NSW government unable to find value in high-profile trade commissioner roles

The state’s global trade network attracted more than $1 billion to NSW in the past year, but the new government has been unable to quantify what impact, if any, a clutch of highly paid overseas trade commissioners had on the windfall.

Department briefings to Industry and Trade Minister Anoulack Chanthivong have failed to justify the value of the high-profile positions, galvanising Labor’s decision to retire the lucrative posts in the aftermath of last year’s damaging trade job scandal.

John Barilaro (centre) gives evidence during an inquiry last year.Credit: Kate Geraghty

The saga, which followed John Barilaro’s controversial appointment as US trade and investment commissioner, ignited a political firestorm that exposed a “jobs for the boys” appointment process and raised concerns about the perks of the roles.

In the past year, almost 3000 jobs have been created by the international trade network, which has a presence in 11 offices across the world, while almost 500 NSW businesses have been supported with exporting opportunities, directly contributing $133.9 million in export sales.

Chanthivong said attracting investment to NSW was critical in generating jobs and export opportunities, but said the former government lost sight of the network’s purpose.

“Talented staff here and offshore have helped deliver millions in new investment, but that reflects a team effort and can’t be attributed to any individuals,” he said.

Minister Anoulack Chanthivong is sworn in Governor Margaret Beazley earlier this month.Credit: Dion Georgopoulos

“Global investors are looking for safe, stable places to invest so the perceived largess and negative attention surrounding some of these appointments is actually a risk to attracting capital.”

The former government’s Global NSW strategy came under fierce scrutiny following the appointment last year of Barilaro as a $500,000-a-year trade commissioner in New York.

Barilaro secured the position despite senior public servant Jenny West having already been offered the job. That offer was rescinded before Barilaro applied, months after his resignation from politics. He has consistently rejected any suggestion of wrongdoing.

The trade appointment dominated headlines for weeks, triggering multiple reviews amid severe backlash from both sides of politics. Barilaro resigned from the role before it commenced.

Agent-General Stephen Cartwright gave evidence to the parliamentary inquiry.Credit: NSW Parliament

The same Labor-led upper house inquiry that excoriated the former deputy premier’s recruitment later turned its gaze on an equivalent position in London – the UK agent-general – which is held by former head of Business NSW Stephen Cartwright. His contract will end in April next year.

In its final report, the inquiry found recruitment for the roles lacked integrity and transparency, while ministers had an inappropriate influence over both.

NSW Premier Chris Minns vowed to axe the overseas postings if Labor won the state election.

The state currently has four trade and investment commissioners serving in posts around the world – in the UK, North Asia, South-East Asia and China. Dedicated roles for the Americas, and India and Middle East remain vacant and will not be filled. All four will see out the remainder of their contracts with the last to end in April 2025.

As the minister responsible for global trade, Chanthivong said he planned to work closely with the federal government and Austrade, as well as industry groups.

“[They] already have relationships across the globe to put NSW front and centre in the global battle for capital, and we’ll do that in ways that deliver value for money for NSW.”

The parliament last year heard NSW had spent almost $13 million on six overseas trade offices, including the New York posting to which Barilaro was initially appointed.

As UK agent-general, Cartwright is the highest-paid commissioner in the network, on a $600,000 annual package.

Last year’s parliamentary inquiry found his salary negotiations did not meet public sector expectations, while Cartwright “repeatedly and inappropriately applied pressure” to senior public servants for his own benefit.

In evidence to the inquiry, Cartwright rejected the assertion he benefitted from a “jobs for mates” process and said he secured the job though his background, experience and capability.

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