Trade update | 12 May 2023

Trade in the 2023 Budget
The budget picture is mixed in trade and international affairs. While the Department of Foreign Affairs and Trade has received a funding boost, the outcome is less encouraging for Austrade.

Austrade’s staffing is projected to decline by 10 per cent, from an average staffing level of 1,258 to 1,136.

The Export Market Development Grant program has been cut by $61 million over four years from this year. It is noted that no funding already committed ,or applications currently under assessment, will be impacted. 

Reductions of funding for trade programs would seem to run counter to the government’s trade diversification objectives.

The Simplified Trade System Implementation Taskforce has received additional funding of $23.8 million for one year, with funding to several government departments: Austrade; the Department of Home Affairs; Department of Agriculture, Fisheries and Forestry; and the Australian Taxation Office.

Department of Foreign Affairs and Trade resourcing has received a boost in this budget, following findings of a future capability plan that supports increasing the size of the diplomatic network to meet a more challenging strategic outlook.

Read ACCI’s 203-24 Federal Budget Overview.

Indonesian Delegation 

ACCI CEO Andrew McKellar and Head of Trade and International Affairs Chris Barnes met with the Indonesian Deputy Chair of Commission VI Mohammad Haekal, Vice Minister of Trade Jerry Sambuaga, Ministry of State-Owned Enterprises, and other members of the Indonesian Delegation at the residence of the Indonesian Ambassador to Australia, Dr. Siswo Pramono.  

The delegation also included representation of Indonesian state-owned enterprises in the banking, mining and telecommunications sectors. 

As one of Australia’s most important trading partners, the discussion focused on the importance of Australia-Indonesia bilateral relationships, and potential future opportunities for Australian business and the Indonesian government.  

Digital Infrastructure and Space Technology 
The Governor of NSW, Her Excellency the Honourable Margaret Beazley AC KC, will be a panel speaker at the Digital Infrastructure and Space Technology event in Clifford Chance’s office in Sydney next Tuesday, May 16.   

The panel discussion will explore the current landscape of developments in the sector in Australia as well as future trends with a particular focus on dispute avoidance techniques, mediation and arbitration as dispute resolution tools. 

ICC Australia member Clifford Chance counsel Julia Dreosti will be a panellist along with 7 Wentworth Selborne Chambers barrister Duncan Miller as the moderator.

Register for the event. 

Australia-UK FTA
Prime Minister Anthony Albanese has announced that the Australia-United Kingdom Free Trade Agreement will enter into force on May 31. 

In a media release, under this FTA, there will be no tariffs on almost all Australian goods exports to the UK. It will provide a framework for professional bodies to agree to streamline licensing processes to facilitate the movement of qualified professionals between Australia and the UK. 

Read the full media release.