To the Prime Minister and Foreign Minister of Australia,

I read with interest Alan Dupont’s recent article (The Australian, 18 July, published on LinkedIn) about the US remaining Australia’s best strategic option and wish to expand on these observations with some thoughts on regional investment.

Bilateral trade figures alone demonstrate that China is a valuable partner deserving of respect, and your 4-day visit seems to be a fitting action for this important relationship. I am also aware of your government’s ambitions as outlined in the Invested report. And I wish to point out that the actions of your government agencies do not currently support these stated ambitions.

Within agencies, confusion reigns. While you speak of renewed trade with China, EFA refuses to support investments by Australian companies working with Chinese contractors in Timor-Leste. Austrade focuses on oil and gas – and huge effort has been put into the Greater Sunrise Agreement – but there are other sectors with great potential. The disconnect and narrow focus in communication hampers investment, particularly in areas of strategic and economic importance such as Timor-Leste and ASEAN. It also displays a politicisation of the bureaucracy, resulting in mixed messages to the business community.

I have some understanding and experience of businesses, and all I have ever seen in Timor-Leste is opportunity. Our neighbour could serve as a manufacturing hub to lower labour and production costs for Australian businesses and provide a trade corridor to the vast potential of Asia. A double-tax treaty between the countries would also help. Recognising and acting on this potential on our doorstep supports your neighbourhood-building narrative and would help Australian businesses grow. Within a matter of months, Timor-Leste will be an ASEAN member. Rest assured, other ASEAN family members will capitalise on having a new sibling, while Australia continues the rhetoric and talk.

If we are serious about growing Southeast Asian trade to A$534 billion before 2040, we must move beyond rhetoric. Small to medium enterprises are the backbone of the Australian economy. They are agile and, with the correct support, will be critical to achieving the growth you seek. Invest in oil and gas, but I urge you to invest in other Australian businesses across a variety of sectors that have an investment appetite – and which themselves see the opportunities open to them. The current reality is that regional competitors, especially China, are dominating commercial sectors while we debate principles and details.

In the current global turmoil, we see old foes forming alliances, and the trajectory of geopolitics is changing. With so many relationships up in their air, we need a long-term view – independent of the election cycle – about what we want for Australia.

Timor-Leste aspires to play a larger role in the region as an ASEAN member, opening a window of opportunity for Australia to build enduring commercial and development ties that benefit both nations. Furthermore, our relationship with China must be shaped by clear-eyed realism and guided by our own national interests. A key part of this is ensuring government agencies support their leaders’ long-term strategy.

Sakib Awan | Chair, East Timor Trading Group