Tasmania’s peak farming body says the slowing down of economic growth in China will have little effect on the state’s agricultural exports.
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The latest national Business Outlook from Deloitte, released on Monday, found that China, one of Tasmania’s major export markets, would see its growth slowing during 2018, with the effects to be felt across the globe.
But Tasmanian Farmers and Graziers Association chief executive Peter Skillern said a slowing of the Chinese economy had to be put into perspective.
“In terms of the flow-on effect to the agriculture sector in Tasmania, we’re not likely to see a significant change,” Mr Skillern said.
“It’s all relative and the slow down from a Chinese preservative may be a slow down, but from the rest of the world’s perspective, it’s not at all.
“Wherever you look there are increasing relationships with China.”
In terms of the flow-on effect to the agriculture sector in Tasmania, we’re not likely to see a significant change.
- TFGA chief executive Peter Skillern
The report went on to find Tasmania’s tourism sector was benefiting from a lower Australian dollar and that jobs growth had increased.
But it also found population growth was not a strength of the state, that housing prices were increasing, and that “retail turnover has been consistently on a slowing trend for much of the past year”.
Tasmanian Small Business Council executive officer Robert Mallett said traditional business was changing as spending altered, but overall, things were looking up.
“It’s an odd situation – confidence is high but, in fact, profitability is not great across the board,” he said.
“There are some things we’re tending to be making do with for longer and we’re spending our money on different things.”
Treasurer Peter Gutwein said that in terms of exports, China was important, but so were other parts of the world.
“We’ve seen tremendous export growth increases to the United States and to parts of Europe as well,” he said.
“Our single largest export market will always be mainland Australia and we’re still seeing strong growth across mainland states.
“The world likes what we have to offer – what we need to ensure is that we keep our doors open to possibilities.”