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Ministerial Visit to China: June 2011

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STATES OF JERSEY

MINISTERIAL VISIT TO CHINA:

JUNE 2011

Presented to the States on 29th July 2011 by the Chief Minister

STATES GREFFE

2011   Price code: A  R.100

2 REPORT

Background

I led a delegation visit to China from 10thto 16th June 2011, accompanied by Senator F.E. Cohen. Whilst in China, the delegation met with senior officials from the Chinese Government to promote the Island and develop opportunities in agriculture, tourism, education, culture and financial services.

Before  departing  for  China,  Senator  Cohen  and  I  met  with  His  Excellency  Liu Xiaoming, the Chinese Ambassador to the Court of St. James, on 8th June at the Chinese  Embassy  in  London.  His  Excellency  provided  helpful  advice  on  the forthcoming visit and we also discussed the historic ties that exist between Jersey and China.

Beijing 10th – 14th June 2011

In Beijing on 10th June, I met with the British Ambassador to China, His Excellency Sebastian Wood, to discuss the current state of British relations with China. The protection and promotion of human rights is a priority, and there continues to be British encouragement for China to ratify the International Covenant on Civil and Political Rights and to protect the universal human rights of all its citizens. Jersey is aligned with the UK, USA and other countries in believing that progress is best pursued through a process of constructive engagement both at political and business levels.

On 10th June I met with the Chinese People's Association for Friendship with Foreign Countries (CPAFFC). As a result of the goodwill created with the CPAFFC, Jersey secured an invitation to the 3rd Sino-European Agricultural Seminar and Agricultural Projects  Matchmaking  Conference  to  deliver  a  presentation  to  government representatives and assembled businesses on our agricultural techniques. This will be held between 9th and 16th August in Changchun City and is a good opportunity for Jersey to further develop its ties with China and open up economic opportunities for the Island's agricultural industry.

I was pleased to meet with members of the Chinese Ministry of Commerce in Beijing on 13th June, accompanied by Jersey Finance, to ensure that Jersey's role as a world- leading, well regulated, transparent and co-operative international finance centre was well  understood.  Senator  Cohen  met  with  leading  representatives  of  the  Chinese Ministry of Education on 13th June, securing a formal twinning of Hautlieu School with  a  Chinese  secondary  school,  and  held  discussions  over  the  possible  further development of Mandarin language training in Jersey. Senator Cohen and I also met with the China National Tourism Administration, where we had the opportunity to promote Jersey as an ideal future tourism destination for Chinese holidaymakers.

In Beijing on 13th June a Memorandum of Understanding was signed between Jersey Telecoms and UTstarcom, raising the profile of Jersey as being a well regulated base for  foreign  business  and  illustrating  the  significant  scope  for  Jersey  to  make substantial deals with the world's top economies. We also met with the Chinese Ministry of Foreign Affairs to deepen the links that exist between Jersey and China. This related to the meeting with His Excellency Liu Xiaoming and the visit to Jersey

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made in 2009 by Madam Fu Ying, the former Chinese Ambassador to the Court of St. James, and served to further strengthen relations with this key Ministry.

Senator Cohen and I remained in Beijing on 14th June to meet with the Chinese Academy of Agricultural Sciences to discuss the possibility of working together in the future and sharing our agricultural expertise. Similarly, we met with the Ministry of Culture  to  explore  bi-lateral  cultural  exchange  to  broaden  the  Jersey-China relationship. We also met with the State Administration of Taxation; the Chinese Government  agency  responsible  for  negotiating  the  Tax  Information  Exchange Agreement signed between Jersey and China in October 2010. It was acknowledged that Jersey is a world-leading, well regulated, finance centre, and it was confirmed that the  TIEA  Jersey  signed  with  China  has  been  internally  ratified  by  the  People's Republic of China.

Shanghai 15th – 16th June 2011

On 15th June I attended meetings in Shanghai, where the delegation met with the District Head of Pudong. Pudong is a world-leading finance centre located within Shanghai and it is important that the Island develops relations with this key financial hub.  Whilst  in  Shanghai,  the  delegation  also  met  with  the  Director  General  of Shanghai's Financial Services Office, the architect of Shanghai's financial services industry. This was an important meeting where we discussed how Jersey may look to develop  its  financial  services  business  in  China  and  how  the  Island  may  secure business with Shanghai.

Media engagement

As  well  as  these  meetings  with  Chinese  officials,  we  also  took  part  in  media engagement with significant Chinese publications in Beijing on Monday 13th June and Shanghai on Thursday 16th June to further promote the Island.

International engagement

I  hope  that  the  success  achieved  from  the  visit  will  generate  future  business opportunities in agriculture, tourism, education, culture and financial services. Jersey has signed a Tax Information Exchange Agreement with China, and China is also a member of the Financial Action Task Force (FATF), thus ensuring that there is a solid foundation of compliance with relevant international standards on which to base a future commercial relationship.

There is an ongoing need for Ministers to support the development of new business in China and Hong Kong and to help ensure that the Island can continue to succeed in this increasingly important market. Developing relations with China is an important investment for the future.

Cost

In line with usual practice, all Ministerial expenses will be published at the end of the year, but in order to increase transparency I can confirm that the cost of the mission to China was approximately £22,000. This covered the cost of travel and accommodation for  Senator  Cohen  and  myself,  visas,  transportation,  incidental  expenses,  and interpreters' fees.

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