trenchand-Smith’s 1975 ‘Ozploitation’ film The Man from Hong Kong. “Australia and Hong Kong are modern, vibrant, sophisticated communities,” Trenchand-Smith said to SPA. “There are many cross-cultural stories to be found, be they comedy or drama. Stakeholders on each side get twice the production value for half the risk.” Christopher Doyle is an Australian cinematographer and an icon of the Hong Kong film industry. He has worked on more than 50 Chinese-language films, winning awards at Cannes, Venice, the Golden Horse awards and the Hong Kong Film Award - as well as working on iconic Australian films such as Rabbit Proof Fence. FILMART is a valuable proposition to Australia’s independent production sector, with more than 8,700 attendees, and a 1,000 trade-buyers from over 40 countries. SPA last hosted a delegation of more than 12 independent producers to FILMART in 2015 and has continued to host international delegates from Hong Kong and China via its international partnership market, SPA CONNECT. SPA CONNECT forms part of SCREEN FOREVER, Australia’s premiere film and television February 2019

The screen industry, and Australia’s broader creative industries, plays a flagship role in showcasing Australia’s democratic values, way of life, educational opportunities, and the quality and brand of Australian goods and services, which are primed for export. It has been more than 10 years since the landmark AustraliaChinese co-production treaty, with three of the eight official co-productions with China made in the last year alone –a total value of almost A$300 million. SPA has also had a memorandum of understanding (MOU) with the China Film Producers Association since 2014, Australia and Hong Kong concluded negotiations on the Australia-Hong Kong free trade agreement on 15 November 2018. This is expected to be in force later this year. This presents a unique opportunity to expand trade and diplomatic relations through a co-production treaty between Australia and Hong Kong as well. There are opportunities to improve bilateral trade through MoUs with Hong Kong associations. These include the Movie Producers and Distributions Association of Hong Kong (MPDA) and the Hong Kong Movie Producers Executives Association (HKMPEA). SPA is sending a delegation to FILMART in Hong Kong in March.. Several of the interested parties have production experience in the region, including in feature film and documentary, factual and television drama as well as immersive media. Promoting Australian screen stories in Hong Kong via exports and co-productions will stimulate cultural understanding, trade and foreign investment - not just with Hong Kong but the entire region.

Hong Kong Focus

Apply Here

15 Managing Director of leading recruitment firm Ambition, and AustCham member, Chris Aukland, says the Hong Kong Government must be more active if it wants to attract the professionals it has identified in its Talent List, but it is a good start

t will be interesting to see if the Hong Kong Government’s recently released Talent List has its desired impact in attracting high quality talent considered critical for Hong Kong’s economic development. Looking down the list of 11 professions there do appear to be many rather niche professions such as ‘Waste Treatment specialists’, ‘Naval Architects’, ‘Marine Engineers’, ‘Marine Insurance’ so I would question how useful it will be in attracting this talent to Hong Kong unless it is also coupled with a recruitment and PR drive into specific overseas markets with a greater abundance of these professionals. However, what is most definitely noticeable about the list is the focus around bringing quality ‘technology’ talent into Hong Kong which is most definitely in line with demand from the local market in the previous 12 months and, in my opinion, can only be good to help Hong Kong’s quest to be a technology and fintech hub. If we take a closer look at three of the professions on the list in terms of what we are seeing in the Hong Kong employment market: Fintech Professionals Fintech is most definitely booming in Hong Kong and this is a rather all-encompassing ‘profession’ which should help out fintech companies looking to hire quickly. The number of fintech events held in Hong Kong and the level of publicity fintech is generating indicates that there is considerable financial investment and a high level of interest from both the private and government sectors. We have seen an increased demand in this sector (eg. surge in blockchain hires this year) and we only expect this demand to increase in 2019. What is abundantly clear is that the world of fintech is rapidly evolving and if it isn’t the hottest sector in Hong Kong right now, then its close.

Data Scientists and Cyber Security The advent of ‘Big Data’ and the rise of the digital age has meant that big data specialists and disruptive technology skills sets are in high demand and there has been a significant rise in the number of data analytics roles in the market. ETL (extract transfer load) experience; Python, R, SAS are all in-demand skills sets. Finding talent in this area in Hong Kong remains a challenge for many employers so looking outside of Hong Kong is very likely. Large multinational corporations and global banks around the world are also continuing to hit the headlines with high profile security breaches of their IT systems and loss of data. IT security will remain a high priority in Hong Kong and IT security analysts through to CISO and director level IT security professionals are in demand. Innovation and Technology Experts We have seen that roles focusing purely on driving innovation are also increasing in Hong Kong. These professionals identify future demands of consumers, spot trends and drive technological developments to enable companies to stay at the forefront of their industry. With many banks and financial services now building out their own innovation ‘hubs’ or ‘teams’ we have also seen an increase in their utilisation to facilitate actual hiring through events such as Hackathons. Furthermore, demand for top tech talent remains high and especially so for Software Engineers. We only expect this demand to continue and knowledge of iOS, Android, C++, Java etc. skills sets will be highly sought after in 2019. In summary, I believe the Talent List is a positive addition to the Government’s drive to attract talent into Hong Kong but is most likely a short-term fix, so I would also think that more needs to be done at a grass roots level to upskill the local market and ensure Hong Kong maintains its competitiveness in the future.

Making an Impact HK Budget

Based on feedback from our members, the Australian Chamber of Commerce in Hong Kong has made the following submission to the Financial Secretary, Paul Chan, ahead of his delivery of the Hong Kong 2019-20 Budget.

AustCham’s Hong Kong Budget Submission

ustCham calls for continued investment in initiatives to address concerns of waste management, recycling and air pollution.

We support the recent introduction by corporates of ‘reverse vending machines’ for plastic bottles and ‘no straw campaign’ and we call on the Hong Kong Government to take a leadership role through similar action-orientated initiatives with a sense of urgency. Improving Hong Kong’s liveability will address key concerns about attracting talent to the city. Greater investment in eldercare support and childcare support Further to our chairman’s verbal submission during the consultation process, we continue to push for greater support for Hong Kong’s elderly. With a rapidly ageing population, the Hong Kong Government must ensure that eldercare services, support and policy are adequate to meet the growing demands and expectations of our community. The chamber calls for greater investment in elderly care as a priority, especially in ageing technologies and dementia-related support. Kai Tak Sports Park AustCham applauds the Government’s recent announcement of awarding the contract to the Kai Tak Sports Park. The 28-hectare complex will be Hong Kong’s biggest sports venue and a world-class stadium for international events and community use. We believe this world-class sporting facility will benefit all sectors of Hong Kong over the long term.

February 2019

Education A skilled and international workforce is at the heart of much of Hong Kong’s success. We continue to call for improved standards of English education across the board. In addition, with the cost of living in Hong Kong a major deterrent to transferring global talent to Hong Kong, we again ask the Government to reverse the removal of the subvention for ESF schools. These schools provide international standard education for Hong Kong families as well as for those from overseas. If the Hong Kong Government intends to continue to attract start-ups and SMEs, as well as those in the innovation industries, it must consider the relative affordability of ESF against the international school fees. In short, Hong Kong is at risk of pricing younger, creative entrepreneurs who are starting their business – and their families – out of the market. Reinstating the subvention would allow Hong Kong to continue to attract the best and the brightest from around the world. The high cost of housing coupled with cost of education prohibits many from moving here. Building capability of data science, coding and cybersecurity We urge the government to continue to invest in building capabilities in core areas of innovation including data science, coding and cybersecurity. AustCham will continue to work closely with all Government bureaus and departments and support Hong Kong’s longterm prosperity and international standing. We appreciate the HKSAR Government’s continuous efforts to better the city in which we live.

AustCham Intern Programme

Reception Marks End of Successful 2018 Programme

ustCham celebrated the conclusion of our Intern Programme with Australian National University, who hosted interns, companies and guests at a reception at the Renaissance Harbour View Hotel. The Australian Consul-General, Michaela Browning, spoke highly of the programme and how it has strengthened the people-to-people connections between Hong Kong and Australia. This yearâ&#x20AC;&#x2122;s landmark initiative was met with positive feedback from students, universities and companies alike. AustCham supported all parties throughout the process and we are looking forward to building on the success into 2019 and beyond. If you are interested in participating or hosting interns then please contact the AustCham team at intern@austcham.com.hk. Thank you to all those that participated and we look forward to welcoming new university partners and host companies into the Intern Programme for 2019.

Feature Story

Australia’s New Modern Slavery Act - what you need to know AustCham’s Sustainability Committee organised a lunch seminar to introduce provisions of the new Modern Slavery Act which came into effect on 1 January. What does it mean to your business? How does this compare with global trends to crack down on human trafficking?

ustralia has recently joined other global jurisdictions in passing a Modern Slavery Act to combat modern slavery by making identifying and alleviating abuses a priority for Australian businesses and international corporations who conduct business in Australia.

appoint an anti-slavery commissioner, two improvements the Law Council will be lobbying for. Mr Moses also recommends a lower reporting threshold around AU$60 million which would be comparable to the UK’s law. NSW has proscribed $50 million. However, he said the new law is a positive first step. Reaction so far has been mixed with some businesses concerned they may not be able to accurately meet the reporting requirements. Mark Devadason of Business for Social Responsibility (BSR), and a board member with The Mekong Club, said that public awareness is quite low. “Some companies are all over it; there are pockets of excellence.” He noted that millennials may play a key role in driving change as they would not want to work for or buy from any companies or brands that didn’t have a good human rights record.

Under the Act, businesses with revenues of AU$100 million upwards must annually report regarding measures taken to address modern slavery. With no universally agreed upon definition of ‘modern slavery’, identifying its prevalence is a challenge. By sourcing goods and services internationally, companies may also unwittingly be supporting modern slavery practices. Guest speaker, the new president of the Law Council of Australia, Arthur Moses SC said: “Too often we are tempted to think of slavery as a relic of the past, but the truth is it is a problem alive and well.” “The United Nations has estimated that there are more than 40 million victims of modern slavery worldwide. Around 25 million people are estimated to be exploited through global supply chains,” Mr Moses said. More than half of all modern slavery victims are estimated to live in the Asia Pacific region, where the supply chains of many large Australian businesses are concentrated. “The risk of exposure to modern slavery is a very real and current problem for businesses. Modern slavery in supply chains also distorts global markets, undercuts responsible businesses, and poses significant legal and reputational risks for companies,” Mr Moses said. “Australia’s new modern slavery act will impact significantly on both Australian businesses and international corporations doing business in Australia.” Unlike the anti-slavery legislation NSW is introducing, the Federal law does not impose penalties (of up to AU$1 million) or February 2019

The challenge is for companies to assign resources, such as appoint a head of anti-slavery or a responsible officer, put good practices in place, and educate and train staff. “Many Australian companies still don’t have a risk, reputation, and sustainability committee at board level that asks different business units to report into it. I do think there is a governance gap at big companies where they are not having board level debates about this,” Mr Devadason said. Antony Crockett, who leads Herbert Smith Freehills’ business and human rights practice in Asia Pacific, said that clients are writing to explain it to their boards. “People are taking it seriously. This is something new and understandably daunting.” He expects reputational pressure will drive clients to act and the evidence is good practice in the UK experience is filtering though. However, it may take the big stick of prosecutions to convince some to act. While the Australian Act doesn’t contain penalties, there are applicable provisions within the criminal code.

Feature Story “What will make out a meaningful long-term difference is to root out criminality,” Mr Crockett said. Panel moderator and Sustainability Committee chair, Kimberley Cole, said emerging technology, data and smartphones could all play a role in combating modern slavery. This could all make reporting easier for firms. So far only 19% of companies in the UK met minimum reporting standards. The Mekong Club has developed various tools for companies to use to identify issues in supply chains such as using industry data to isolate slavery hotspots around the world. They are also looking at how blockchain could be used to make employment terms more transparent enabling large corporations to require their contractors to post employment contracts in the system. Hong Kong does not have modern slavery legislation. Legislator Dennis Kwok had attempted to introduce a private member’s bill last year which was denied by the Government. “I sense that there would probably be little resistance to it from a majority of large companies in Hong Kong. The largest corporations would be familiar with it from other jurisdictions,” Mr Crockett said.

Herbert Smith Freehills has this check list to consider in reporting 1. Awareness and training – What training and awareness raising do you undertake internally and with suppliers? 2. Risk assessment – Do you know the areas of highest risk within your supply chain? 3. Due diligence – How do you select suppliers and contractors? Do you rely on head contractors to undertake key diligence steps? 4. Engagement – What protections and mechanisms do you include in your contracts? 5. Monitoring – What monitoring do you undertake on suppliers and contractors? 6. Speak up mechanisms – Do you have mechanisms to encourage concerns to be brought to your attention so that you have an opportunity to investigate and respond? 7. Oversight – How do senior management and the Board have visibility and oversight over mitigation steps/ potential issues?

For further details about the Modern Slavery Act

He said the biggest obstacle may be the Government’s reluctance to recognise that there is a problem that requires legislative redress. The US Government’s annual Trafficking in Persons (TIP) report criticises Hong Kong for not doing enough to eliminate human trafficking. It ranks the SAR alongside Thailand and Afghanistan. Mr Devadason expects an even more critical report this year. “The Government is in denial. Hong Kong is likely to be right up there with North Korea very soon.” The panellists all agreed that Hong Kong’s international reputation will be damaged if it fails to act. Venue partner

For more information on the tools developed by The Mekong Club

News

Ovolo Woolloomooloo Tops Peers

tretched along Sydney’s Woolloomooloo Wharf, the longest timber-piled wharf in the world, Ovolo Woolloomooloo recently took the top honours in the TripAdvisor Travellers’ Choice award as the number one hotel in Australia. Travellers’ Choice award winners were based on the millions of reviews and opinions collected in a single year from TripAdvisor travellers worldwide.

On taking first place in Australia, Ovolo Woolloomooloo CEO and Founder Girish Jhunjhnuwala, an AustCham member, said, “I’m all shook up! A great start to the year being named TripAdvisor’s No.1 hotel in Australia! It’s you, our shiny, happy guests that has made this possible! Thank you!” One TripAdvisor reviewer noted, “The loft room was amazing with its enormous lounge, so inviting that we didn’t even make it down to the free happy hour!”

IFW Delegation

Feel the Beat at MarketingPulse

ringing business opportunities, particularly in agriculture, was the focus for the recent Australian delegation to International Finance Week in Hong Kong. Led by AustCham member, Stacey Martin, Founder of the Expat Advisors Community, delegates were from financial services, venture capital, property, education and wealth management. For the second year, delegates were invited to speak at the Family Office Solutions Showcase. Insights included the property markets’ recent volatility, opportunities in the food and agri sector, some big ideas in technology and how wealth managers in Australia are catering to Chinese migrants and inbound investors. Mission supporters were the Export Council of Australia and Austrade.

arketingPulse is an integrated branding and marketing conference for global marketers, brands, advertising agencies, media, enterprises and innovation professionals to gather and share the latest marketing trends, exchange best marketing practices and explore new collaborations in Asia, organised by the Hong Kong Trade and Development Council. From contents defining new marketing strategies to events that connect and catalyse, MarketingPulse is not only a conference, but an inspiring annual rendezvous to explore new frontiers in the markets. AustCham members enjoy 40% off by registering with the promo code: CHC17M4P. Register here! If you are an Australian-based member and can provide an Australian address, you can get 70% off by contacting Crystal via crystal.hl.tsoi@hktdc.org.

NSW Election

he New South Wales State General Election will be held on Saturday 23 March 2019. You cannot cast your vote in person at the Australian Consulate-General Hong Kong. If you will be overseas on Election Day, there are a number of ways to cast your vote. Please visit the Australian Consulate-General website for more details on voting.

February 2019

News

Australia Future Unlimited AustCham meets HKETO Education Exhibition in Sydney (AFUEE) 2019

rganised by the Australian Consulate-General Hong Kong, AFUEE is the Australian Government-led education exhibition which will be held on 2 - 3 March 2019, at the Cordis Hotel, Mong Kong. Representatives from close to 30 Australian education institutions and student support service organisations will be there to provide comprehensive information on Australian study options, student visas, accommodation, English test and other support for international students. A series of themed seminars will be presented by the Australian Consulate-General and leading Australian institutions during the 2-day exhibition. The seminars will cover the diversified study disciplines, programme characteristics, career pathways and admission requirements of the Australian institutions. Prospective students and their parents are encouraged to preregister for the seminar as places are limited. For infor mation on the A F U EE 2019 par ticipating institutions and other details, please visit the event website: www.studyinaustraliafair.org .

ustCham’s Chief Executive Jacinta Reddan recently met with Raymond Fan, Director of the Hong Kong Economic and Trade Office (HKETO), Sydney, and Luca De Leonardis, Head of Invest Hong Kong (InvestHK) for Australia and New Zealand, in Sydney. The meeting was part of our ongoing dialogue with the HKETO and InvestHK aimed at strengthening business ties between Australia and Hong Kong, and to discuss the opportunities identified in the Chamber’s recent report on the Greater Bay Area.

EVENTS UPDATE MARCH AT A GLANCE… Tue, 5 March, 6:30pm - 8:30pm Mentor Program: Sustainability KPMG, Prince's Building, 8/F, 5-5E Ice House St, Central Hong Kong Tue, 12 March, 8.00am – 9.30am Australia Global Economics Briefing Harcourt Suite, 1/F, The Hong Kong Club, 1 Jackson Road, Central, Hong Kong Thur, 21 March, 6:30pm – 9:00pm Mix at Six Mr Wolf, 5/F Crawford House, 70 Queen's Road, Central, Hong Kong

APRIL AT A GLANCE… Thu, 4 April, 12:00nn until late AustCham Commonwealth Bank Rugby Sevens Lunch Grand Ballroom, Grand Hyatt Hong Kong, 1 Harbour Road, Wan Chai, Hong Kong

MAY AT A GLANCE… Tue, 28 May, 6:30pm until late AustCham Westpac Australia China Business Awards Gala Dinner Grand Ballroom, Grand Hyatt Hong Kong, 1 Harbour Road, Wan Chai, Hong Kong

Member Comment producing great outcomes, and we need to invest in that success, helping Indigenous boys and girls choose the futures they aspire to.” The Closing the Gap report did highlight progress in the educational outcomes for Indigenous Australians. The Australian Bureau of Statistics figures show Australians with a Year 12 qualification are more likely to be employed; to pursue higher education; and to earn a higher income than Australians who do not complete Year 12. In the most recent Annual Report, AIEF’s Annual Retention and Year 12 Completion Rate was 94%. Jerome Pang, who completed Year 12 in 2013 on an AIEF Scholarship, was recently featured in The Australian and discussed how receiving a scholarship to attend Marist College Ashgrove impacted his life and his commitment to his community.

22 AIEF Deputy CEO Renee Coffey, AIEF Chair Warren Mundine and Jerome Pang at the Closing the Gap week in Canberra

“It moved my life in a different direction. I’ve had more opportunities now. I’m going to university [and] what I want to do in life is give back.”

Education Key to Closing the Gap

In his final year of school, Jerome was the winner of the ‘If I was Prime Minister’ video competition, which gave AIEF Scholarship Students the opportunity to share their vision for Australia’s future. As the first Indigenous Prime Minister, Jerome declared he would create more government initiatives that offer young Indigenous people the opportunity to obtain a higher education in Australia.

The Australian Indigenous Education Foundation responds to the Federal Government’s latest Closing the Gap report

he Founder and Director of the Australian Indigenous Education Foundation, Michelle Penfold, responds to the Federal Government’s latest Closing the Gap report

During the week of the 11th anniversary of the National Apology to Australia’s Indigenous Peoples, Australian Prime Minister Scott Morrison delivered the 2019 Closing the Gap report, exposing the vast divide that remains between Indigenous and non-Indigenous Australians. The report measures areas of disadvantage such as education, health and employment, and attempts to target policies directly toward improving outcomes for Indigenous Australians. Against the seven Closing the Gap targets set in 2008, only two targets - including higher rates of Year 12 attainment among Indigenous students – have proven to be ‘on track’. The Australian Indigenous Education Foundation (AIEF) was established to cater for the community-led demand for scholarships for young Indigenous people looking to be part of a generation of change. AIEF enables Indigenous students to attend leading Australian schools and universities, as well as providing career and mentoring support to ensure students make a successful transition from school to further studies or employment, productive careers and fulfilling lives.

Originally from the Queensland mining city of Mount Isa, Jerome is currently undertaking a degree in Indigenous policy and intends to dedicate his career to improving the lives of Indigenous people in regional communities. “I want to be a voice so my people can improve their own lives and empower themselves; regarding their career opportunities and regarding their own health.” Jerome is part of a network of over 500 AIEF Alumni who are becoming role models for their communities after successfully completing Year 12 on AIEF Scholarships. Over the past 10 years since AIEF was established, the demand from Indigenous families has continued to grow and far outpaces the funds available for scholarships. If you would like to learn more about making a donation to AIEF that will help fund opportunities for more Indigenous Australians like Jerome, you can visit the AIEF website: https://donations.aief.com. au/ or write to michelle.penfold@aief.com.au or andrew.penfold@ aief.com.au.

For Prime Minister Morrison, the most effective way to achieve generational change and to ultimately close the gap is through a renewed focus on education. In his address to Parliament, the Prime Minister stressed the importance of investing in the lives of young Indigenous Australians through organisations such as AIEF. “We have seen the success of organisations that provide scholarships and mentoring for Aboriginal and Torres Strait Islander boys and girls. The Australian Indigenous Education Foundation [is] February 2019

Jerome Pang meets with Senator Pat Dodson during the Closing the Gap week in Canberra

Australian Federal Election

Australian Federal Election How to vote in Hong Kong

hile an election has not yet been officially called, there are things that you can do to prepare!

Australians overseas are encouraged to visit polling facilities before Election Day or use postal voting services to avoid long queues. The Hong Kong – Macau region has the second largest grouping of Australian voters outside Australia. More than 10,000 are expected to vote either on Election Day, by post, or in the two week pre-polling period before Election Day at the Australian Consulate-General. If you are an eligible voter, here’s how you can ensure that you get to vote and that your vote counts. Check your eligibility Voters can confirm their enrolment online by visiting check. aec.gov.au, by contacting the Australian Electoral Commission through its online enquiry form or by calling +61 2 6160 2600. Become an overseas elector If you haven’t already done so, you can register as an overseas elector. You must be enrolled at your last Australian address but becoming an overseas elector means that a postal vote will automatically be sent to your overseas or nominated address prior to the election. There are conditions, which you can read at the AEC’s website aec.gov.au.

Year round Mates’ Rates: Member Benefit Program 2019 These exclusive member benefits and discounts listed are available only to AustCham Hong Kong members, accessible by downloading a Membership eCard. This provides exclusive marketing opportunities for members to promote their company’s products and services, replacing the month-by-month offer which was limited to only one company’s benefit or discount. More details on our website. Terms and conditions apply. www.austcham.com.hk/membership/ membershipecardandspecialoffer

Vote in person or by post If you are still enrolled in Australia and are only overseas temporarily, you can register for a postal vote or you will be able to vote in person at the Australian Consulate-General during the pre-polling period or on Election Day. If you cast your vote in person in Hong Kong, it will be sealed in an envelope and returned to Australia where it will be opened under strict conditions to protect the sanctity of the secret ballot. The Australian Consulate-General will post on its website details of the Hong Kong Polling Station’s opening times once the date of the election is confirmed. Polling will only be available in Hong Kong and not in Macau. Voting is not compulsory if you are overseas on Election Day. If you wish, you can advise the AEC that you are now resident overseas and ask to be removed from the electoral roll. Also, if you are outside Australia on polling day, you will likely not be fined for failing to vote. However, the AEC will probably ask for an explanation. Australian citizenship and the right to hold an Australian passport will not be affected by not voting. For more information, keep an eye on the Australian Consulate-General’s website at hongkong.consulate.gov.au.

Food & Beverage Dining Concepts: Enjoy 15% off on all a la carte dining. Marco Polo Hotels - Hong Kong: 15% off at Cucina, Cafe Marco, Three on Canton and add@Prince Island Shangri-La Hong Kong: 15% discount on regular-priced items Retail PAGODA: Use code “aussiepagodalife” to enjoy 20% off Travel Hey Travelista: Save up to 70% on your next luxury hotel/resort stay Qantas Airways: Extra 5 kgs baggage allowance from Hong Kong to Australia Virgin Australia: 15% off selected business and economy class fares

Membership eC

ard

Hotels Grand Hyatt Hong Kong: Special offer on F&B and Plateau Spa Hotel VIC: Enjoy 20% discount on F&B at Cruise, The Farmhouse and The Farmhouse Deli. Ovolo Hotels: 20% off on the Best Available Rate

Committees in Action

WIBN: Emerging Technology Programme

he sixth and final session in the c u r re n t E m e rg i n g Te c h n o l o g y Programme organised by the Women in Business Network focused on disruptive decision making in the digital age.

O u r s p ea ke r, A l i ce T i n g , Co u n t r y Managing Director for Telstra in Hong Kong, provided an insight on how to prepare for disruptive technologies and deliver innovative IT solutions to drive sales and customer satisfaction based on her 30 yearsâ&#x20AC;&#x2122; experience with tech firms in the USA and Asia.

Women in Business Network sponsors:

February 2019

Session 6

Australia Day Lunch 2019

ormer Foreign Minister Julie Bishop enthralled a full house as our Australia Day Lunch special guest at Island Shangri-La. Our thanks to all our generous sponsors and partners, the students and staff of the Australian International School Hong Kong, and our members and guests, and, of course, Ms Bishop and David Panton, for making it such a memorable and successful event.

Australia Day Lunch 2019

February 2019

Australia Day Lunch 2019

February 2019

Australia Day Lunch 2019

Thank you to our Sponsors:

Event Partners:

Corporate Supporters: 6 JG

February 2019 6 JG

Australia Day Lunch 2019 â&#x20AC;&#x201C; The after-party

post-lunch cocktail reception was held at the Lobster Bar. Our thanks to KPMG for picking up (most of) the bar tab.

For more photos from the event please visit

AustCham CSR Partners AustCham is committed to giving back to the communities in which we operate – and, importantly, in which our members operate. Not only is this good for business, it is the right thing to do. We are pleased to support our three CSR partners.

The Australian Indigenous Education Foundation The Australian Indigenous Education Foundation (AIEF) is a private sector-led, nonprofit organisation focused on empowering young Indigenous people in financial need to build a brighter future for themselves and for the nation. AIEF provides scholarships that enable Indigenous students to attend leading Australian schools and universities, as well as mentoring and career support to ensure students make a successful transition from school to further studies or employment, productive careers and fulfilling lives. www.aief.com.au

The Fred Hollows Foundation

The Hub

The Fred Hollows Foundation is a leading Australian charity inspired by the work of the late Professor Fred Hollows. Fred was an eye doctor, renowned surgeon and highlyrespected Australian dedicated to ending avoidable blindness in developing countries.

The HUB is a children's support centre which provides educational support, extra-curricular classes, family counselling, social health and wellbeing services to those who need it most without discrimination.

Our vision is a world in which no one is needlessly blind. 4 out of 5 people that are blind don’t need to be. We work in 25 countries, and have restored sight to more than 2.5 million people. The Foundation’s Hong Kong office aims to reach the increasing number of needlessly blind in the Asia region, especially in mainland China, where 20% of the world’s blind live. www.hollows.org/hk/home

Hong Kong based Australians David Boehm and Bruce Stinson decided they wanted to give something back to Hong Kong after 30+ years of working and living here and the outcome was a commitment to help the children in disadvantaged circumstances. Their belief that children are the future and key for Hong Kong to continue to be a prosperous community spurred them to form a charity to give underprivileged children the opportunity to find a better environment to develop into contributing members of the community. www.thehubhk.org