Thursday, 06/12/2008 Print Version |

Governor Establishes New Partnership on Trade, Environment and Agriculture with Republic of Chile

CHANCELLOR VANDERHOEF: I'm pleased to thank Governor Schwarzenegger for that leadership and the passion that he brings to every initiative that he advances on behalf of California. I think perhaps more than his predecessors, Governor Schwarzenegger understands the importance, the extreme importance of relationships with other countries. It's my honor to introduce to you now, Governor Arnold Schwarzenegger. (Applause)

GOVERNOR SCHWARZENEGGER: Well, thank you very much, Chancellor Vanderhoef for the wonderful introduction. And I also want to say thank you very much to President Bachelet for being here today and visiting California. And thank you, Secretary George Schultz and Charlotte Schultz, thank you very much for being such a great Chief of Protocol and helping us organize all of this. And then I want to thank also Ambassador Fernández and Ambassador Simons for being here today with us. And there are also my secretaries, Secretary A.G. Kawamura and Secretary Chrisman and Secretary Linda Adams. Please, if you would get up, all three of you? I want to thank you also. Give them a big hand for being here today. (Applause)

And I also want to thank -- where is Speaker Núñez -- or ex-Speaker Núñez? Is he here? Because I just saw him outside somewhere. Where? He's on the phone? OK. Well, tell him I'm not here. (Laughter) But anyway, I just wanted to point him out because I think we have talked at great length, President Bachelet and myself, about the environment. And, of course, he has been one of the very important people that got AB 32 done, where the Democrats and Republicans worked together and where we made a commitment to roll back our greenhouse gas emissions and so on. So I wanted to point him out but I guess he's busy on the phone doing something.

But anyway, so I want to say thank you again, Chancellor Vanderhoef, for organizing all of this here today and for your nice introduction. And I also want to thank you for the great job that you have been doing here. We are very, very proud of your leadership, I just want you to know. Let's give him a big hand again for the great work that he is doing. (Applause)

And, of course, it's always a great pleasure to come out here to UC Davis and to see some of the action that you create out here. And yes, we have done many events here in the past, especially like the big event we did here when we christened, kind of, the hydrogen fueling station out here, which was really great, which is part of our Hydrogen Highway that we are building up and down the state of California.

And of course today it's a special honor for us to host President Bachelet for her first visit to California since her historic election in 2006 as Chile's first woman president. And, may I remind you, that she is a member of a very small club, of a very exclusive club, because there are only a very few women leaders anywhere in the world even though we have 192 countries, so I think that makes her special.

But I was reading the other day her biography and I tell you something, it was mind blowing, it was absolutely extraordinary. It reads like a script to a Hollywood blockbuster, that's what it does. (Laughter) Except the people might not believe it is all true, but the fact is it is all true. She is a doctor, she is a surgeon, she is a pediatrician and the first female defense minister and the first female president. All of this is true. And she is obviously brilliant, because she speaks also five languages. Now, this is three more than I speak -- if you give me credit for my English, that is, okay? (Laughter)

She has a lifetime of commitment to public service and the people of Chile, often against great odds and oppression, including jail and torture under a corrupt and old regime. She has already distinguished herself since assuming the presidency for her strong record on the economy, on the environment, on health care and issues of equality and much, much more. The president is a much-loved leader and an inspiration to women and men all over the world.

I'm especially happy to welcome her to California because her visit and the four MOUs that we're going to sign after our speeches, right over here, will solidify the already strong relationship that exists between California and Chile. The university exchange program between our two places is a good example; it goes way back to President Kennedy in 1963.

And these new agreements will strengthen our cooperative ties in education, in environmental protection, energy efficiency, wine production, agriculture and the list goes on and on. We had a great meeting just earlier in my office where we talked about all kinds of very important issues and how we can even improve on our relationship and our trade and so on. And then we went to visit some of the wine country out there and see all this and exchanged some great ideas there.

And there is so much naturally that brings us together, that brings Chile and California together; our similar topography and climate, our agriculture, our wine. And even though we are competitors in some ways, we share best practices and have worked together to expand free trade. We have spectacular coastlines and the President and I, we both are committed to the notion that yes, we can protect both the environment and the economy and do that simultaneously.

And let me just add that the free trade agreement between the United States and Chile that was executed in 2004 is a perfect example of why I have been lobbying Congress to move forward on all the other free trade agreements, but it has stalled so far. Since the U.S.-Chile trade agreement was executed trade between the two nations has improved and has actually more than doubled and California exports to Chile have increased almost by 250 percent. Now this, as you can see, is great for Chile, it is great for the United States and it is fantastic for the people of California.

So we will keep nurturing this very important friendship and I look forward to many other conversations and to many other trips. As a matter of fact, the President invited me to come to Chile for a trade mission, so I'm going to do that. It will give me a good reason to get out of the state and do a little traveling and vacationing. Maybe just work; trade missions are usually all work. But anyway, I'm looking forward to that.

So anyway, it is a great pleasure for me now to introduce President Bachelet. And so please welcome the great President of Chile, President Bachelet. Thank you very much. (Applause)

PRESIDENT BACHELET: Well, thank you very much, Governor Schwarzenegger, for your kind remarks. And mainly also because of your huge emphasis on these plans, cooperational plans, this so-called partnership for the 21st century between Chile and California that really has us thrilled about it, because we believe it's a wonderful possibility for both countries.

And it is a great satisfaction to be here again in the United States of America. And also I want to thank for the remarks of Chancellor Vanderhoef. Maybe when we met last year in Santiago, when he went into the relation with the Minister of Education, the federal Minister of Education, we did not maybe know that so quickly it would come to this minute. But that led to a first signal of agreement between Minister Foxley and Madame Secretary of State, Condoleezza Rice, in an important program called Equal Opportunity Scholarships. So Chilean students can come here, study English, because we have very gifted people who sometimes cannot be here because of the ignorance of the language.

So we are very happy that this led to that and now we are here in what we understand a new step, a new stage in our relationship between Chile and California. And also a stage in which we do not come as in the past, in the '60s, asking for help, asking for aid for development. In the country now we are offering ourselves as good partners, because we believe that Chile has a lot of possible contributions and we really can be good partners in trade and culture and education, in agriculture, in wine, in energy and climate change issues and so on, as Governor Schwarzenegger so clearly said.

But excuse me and let me pass to Spanish so my journalists can get something for Chile. (SPANISH) (Applause)

GOVERNOR SCHWARZENEGGER: Well, now let's create some action and sign our MOUs.

ANNOUNCER: We welcome the signatories for the first MOU. This MOU between the Republic of Chile and the state of California provides for the creation of educational opportunities to build on human capital, environmental protection, energy, agriculture, information technology, communication and trade and business. These topics represent areas that are mutually beneficial to Chile and California in advancing ways to address opportunities of common good that will move both parties towards a sustainable future.

Signing on behalf of Chile is Mr. Alejandro Foxley, Minister of Foreign Affairs. Signing on behalf of California are Linda Adams, secretary for Environmental Protection, Mike Chrisman, secretary for Resources and A.G. Kawamura, secretary for Food and Agriculture. (Applause)

MOU number two is between UC Davis, three universities of Chile and Chile's National Institute of Agricultural Research. This MOU focuses on biotechnology and will jointly initiate and administer a program for research development in capacity building in seed technology. The program will characterize critical genetic resources and develop new crop germplasm, improve varieties of crops and educate the next generation of plant breeders.

Signing on behalf of Chile is Mr. Leopoldo Sánchez, director of the National Institute of Agricultural Research. Signing on behalf of UC Davis, Dr. Larry Vanderhoef, chancellor. (Applause)

MOU number three is between UC Davis and the Wine Consortium of Chile. This MOU will build collaboration on the improvement of viticulture and enological technology, especially in the areas of sustainable production and improvement of wine flavor. The MOU aims to promote education of future generations of wine makers on methods to sustain innovation in wines and grapes for both California and Chile.

Signing on behalf of Chile is Mr. Rafael Guilisasti, president of the Chile Wine Consortia, Vinnova. Signing on behalf of the University of California, Davis, Mr. Neal van Alfen, dean of the College of Agricultural and Environmental Sciences. (Applause)

MOU number four is an agreement between the California State University system and the Universidad Tecnológica de Chile. This agreement will provide the opportunity for both parties to work collectively on curriculum development, college preparation and remediation strategies. It will create opportunities to collaborate in applied research in the areas of energy, water and human capital development.

Signing on behalf of Chile is Mr. Gonzalo Vargas Otte, chancellor of the Universidad Tecnológica de Chile. Signing on behalf of the California State University system, Mr. Richard West, executive vice chancellor. (Applause)

QUESTION/ANSWER:

GOVERNOR:                                               All right. If there are any questions about anything that we have just done, please feel free. There's a microphone. Okay.

QUESTION:                                                  What are the main benefits for California with this visit and when are you planning to go to Chile?

GOVERNOR:                                               Well, the benefit is of us working together to improve trade, to improve on our development of alternative energy, of renewables, to help Chile with their development. They are really doing a great job and I think that President Bachelet has proven it, that she wants to accomplish the same things as we have here. Of course they started just now and are really moving in the right direction. They need help with technology and all of those things. And also in agriculture, they are producing now terrific wines and we want to work together on that. That's why we visited just now one of the areas where they grow wine and to exchange ideas on how we can help together and work together. So I think that this really benefits everyone.

And you know, we always talk about the budget and about more revenues and this is the big thing that everyone talks about here in California. But the fact of the matter is, that's how you create extra revenues, by improving on the trade. Because like I have said, since 2004 we have increased our trade. That meant a 250 percent increase for California; that's extra revenues. That's how we want to create the extra revenues so we have money for those various different programs that we need.

Yes, please.

QUESTION:                                                 We're coming into the prime summer growing season for the San Joaquin Valley. You're declaring a state of emergency for Fresno and the surrounding areas. Tell me what prompted that declaration and how will that help folks in the San Joaquin Valley in terms of any resources that will be coming to them from that?

GOVERNOR:                                               Well, I think that the important thing to know is just that we have to move water around as quickly as possible, because the federal government has just cut off more water to the farmers and I think that's very dangerous because we rely so heavily on agriculture.

And we are known for agriculture, Chile is known for agriculture. And so we have talked about that, that we face the same challenges and how important it is -- on our ride over here from the Capitol to UC Davis we talked about the importance of infrastructure. And what really the bottom line is, we can declare all the states of emergency and everything to get water around as quickly as possible to the farms right now, but that doesn't really solve the problem. What solves the problem is big visions and to make courageous moves. And I think that we have not really done things for 40 years when it comes the infrastructure of water. And we need to build water infrastructure because then we were 18 million people, now we are 38 million people. And this is what we're talking about. We have to think big and we have to move courageous moves and really rebuild.

QUESTION:                                                 Is Chile ahead of us or behind us on this issue in terms of water and water infrastructure, would you say?

PRESIDENT BACHELET:                         No, we're not ahead, probably. But what we have been doing for the last 20 years is to try to have all the dams we need. Not only thinking on, you know, specific response to a specific issue, like a drought, for example, or fires or whatever. It's the need of water that we have to take into consideration. That's why we are building not only highways, ports and airports to have a more modernized infrastructure and to get our products and people, mobilizing people and culture more quickly, but also to have the dams that will give response to the expanded population, to the expanded -- I would say, just in one word, to the development of the country.

So we were talking about that on our way here with Governor Schwarzenegger, how sometimes when you are in these sort of jobs, the urgent -- or the important issues are killed by the urgent issues. So we have to be able to respond to the urgent issues, but at the same time never forget the big things, the important things, the relevant things for the country. So we completely agree on that.

I know that the Chilean journalists want to ask Governor Schwarzenegger something. For me?

QUESTION:                                                 Yes. I just want to know, what are going to be the benefits to our country with this new relationship? You said that it was going to be a win/win relationship, so for our country how is this going to be good? And you're going to forgive us, but we have to ask a little thing about our country in local news.

PRESIDENT BACHELET:                         Why am I not surprised?

QUESTION:                                                 Sorry. We had a plane crash several days ago and people were missing for several days, but now they've found nine of them alive. So we would like a little comment from you about that, okay?

PRESIDENT BACHELET:                         Okay. In Spanish you want it, of course?

QUESTION:                                                 Please.

PRESIDENT BACHELET:                         Yes. (SPANISH)

QUESTION:                                                  Governor, the President of Chile has been talking about the importance of investing simultaneously in social services as well as economic development and the necessity of doing the two for a strong democracy. Are you worried that severe budget cuts to our social services in California will hurt our economic development?

GOVERNOR:                                               You're talking to me? Okay. No, I think that no nation has ever suffered in economic development when the nation tries to live within its means, or a state tries to live within its means. As you know, it's very important for us. We have a certain amount of revenues and therefore this is all the money that we have really to afford all the programs.

And I think that the important thing for us is to come up with a coherent budget system and fix our dysfunctional budget system that we have right now so that we have a smooth kind of an increase in revenues every year of 5 percent, rather than one year 23 percent and the next year a minus 10 percent. So I think that doesn't work. We are taking programs like education and health care, law enforcement, all of those programs, on a rollercoaster ride where everyone has to hold on for dear life. I think the people of California deserve much better than that.

And so we are working on it, Democrats and Republicans, on this budget. We are going to work together, like we have done in the past and we're going to solve those problems.

Thank you very much and all have a good day. Thank you. (Applause)