Ms LAWRIE - 2003-10-08
Could you please inform the House of what the government is doing to help Territory businesses develop export opportunities?
ANSWER
Madam Speaker, I thank the member for Karama for her question. It is a very timely question given that my colleague, the minister for information technology, recently hosted possibly the largest single delegation ever of Territory business people overseas, which was the first significant delegation to attend the IT Expo in Singapore last week. We had a great report from my colleague earlier this morning.
This is built on the back of our government’s international trade strategy, Building Stronger Territory Trade, which I launched last year. Again, as I have said, one of the great surprises of coming to government and assuming ministerial office is that you expect a body of work to be up and running, and the bureaucracy and the public service working in a strategic and targeted way. It really was quite a surprise to come to government and find that there was no definitive trade strategy with specific performance objectives and targets actually committed to in the old Department of Asian Relations and Trade.
The first thing we did was develop a strategy. The key target that we have identified in that strategy is to increase the number of Territory companies that are exporting by 25% by 2007, and also increase the volume and value of non-mineral, oil and gas-related trade by 40% over that same period. We have set some key targets, and that was done in partnership with the business community.
To support that strategy, in the budget this year, we released the new Trade Support Scheme, with $330 000 available for businesses in the Northern Territory to help them build their export opportunities into the region. That will grow to $500 000 over the next couple of years. This is a marked increase on the $80 000, which was the trade support scheme the previous government had, which was known as the Export Market Assistance Scheme. Therefore, a real and significant boost, not only in having a strategy to target, but real money to assist Territory business to actually develop marketing and export plans and get them into the region - a real and significant increase.
This scheme is open to all business in the Territory - regional and indigenous businesses. Grants are available in the range of $7500 to $50 000 - almost the entire scheme as it was under the previous government - and they are available on a dollar-for-dollar basis. To the end of September, 32 applications seeking a total of $220 000 in financial assistance have been received. The applications fall in a range of industries, including ICT, tourism, mining equipment, fresh produce, livestock and automobile parts. Five of those 32 applications have been approved to date, with a government commitment of $31 000 in grants. From their respective applications, these five companies estimate that their expected export outcomes over the next six months will be in excess of $1.5m; and that is just five out of the 32.
I have examples of a couple of applications that have been granted. One was to a company with a CEO that we would all know, James Taylor, a Director of Aerosail. Mr Taylor is currently negotiating for a contract worth more than $110 000 following a trade trip to Hawaii. Mr Taylor said he received a fast decision on his request for financial assistance under the new scheme, giving him greater certainty in committing his company to direct export marketing costs.
Another person - certainly known to many members on this side of the House, particularly my colleague, the member for Barkly - Mr Damien Loizou, Director of Earth Dreaming Aboriginal Corporation established at Ali Curung. Who would have thought that Ali Curung would be exporting, but they certainly are. Damien’s company produces a range of swim and sportswear featuring traditional Aboriginal Dreamtime stories. Following a marketing visit to France and Holland, his company is now negotiating sales contracts in excess of $50 000. From Ali Curung to the boutique shops in Paris, we are on a roll.
This trade scheme is really helping Territory exporters from Ali Curung to Darwin, everywhere between and down to Alice Springs. I am confident, as interest grows and business becomes more familiar with the export support under this scheme, that strong application will continue.
I particularly commend officers in my department who are working very hard and proactively with these companies. I met one of the officers on the plane to Alice Springs the other day. He is down there once every two to three weeks, working with companies in Alice Springs to get them up and running. Those officers in the department are doing a great job. There is $330 000 available this year, compared to only $80 000 under our predecessors.
ANSWER
Madam Speaker, I thank the member for Karama for her question. It is a very timely question given that my colleague, the minister for information technology, recently hosted possibly the largest single delegation ever of Territory business people overseas, which was the first significant delegation to attend the IT Expo in Singapore last week. We had a great report from my colleague earlier this morning.
This is built on the back of our government’s international trade strategy, Building Stronger Territory Trade, which I launched last year. Again, as I have said, one of the great surprises of coming to government and assuming ministerial office is that you expect a body of work to be up and running, and the bureaucracy and the public service working in a strategic and targeted way. It really was quite a surprise to come to government and find that there was no definitive trade strategy with specific performance objectives and targets actually committed to in the old Department of Asian Relations and Trade.
The first thing we did was develop a strategy. The key target that we have identified in that strategy is to increase the number of Territory companies that are exporting by 25% by 2007, and also increase the volume and value of non-mineral, oil and gas-related trade by 40% over that same period. We have set some key targets, and that was done in partnership with the business community.
To support that strategy, in the budget this year, we released the new Trade Support Scheme, with $330 000 available for businesses in the Northern Territory to help them build their export opportunities into the region. That will grow to $500 000 over the next couple of years. This is a marked increase on the $80 000, which was the trade support scheme the previous government had, which was known as the Export Market Assistance Scheme. Therefore, a real and significant boost, not only in having a strategy to target, but real money to assist Territory business to actually develop marketing and export plans and get them into the region - a real and significant increase.
This scheme is open to all business in the Territory - regional and indigenous businesses. Grants are available in the range of $7500 to $50 000 - almost the entire scheme as it was under the previous government - and they are available on a dollar-for-dollar basis. To the end of September, 32 applications seeking a total of $220 000 in financial assistance have been received. The applications fall in a range of industries, including ICT, tourism, mining equipment, fresh produce, livestock and automobile parts. Five of those 32 applications have been approved to date, with a government commitment of $31 000 in grants. From their respective applications, these five companies estimate that their expected export outcomes over the next six months will be in excess of $1.5m; and that is just five out of the 32.
I have examples of a couple of applications that have been granted. One was to a company with a CEO that we would all know, James Taylor, a Director of Aerosail. Mr Taylor is currently negotiating for a contract worth more than $110 000 following a trade trip to Hawaii. Mr Taylor said he received a fast decision on his request for financial assistance under the new scheme, giving him greater certainty in committing his company to direct export marketing costs.
Another person - certainly known to many members on this side of the House, particularly my colleague, the member for Barkly - Mr Damien Loizou, Director of Earth Dreaming Aboriginal Corporation established at Ali Curung. Who would have thought that Ali Curung would be exporting, but they certainly are. Damien’s company produces a range of swim and sportswear featuring traditional Aboriginal Dreamtime stories. Following a marketing visit to France and Holland, his company is now negotiating sales contracts in excess of $50 000. From Ali Curung to the boutique shops in Paris, we are on a roll.
This trade scheme is really helping Territory exporters from Ali Curung to Darwin, everywhere between and down to Alice Springs. I am confident, as interest grows and business becomes more familiar with the export support under this scheme, that strong application will continue.
I particularly commend officers in my department who are working very hard and proactively with these companies. I met one of the officers on the plane to Alice Springs the other day. He is down there once every two to three weeks, working with companies in Alice Springs to get them up and running. Those officers in the department are doing a great job. There is $330 000 available this year, compared to only $80 000 under our predecessors.
Last updated: 09 Aug 2016