20 October 2008

Opening statement by the Minister for Trade, Ms Ewa Björling, at the Swedish Trade Business Seminar in Luanda, on 20 October 2008.

Dear representatives of the Government of Angola,
Ladies and gentlemen,

As the Swedish minister of Trade I am very happy to be here in Angola and to be able to take part in this important seminar.

Our two countries enjoy a very close relationship dating back to Angola’s struggle for independence. During many years Sweden was by far the largest bilateral donor to Angola, which led to the development of a close political relationship.

Today, the situation has evolved. Angola has gone through a fast and most impressive economic development in recent years. Therefore, our relation now focuses on strengthening our bilateral commercial bonds rather than being based on traditional aid programmes.

The focus of my trip to southern Africa is corporate social responsibility, CSR. For Sweden, the promotion of CSR is an important link between two cornerstones of Swedish policy: a free trade policy and a foreign and development policy that strongly emphasize the importance of human rights and a sustainable global development. CSR is about establishing a level of responsibility in business as defined in the principles of the UN Global Compact and the OECD Guidelines for Multinational Enterprises.

I believe we can all agree that it is not possible to give a speech about CSR  without mentioning the HIV and AIDS pandemic. This global challenge that is one of the most urgent threats to mankind. Such a challenge that require our strong focus, and that require action, joint action, now.

For me, as a Swedish Cabinet Minister,  and to the entire Swedish Cabinet, it is absolutely clear that the fight against HIV and AIDS must stay high on the political agenda, both in the north, and in the most affected countries. And this is of course most relevant in this part of the world, in Sub-Saharan Africa. Therefore, HIV and AIDS must continue to be a top priority in our dialogue and in our cooperation, and we should all strive to do more, and better. At the global arena leaders have taken on this responsibility through the adoption of the Universal Access to prevention, treatment and care program.

But this is not a struggle that can be fought only by politicians. Or even by doctors. All actors are needed in the fight. Serious threats and challenges must be handled with serious cooperation between different actors of society. The role of the private sector in this struggle is key.

HIV and AIDS is about long term commitments and sustainable financing. And it is about leadership. Politicians and other leaders in society need to take full responsibility to alleviate human suffering, increase respect for human rights, improve the efficiency of preventive work and increase access to care and treatment. Leaders in the private sector can play a crucial role in all this. In supporting their own employees and  their families, but also in taking part in regional and global events where HIV and AIDS is high on the agenda. HIV and AIDS must be part of daily life; in schools, at the workplace and at faith based organization meetings. The role of civil society is essential, the active and meaningful participation by people living with HIV and AIDS is key.  I hope that all countries in the world, recognize the strength in such a joint collaboration.

Ladies and Gentlemen,

Trade with the wider world has built, and continues to build Sweden’s prosperity. Sweden’s development, from poverty to a welfare state, is the history of free trade. I am saying this, as we have had to recognise that we are part of a global community, competing on a worldwide arena. You’ll find that Swedish companies, like Swedtel, Ericsson and ABB, just to mention a few, illustrate this belief of ours. These are companies of a global mind but with their roots in the Swedish tradition of doing business.

Trade is best conducted in a system of common rules. With common rules we get predictability, and with predictability decreased risks. This opens for stable financial institutions and foreign direct investments. This is why trade agreements are so important. On the global scale, it is important to conclude the WTO negotiations.

We know that most countries have the most extensive trade with their neighbours. Thus regional trade agreements are important tools for promoting international trade.

Many African countries need to build capacity in order to develop production and trade. This means efforts in a broad range of areas from infrastructure over innovation and entrepreneurship to understanding of specific regulations and control. The European Union has committed itself to support the ACP countries with Aid for Trade to an amount reaching at least 1 bn €. Sweden increases it’s contribution to Aid for Trade by 30 % this year. The Swedish Development Agency (Sida) and the Swedish National Board of Trade have been instructed to co-operate on how to expand their efforts on Aid for Trade.

Sweden gives high priority to provide technical assistance in the areas of trade regulations such as trade facilitation and enhanced capacity to meet requirements on Sanitary and Phytosanitary standards and Technical Barriers to Trade. This in done in several ways. Sweden supports ARSO, the Pan-African standardization organization, in their work to strengthen standards in Africa. Sweden is also a major contributor to the ITC (International Trade Centre) that supports African companies to refine their products and services to meet the demands on export markets. Sida organises international courses on standardisation while the National Board of Trade gives hands-on support through a specific mentorship program in the field.

Sweden has a strong dedication to the United Nations Millennium Development Goals. In order to achieve these goals the Economic Partnership Agreements (EPA) between the EU and the ACP countries can be, and should be, an important instrument.

By opening up markets for your neighbours, and European partners, African countries can improve the capacity to benefit from the world market. The aim behind the EPA:s is to build a fundament on which competitiveness can be strengthened and trade can be increased.

Increasing trade is a major growth engine for African economies as well. There is much to indicate that Africa’s share will continue to grow. We, of course, hope that the current economic and financial crisis soon will be over and not hamper these positive signs too much.
Just to give you a few figures, from 2006 to 2007 the Swedish export to Africa increased by 23 %, but the import to Sweden increased even more, by 35 %. This is a strong signal that Africa has a lot to offer. In line of this Sweden has recently confirmed a new action plan for trade promotion in Africa. This is a true action plan. It starts on the first page with prioritized activities and discusses various tools that can be used to promote trade between Sweden and Africa.

I know that there can be no trade without an infrastructure, and energy is one part of that. You can take Sweden one hundred years ago as an example. The rationale for the fast expansion of hydroelectric power in the north of Sweden was the mining of Iron ore in Kiruna and the need to transport the ore to the ports of Sweden and Norway. The overlap of natural resources, development of infrastructure and access to energy lies at the very foundation of the Swedish economy and welfare.

Furthermore, communication is one of the supporting pillars of society. For a sparsely developed country like Sweden, the development of a well-functioning telephone network has been crucial and one of the important factors contributing to Sweden’s prosperity. And I would think that Angola is facing similar challenges in connecting places and people.

It is my conviction that we will see an increase in trade and commercial co-operation between our two countries. I firmly believe that an exchange of experiences and know-how is to the mutual benefit for both of our countries!

Tank you!