Existing rapport key to success in Japan

By Yoke Har Lee

Even in its darkest economic moments, Japan presents New Zealand significant exporting opportunities.

New Zealand's next ambassador to Japan, Philip Gibson, is mindful of the need to capture new opportunities presented as Japan turns the economic corner.

"The assessment now is Japan's downturn has bottomed. The challenge will be to find new areas of cooperation that will attract the imagination and attention of the decision-makers in Japan," Mr Gibson said.

He sees his task as building upon the mature relationship already existing between the two countries and strengthening the framework for businesspeople in the two countries.

Japan is New Zealand's second largest trading partner, after Australia. Annual exports to Japan are valued at some $3 billion with food and beverage and primary products accounting for more than 50 per cent of exports.

Mr Gibson said: "Even a Japan in recession was a market which held extraordinary significance for New Zealand. The challenge is to make sure we are in a position to take full advantage of that when Japan recovers."

On a wider sphere, Japan's political influence had yet to take place, due to historical reasons, he said.

"Japan's political influence has yet to commensurate with its economic might. From New Zealand's position, it would be interesting to see if Japan becomes more proactive [in the political arena]."

Another key issue in the near future was China's emergence in North Asia and the implications for Japan and the wider region, including New Zealand, he added.

If there was one important lesson for New Zealand from the Asian crisis, it would be Asia's widespread influence on the economic fortunes of New Zealand.

"All the debate about whether we are part of Asia is a red herring, really. The fact is their [Asia's] influence on us is enormous. The crisis brought that home."

That New Zealand stuck with its Asian trading partners throughout the crisis would stand us in good stead now that Asia was in recovery, he said.

Mr Gibson has been Asia 2000 Foundation's chief executive since 1996. Over the years, he has built the foundation into a major voice in New Zealand for issues related to the Asian economy, among others.

He said New Zealand's private sector held a vast reservoir of Asian expertise which he had drawn on during his term at the foundation.

He had also been lucky in that the private sector had been generous in supporting the foundation's projects.

"For me, getting private sector involvement was important. The private sector is result-oriented and decision-oriented."

After a somewhat shaky start, Asia 2000, which is part-government-funded, was now in a sound financial position. "But you can never take anything for granted."

He had worked on leveraging the private sector's support, Mr Gibson said. "One of the things I have said in the past is the key to heading an organisation like Asia 2000 is to inspire other people to come in behind us - that is easily said, but not so easy to do. If you can't capture people's imagination, you won't be getting anywhere. If people had perceived Asia 2000 as just a funding-based organisation, it would have been a limited organisation," he said.

"The trick or challenge as it was, was to assume the leadership to make things happen through other people. I think we have been pretty successful at that."

Mr Gibson leaves for Japan next month with his wife and two young children. A career diplomat, Mr Gibson has served in key positions in South-east Asia, the Middle East, the United States and Rome.