Australia still open for business, but greater certainty needed – FIRB and other issues

On 16 October 2013, Treasurer Joe Hockey stated in a speech to the American Australian Association that “Australia is open for business, open for investment and is going for growth”1. Just over a month since making that bold statement, the Treasurer has created uncertainty over Australia’s foreign investment policy...



China Investing significant capital and commitments in Australia this week

Kingho, one of China’s largest private mining companies, has announced an all-cash tilt at the cash-strapped mining junior Carabella Resources, which has coal assets throughout Queensland. Though the deal is only valued at $66 million, a pittance in the world of mega-mining transactions, the Chinese suitor is expected to...



A populist FIRB regime ?

Foreign investment and the popularity test: does GrainCorp set a new precedent? At any other time, Friday’s decision by treasurer Joe Hockey to reject Archer Daniels Midland’s (ADM) A$3.4 billion takeover bid for GrainCorp might have been just another controversial foreign investment decision. Indeed, were it not for a...



Of Indonesian Live Cattle and other things

Australian trade with Indonesia: what’s really at stake? Indonesia has a population ten times as big as that of Australia, but its per capita income is only one-tenth of Australia’s, so what’s really at risk if the trade relationship between the two countries breaks down? The recent spat over...



China’s financial markets are inefficient

To me, much of the argument about whether or not markets are efficient misses the point. There are conditions, it seems, under which markets seem to do a great job of managing risk, keeping the cost of capital reasonable, and allocating capital to its most productive use, and there...



AUD5Mil Australian on line wagering and social gaming.

Having  successfully placed AUD  1Mil  in 2013 our Australian client  has re mandated BoxRED/Merkin.  Our client is an Australian company bringing an integration of new and innovative online wagering and social gaming products to the Australian market. BoxRED are to identify and facilitate the introduction of  global investors and/or strategic investors...



China keen on bilateral trade agreement

China is willing to complete a free trade agreement with Australia as soon as possible, China’s Ministry of Commerce has said at a ministry press conference this week. “Both sides have relatively large differences in investment, agriculture and services, but have been trying to find ways to move the...



Forget Australia’s mining boom; try its dining boom instead.

 The country is the world’s fourth-largest exporter of dairy products. Since Warrnambool Cheese and Butter was first approached by a bidder in September it has attracted two other suitors. WCB’s shares have doubled, and trading activity has risen 15-fold. The group now trades on 60 times trailing earnings, making it the...



U.S. Exports Surge as China Supports Agricultural Prices

As Chinese officials expanded support for agriculture, they began to rely on raising price supports to maintain net returns to farmers. China became the largest market for U.S. agricultural exports as its rising prices eroded the relative competitiveness of Chinese commodities. Chinese officials have signaled intentions to keep increasing...



“Chinese Farmers should participate equally and enjoy the fruits of modernisation,”

“Farmers should participate equally and enjoy the fruits of modernisation,”  communiqué from the third plenum of the 18th Central Committee That was all the Chinese Government has to say about the most important challenge facing the economy. John Clemmow at Barclays Research states that he for one is  not...



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