Trade Minister Mark Vaile today announced that an historic agreement had been
reached between the Commonwealth and State and Territory governments
to double the number of Australian exporters by 2006.
Mr Vaile said the framework agreement covers five key areas of
enhanced cooperation between the Commonwealth and the States and
Territories designed to double the number of exporters.
“In addition to practical programs of exporter assistance workshops
and other business development activities, the agreement also covers
boosting community awareness of the benefits of trade and helping
develop private sector support services,” Mr Vaile said.
“Today’s agreement is a major step toward reaching the Commonwealth’s
goal, announced in the Liberal-National Government’s trade policy
Australians Exporting to the World, of doubling the number
of exporters by 2006.
“Exporters generate wealth, improve living standards and create
jobs, with one in five jobs in metropolitan Australia and one in
four jobs in rural and regional Australia dependent upon exports
“In 2001 Australia exported a record $154.4 billion worth of products
to the world, an increase of almost nine per cent on 2000 exports
and a whopping 53 per cent increase since the Liberal-National Government
came to power in 1996.”
The Commonwealth Government is committed to reaching 50,000 exporters
by 2006 and obtaining the State and Territory Governments’ backing
is an important step forward, Mr Vaile said.
Memorandum of Understanding on Cooperation towards a national
doubling of the number of Australian exporters.
Principles of Cooperation
Australia has enjoyed a recent period of strong growth in export
income. Our exporters now underpin one-in-four jobs in regional
Australia and one-in-five jobs across Australia. In increasingly
difficult world economic circumstances, this outstanding result
has been achieved by just 25,000 exporters. There is a clear role
for government to contribute to the development of community wealth
through expanding our export base. This goal is best achieved by
co-ordinating support across Federal and State / Territory jurisdictions
and focussing joint resources on businesses with the potential to
become exporters.
The twin goals of this agreement are therefore to actively identify
businesses with export potential and aim to provide integrated Federal
and State / Territory services, which are commercially relevant,
to encourage and assist these businesses.
The Memorandum of Understanding on Cooperation towards a national
doubling of the number of Australian exporters will provide
a framework that will enable agencies at both State / Territory
and Federal level to jointly develop local programs to achieve a
national doubling of the number of exporters over the next five
years.
To ensure commercial relevance, programs of new exporter assistance
must be tailored to both local circumstances and individual company
need. Accordingly this “framework agreement” sets out the goals
to be pursued, the areas where the Commonwealth and State and Territory
Governments will focus their resources and a timetable for action.
Specific projects will be developed which respond to the circumstances
of each jurisdiction.
This coordinated policy action will significantly support the growth
of our exports and make significant contributions to the level of
employment, wages and living standards of all Australians.
The Agreed Goals
- Development of greater community understanding of the benefits
of trade.
The overarching goal of increasing the number of new exporters
can only be achieved if the broader community’s support for the
internationalisation of business also increases. The next generation
of Australian exporters is currently having their business outlook
shaped by their educational and social experiences. A greater community
understanding of the benefits of trade and a more internationally
oriented business community are pre-cursors to strong new exporter
growth rates.
- Increased growth rate for new SME exporters
New exporters are created by the independent actions of business,
by the stimulus of private sector export services developing their
markets and by a range of policies at all level of Government.
In addition each of the States and Territories are at different
points in the internationalisation of their industries, have differing
resources and face different challenges. The intention of this
agreement is for the States / Territories and the Commonwealth to
develop bilateral annual goals which are specific to each jurisdictions’
circumstances and policy priorities, in the context of improving
understanding of exporter definitional issues for the development
of new exporters.
- Special attention to opportunities for high potential export
growth including knowledge based industries
Within the overall program to stimulate the number of new exporters,
specific programs will be developed for an integrated States / Territories
and Commonwealth strategic approach to capitalise on the international
potential of key export growth opportunities including services,
high technology products and emerging knowledge based industries.
These initiatives will build on existing developments such as the
BENC (Biotech Events National Committee) and the ICT Global strategy
being developed by Austrade and State / Territory partners.
- Ensuring equitable access to export facilitation service
for businesses in Regional Australia.
With one in four jobs in regional Australia dependent on exports
the contribution of exporting companies to regional development
is substantial. It is important that regional and rural communities
have ready access to local export assistance services to fully develop
their potential, building a long term future based on vigorous internationally
oriented local businesses.
- Development of linkages with private sector support services
for exporters.
The private sector plays an important role in providing export
services that both enable and stimulate new exporters. The bilateral
plans developed under this Memorandum of Understanding will consider
opportunities in each jurisdiction for the creative integration
of the efforts of the private sector with those of the public sector.
Mutual Commitments
The Commonwealth will appoint the Australia Trade Commission (Austrade)
as lead agency for the purposes of this agreement and each State
and Territory will appoint a corresponding lead agency. Austrade
will work with each State / Territory agency in partnership to develop
new exporter programs and activities in each jurisdiction and identify
and address impediments to coordination.
State and Territory specific projects consistent with the goals
and purpose of this agreement will be identified prior to 1 July
2002 for implementation in 2002 /2003. These plans will be assessed
and revised on an annual basis and discussed at the National Trade
Consultations.
