Euroasia: Language, Culture and Travel

Every teenager should have the chance to learn Mandarin due to the growing importance of China in world events, according to the UK government. One in seven secondary schools, which teach pupils aged 11-16, currently offer Mandarin and Schools Secretary Ed Balls said he wanted to extend this through language partnerships between schools.

From the BBC website this week:

All secondary school pupils in England should have the chance to learn a less familiar language such as Mandarin, says Children’s Secretary Ed Balls.

Mandarin has become increasingly popular in schools – with one in seven now teaching the subject.

Making it more widely available is an “aspiration” rather than a pledge – and could mean schools and colleges sharing specialist language teaching staff.

Mr Balls highlighted the economic importance of learning languages.

As well as Mandarin, he pointed to the growing importance of Portuguese for trading with Brazil, Spanish in Argentina and Bahasa Indonesia in Indonesia.

Emerging economies

“A growing number of schools are now teaching Mandarin and in the coming years I think we will see this subject sitting alongside French, Spanish and German as one of the most popular languages for young people to learn,” said Mr Balls.

“In this new decade our ties with emerging economies like China will become even more important and it’s vital that young people are equipped with the skills which they need, and British businesses need too, in order to succeed in a rapidly-changing world,” he said.

So what is the New Zealand government’s stance?

Earlier this month, I had the privelege of attending the annual APEC Advisory Business Council (ABAC) dinner hosted by the NZ International Business Forum, where the PM briefs members of the business community on what happened at APEC. This year, there’s lots to say about the economy and the PM has just arrived back from the East Asia Summit, Malaysia-NZ FTA, CHOGM, and about to go to Copenhagen.

Ken with PM John Key

The PM talked about 3 key issues:

1) Global interconnectedness. Synchronised recession is illustrative of this. Deep recessions will become more common as economies become more interdependent.

2) Global imbalances.  PM cited a savings imbalance, with the West being funded by the East. He thinks the yuan will have to appreciate (given his background as Head of FX for Merrill Lynch, I was thinking whether to start hoarding some yuan) . The major issue is US consumers won’t spend. The Americans are looking for 20m jobs (7m unemployed plus 13m coming into workforce).

3) Climate change. Unless the big boys (US, China etc) are involved, we can’t change things. It is more of a problem than people think, and will hit faster and with more severity.As the bulk of energy (70%) in NZ already come from renewable sources, and 50% of emissions is from agriculture, addressing this will be a big challenge.

The Q&A was pretty fascinating. One guy asked a serious question “If we want to catch Australia why not just merge with them?” The PM’s response: I just got back from CHOGM where Australian PM Kevin Rudd asked me the same question. My response was I’m too busy running New Zealand to run Australia as well. This guy can be very funny.  I do think John Key is more in touch with the masses than Helen Clark; and has a way with both CEOs  as well as joe public. Perhaps this explains his 80% favourability rating throughout a very difficult year.

Signing of Malaysia NZ FTA; (L-R) Tim Groser, John Key, Najib, Mustapa

Monday 26 October 2009 was a historic day for Malaysia – New Zealand relations. 10 years of trade negotiations culminated in the official signing of the Malaysia New Zealand Free Trade Agreement. A group of 45 businesspeople from New Zealand, coupled with another 15 or so New Zealanders residing in Malaysia accompanied Prime Minister John Key to Malaysia for this historic event. I had the privelege of joining the NZ delegation to Kuala Lumpur. The irony is I am Malaysian and KL is my hometown, and it felt a little weird being on the other side. Nevertheless it was an amazing experience being part of this momentous occasion.

Free Trade Agreements are highly beneficial for New Zealand. Relatively speaking, New Zealand is already a very free country, with few tariffs and trade barriers, making it very easy for foreign businesses to do business in NZ. However, the same is not true for most other nations.

Pg 2 of The Star on Malaysia NZ FTA

Many countries impose significant tariffs on imported goods, and have convoluted non-tariff barriers designed to protect domestic industries from foreign competition.  This is why it is easy for NZ to sign up to a free trade agreement because these agreements most definitely result in net gains for NZ businesses. The real difficulty is in convincing foreign nations to give up long standing tariffs.  The Kiwi trade negotiators have very few bargaining chips to play with, a key reason why I have a lot of respect for these guys.

This is why I’m unhappy with the negative people who complain that FTAs are useless and are merely tools for select few businesses to make more money. The reality for exporters is that because of this FTA, tariffs for kiwifruit exports to Malaysia will go from 15% to 0%. Fonterra will see liquid milk quotas increasing significantly to 2.1m litres p.a., and a reduction of the  20% inquota tariff for liquid milk to 0%. Considering Fonterra’s market share in Malaysia for the adult milk category is 77% and 80% in prenatal dairy products, this is a huge win.

PM's motorcade with police outriders, view from coach I was in

Education institutions can secure 70% shareholding (up from 49% currently) in Malaysian-domiciled joint ventures by 2015.  Fran O’Sullivan (who was in Malaysia with the trade delegation) discusses benefits for NZ education providers in her 28 October editorial “Malaysia the key to unlock other doors“.

Ultimately, the Malaysia NZ FTA is all about enhancing already strong and long enduring ties between the two nations. As politics and economics are so intertwined, the partnership of two nations via the FTA symbolises the mutual commitment of both parties.

As I have never been on a New Zealand trade delegation signing an FTA, this trip was a real eye-opener for me. NZTE and MFAT did a great job putting the programme together. We certainly enjoyed the ride in the PM’s motorcade. The 60-strong trade delegation were put in two coaches, behind the PM’s car and security detail (probably half the cars carried security personnel).  I sat behind the bus driver and could see the speedo hitting the top speed of 120 kmh, the driver struggling to keep up .

invite from Malaysian Prime Minister

Knowing KL traffic, it’s amazing to see the motorways cleared, with the entourage going from KL to Shah Alam in record time. They even sent an ambulance along to accompany the motorcade. My guess is this is because they don’t want any delay in despatching medical assistance should anything happen to visiting heads of state. We managed to visit the new Datacom office in Bandar Utama and the new Fonterra yoghurt factory in Shah Alam, had lunch and got back to KL Hilton within 4 or 5 hours. Under normal traffic conditions,  driving time alone would already take that long. The other bonus for me personally is to have received a dinner invitation from the Malaysian Prime Minister (extended to all visiting New Zealand delegates).  Had I stayed on in Malaysia and not moved to NZ, I don’t know when I would receive a dinner invite from the Malaysian PM’s office.  The other interesting irony is that I received a New Zealand Prime Ministerial invite before the Malaysian one (18 months ago, to celebrate the signing of the China NZ FTA).

NZ trade delegation to Malaysia, with members of Malaysia NZ Business Council

Malaysia and New Zealand have strong historic links dating back to the 1940s with New Zealand soldiers helping Malaya fight the communists, and students from Malaysia arriving in New Zealand in the 1950s and 60s under the Colombo Plan.

Several New Zealand Army officers served in Malaya while on secondment with British units from 1949. New Zealand became more directly involved in the Malayan Emergency operations in 1955, following its decision to contribute forces to the British Commonwealth Far East Strategic Reserve.  In total, 1300 New Zealanders served as part of a Commonwealth force including army, air force and navy.

The Colombo Plan was a plan for Cooperative Economic Development of South and South East Asia and was conceived at a meeting of Commonwealth Foreign Ministers held in Colombo, Ceylon (now Sri Lanka) in January 1950. All aid was given on a bi-lateral basis and the negotiations were conducted between the donor and the receiving government. No conditions or strings were attached to any aid provided and there was no expectation of a return by the donor country.

Petronas Twin Towers

More than 300,000 recipients benefited from this scholarship during the period 1951-1989. Scholars were trained in Australia, Canada, Japan, New Zealand and United Kingdom.  Many New Zealand graduates are now in senior and influential positions within the government and private sectors in Malaysia.

During the KL trip, I took  two of the New Zealand delegates to the Petronas Twin Towers. On the way there, we stopped at the mosque behind KLCC as they were fascinated with the architecture. It was almost midnight, and we bumped into 3 security guards at the mosque. They were very friendly and asked me in Bahasa (Malay language) where the guests are from. I said New Zealand. They immediately smiled and were very friendly, even asking if we wanted to take photos inside the mosque.  They knew the All Blacks (it would be difficult to find one Malaysian who doesn’t recognise this most famous of Kiwi brands), and one of them mentioned Jonah Lomu. My Kiwi friends were most impressed with the Malaysians they have met, and were very keen to explore what can be done in Malaysia. This is why I am optimistic that Malaysia New Zealand relations will go from strength to strength.

This will be short as I am blogging from my iphone. PM John Key will be signing the FTA with the Malaysian PM tonight. Approximately 60 businesspeople are accompanying John Key on this trip. It has been a full on day, from the embargoed briefing this morning to visits of the Fonterra plant in Shah Alam and Datacom office in Banda Utama. We are now back at KL Hilton for a briefing before the reception and official signing ceremony later tonight. Just sneaking in a few linea while the PwC guy is speaking. The Kiwis enjoyed being in the official motorcade. More on that later.

[Update 3/11/09: Full report on the signing of the Malaysia NZ FTA]

It’s always good to see Kiwi businesses doing well. Which is why it’s really cool to have the CEO of a fledgling Wellington-based firm, Ponoko, appear on the cover of Inc Magazine.

I read Inc Magazine regularly, and it’s certainly widely read and respected publication. Probably this one article would do more to boost their image and valuation than all their marketing efforts over the past year combined.

I know at least one Ponoko investor who’s happy.

Ponoko is in the business of letting ordinary folk access a laser cutter via the internet and make whatever you want. Ponoko is so radical it’s difficult to imagine what they do. At first I thought they were in the business of selling laser cutters. But no, they actually sell you the process of making whatever you want (choose from their extensive list on the Ponoko website). After some playing around on their website, you have your own product and they will then have the parts cut up and shipped to you. You can then assemble this at home. Basically, it’s customise-to-suit IKEA if you want to have something that you can’t buy in shops.

This story illustrates what possibilities lie ahead.

Ponoko has also become a destination for undiscovered designers and inventors who use it to make and market their stuff. There is, for instance, the Bloom Lamp, which was created by a Los Angeles designer named Igor Knezevic and which you can buy for $160 on Ponoko. It’s a bedside lamp that resembles a delicate flower and is made out of 18 precisely cut pieces of plywood encircling a light bulb. Like something you might pick up at a big-box store, the lamp comes in a flat box and must be snapped together by the buyer.

But unlike a store-bought lamp, this one costs Knezevic’s start-up design company, Alienology, exactly nothing until someone pays for it. The lamps are stocked digitally and manufactured on demand. Ponoko cuts the parts and ships them to Knezevic; he inspects them, drops some instructions and a light fixture into the box, and ships the box to the customer. “Right now I’m making a couple hundred dollars here, a couple hundred there,” he says. “But five years from now, people will still be paying a couple hundred bucks, and I won’t have to do anything. That’s revolutionary.”

So if you’re keen to make your own line of necklaces, table-lamps or whatever, give Ponoko a try.

If they have their way, it would mean a radical shift in current supply chains. In the words of CEO David ten Have: “We’re trying to take Made in China and smear it across the globe…We’re designing a factory for the 21st century.”

Check out the Inc Magazine- Ponoko article. Well done guys. This will surely inspire many local businesses to keep going for it.

Anyone keen to work in Shanghai next year at the World Expo? NZTE are looking for people at the moment.  These are PAID positions, NOT internships. Key things to note:  You have to speak Mandarin AND English well. Also have to have valid NZ work visa, permanent residency or citizenship. I just received this email so just thought we should share this opportunity with everyone. Those of you who did not heed our advice to learn Mandarin can still do so… we have a few spots available for tomorrow’s intake or the 10-week Mandarin course starting 12 October. This is  a brilliant opportunity and would suit those thinking of an unconventional OE. Spending 6 months in Shanghai during the World Expo would not just be great for your CV, but will also be a good business networking opportunity. Who knows? Maybe you’ll meet a big shot who ends up offering you an expat package plus all the travel perks. That would be nice…

The World Expo to be held in Shanghai, China in 2010 will be the biggest in world history. During the six months the expo will be open – 1 May to 31 October 2010 – it is expected to draw 70 million visitors.

New Zealand Trade and Enterprise is now seeking a number of individuals who are enthusiastic about representing NZ on the world stage.  Positions available include;

Attendants (24 positions available)
The Attendants will be representing New Zealand with credit by making visitors feel welcome, and enhancing their experience through friendly and helpful interaction with them.

Receptionists (2 positions)
Based in the VIP entry to the pavilion, the Receptionist will be our first point of contact for guests and visitors and assist them around the pavilion as required.

Operations Manager
The Operations Manager will be responsible for managing the teams of attendants, and will co-ordinate the delivery of operational and technical support as required in order to maintain high standards of ‘host performance’ in the pavilion.

Relationships Manager
Part of the management team, the Relationships Manager will be responsible for the organisation of official visits including Ministerial and key sponsors to the pavilion.

If you are keen to be part of this landmark event, have a degree of fluency in both Mandarin and English and are available from April to October 2010 then please visit the NZTE Recruitment website for further information and to apply.

For information about New Zealand’s participation at the expo, please visit http://shanghaiexpo2010.nzte.govt.nz

Please note all applicants must have the right to work in New Zealand.

Applications close Monday, 12 October 2009 and must be submitted through the NZTE Careers Centre.  Late applications will not be accepted.

The huge uproar over a Tongan man found barbecuing his pet dog is a demonstration of cultural insensitivity bordering on ignorance and hyprocrisy.  Paea Taufa was found roasting the pitbull terrier-cross in an umu at his Mangere home. “If we eat heaps of… pig you get a (sore) stomach. But when we eat … dog, it doesn’t matter how much you eat, nothing is wrong with the tummy,” Taufa told Sunday News. Major dailies reported this, and today CNN carried the story, citing “the case infuriated and repulsed many New Zealanders.”

The Tongan guy had decided to cook the dog because it was too skinny and had become unmanageable. He rendered the dog unconscious with a blow to the head before slitting its throat. Under the Animal Welfare Act it is legal to kill a dog in New Zealand if the animal is slaughtered swiftly and painlessly.

The SPCA is very upset with Taufa, with the CEO saying “Even though the law says you can humanely kill an animal, you should not be treating any animal like this.” Many people are now calling for a law change, led by the SPCA, petitioning for the eating of dog meat to be banned. Various editorials swiftly condemned the practice of eating dog meat. The Tongan guy was demonised and probably traumatised, and he has since told media that he wouldn’t bbq another dog.

I am opposed to any attempt to ban the eating of dog meat and backyard dog barbecues.

New Zealanders love their meat and is only behind Demark globally (and ahead of the Americans) in terms of per capita consumption, 3.5 times the world average. The average Kiwi eats over 90 kg of meat per year, 65% red meat vs 35% white meat.

What is the difference between sheep and dogs? Some argue that dogs are pets. But some sheep are pets too. So are some chickens. Why ban the consumption of one type of meat but not another?

It is more inhumane for most of the pigs in New Zealand to be locked up in cages for all their lives and then slaughtered for their meat, than for Mr Taufa to kill a free-range dog swiftly. Why did people not revolt against pig farmers, especially after Mike King’s expose on TVNZ’s Sunday?  When told that the cost of pork in supermarkets will rise significantly if farmers moved to free-range farming, people stopped complaining.

Some argue that cattle and sheep are raised specifically for their meat, and dogs are not.  By that token would the protesters be placated if enterprising individuals started dog farms in New Zealand? We export tonnes of horse meat offshore. This means we are killing farm horses in huge numbers. Would horse-killers be regarded as barbaric too?

The argument that we cannot kill dogs for food because they are cute/friendly/small/intelligent doesn’t wash. We don’t see our vegetarian friends getting all judgemental when we meat-eaters confess our love for meat (as long as it’s not from an endangered species). Why can’t meat-eaters afford the same courtesy to dog-eaters? No one is asking you to join them.

SPCA CEO says: “The slaughtering, roasting and eating of a dog or other companion animal is simply abhorrent to our culture as New Zealanders”.  Dogs were eaten in New Zealand long before the Europeans arrived. Taufa himself is probably a NZ citizen. The SPCA is venturing into dangerous territory by becoming an arbitrator of what is culturally right or wrong.

The main thing that the Society for the Prevention of Cruelty to Animals should be worried about is exactly that, prevention of animal cruelty. As long as animals are slaughtered in a humane manner, then what people eat should be left up to them.

The law doesn’t need to be changed. It’s the hypocritical mindset of protesters coming from the second biggest meat-eating country in the world that does.

I asked my friend Verpal Singh to pen a few thoughts on what he thinks are the latent resources in New Zealand. My views on the economic and social benefits of cultural diversity is well-known as I regularly talk about harnessing New Zealand’s cultural diversity.  As such, it is good that Verpal can add some of his thoughts here:

1. Cultural diversity is not unique to New Zealand as the whole world is becoming culturally diverse and those countries which are resisting this movement are gradually acquiring an image of being out-of-sync. Sure this diversity should be harnessed to benefit NZ. However, when other diverse societies also seek to use their diversity for their own benefit, we reach a situation where NZ is competing with others for a piece of the diversity cake.

2. As I did during the World Cafe discussion, I would list the following three aspects of NZ as our latent resource:
a) As members of the developed world, we are the insiders. However, due to our geographical location, smaller population and relatively small-sized economy, we are also the outsiders. This puts us in a unique position of an outsider while being on the inside. We, thus, provide an outsider’s perpsective to problems facing the developed world, while experiencing these same problems first-hand. The tradition of providing leadership to the world, set by people like Sir Ernest in Physics and Sir Ed in pushing the limits of human endurance is being eminently followed by New Zealanders like Dr John Hood (Vice Chancellor of Oxford University), Chris Liddell (CFO, Microsoft) and Helen Clark (head of UNDP) amongst many many others, and bears testimony to the fact that New Zealanders’ unique perspective is being appreciated by the world. The only possible equivalent in these aspects (that I could find) is Iceland.

b) The ease of contact between the rulers and the ruled in the New Zealand system of governance. This empowers the people and provides them the opportunity to show their leadership in areas that they hold dear, whether it is environment protection, opposition to Nuclear arms, or a more equal world.

c) A long history of technological innovation — which is the most important part of Ray Avery’s work. Combined with a) and b), an innovative idea has greater potential to be turned into a great enterprise in New Zealand than even in USA (where the power enjoyed by established commercial entities to influence government decision-making in their favour seems to have killed off Americans’ innovative streak — their car industry being a prime example of this).