The key announcement was the Coalition’s election promise to restore the $50 million funding shortfall to the Austrade administered Export Market Development Grant (EMDG) and restoring the EMDG cap to $200 million effective from 1 July 2011.

The Australian Institute of Export (AIEx) have been mounting a substantial campaign against the Government’s decision to reduce EMDG which has resulted in a multi-million dollar shortfall in the EMDG Scheme..

For a copy of Minister Truss’s speech CLICK HERE

by Gemma Hansen

Australian exporters have faced many obstacles over the past two years – a buoyant dollar making our products less affordable on the world stage, the global financial crisis, and now the reduction in funding of the Export Market Development Grant (EMDG) scheme.

EMDG is a scheme that has been supporting Australian exporters for many years to launch their products internationally by funding a portion of overseas marketing costs.  However, in recent years the scheme has been underfunded and this is causing a great deal of uncertainty in the export community.  Austrade are currently receiving applications for 2009/10 expenses, but the prospect of a boost to business cash flow has been cut short due to the government announcing that funding of EMDG has been cut by $50M down to $150M.  A 25% reduction in funding from 2008/09.

A further announcement received in early July advised businesses that due to this underfunding of the scheme, first tranche payments for 2009/10 grants would be set at just $27,500.  This is a drastic cut from the $40,000 first tranche for 2008/09 and will see the number of businesses impacted by this underfunding increase from approximately 20% of all applicants to 50%.  A disastrous result for all businesses who have invested money in developing international markets with the understanding that the government would assist with up 50% of these costs.

Small to medium businesses rely on this scheme to take that first step onto the export stage.  Canberra business Seeing Machines have accessed EMDG funding over many years to grow their business to the point where the majority of their income now comes from international clients.  Belinda Burgess, COO of Seeing Machines says “Due to the nature of our business we were always going to get most of our revenue from overseas.  EMDG has been very beneficial to us in helping fund some of our international marketing expenditure and in the early years of the business we would have really struggled without it.  It’s disappointing that the government is not adequately funding the scheme going forward for the next group of companies trying to get a foothold in international markets.   We continue to see cutbacks in grant programs

that can only have a negative impact on the growth of Australian businesses and their ability to contribute to the growth of our economy.”

Grant applicants for 2009/10 can be approved for a maximum rebate of $200,000 but their first payment will only be $27,500 and then they will have to wait until June 2011 to see whether they will receive further funding.  This level of uncertainty makes it very difficult for businesses to sustain international growth.  Businesses new to EMDG such as iCognition Pty Ltd will go into a scheme that has been so beneficial for companies in the past, but provides no assurances for moving forward.

Joe Mammoliti, Director of iCognition says “iCognition is gaining a presence on the world stage for its innovative Diem Enterprise solutions and expertise in information management. The window of opportunity for our knowledge and products is rapidly evolving and it is important that we are represented internationally to maximize these opportunities.  There are many conferences and trade shows that we see as beneficial to our export growth, but we may have to reconsider how much international travel we can consider to do with the cuts to the EMDG scheme”.

The export community is campaigning for the government to provide an additional $50M to the EMDG scheme for 2009/10 grants.  We also need assurance that the scheme will maintain funding of at least $200M per year for future grant applicants.   The scheme can only be of benefit to businesses if they are certain that by spending their money under EMDG rules they will receive what they are entitled to.

In a media release by The Minister for Trade, The Hon Stephen Smith, he cites one of the reasons for the EMDG budget being cut by $50M is the Government strategy of returning the federal budget to surplus within three years.  Budget surplus will be achieved sooner by supporting exporters in their overseas activities rather than curtail their spending.  Greater promotion of Australian goods and services will drive increased export earnings which will only add to the budget surplus objective.

Gemma Hansen works for Export Solutions assisting Australian businesses access the Export Market Development Grant scheme.

For more information, CLICK HERE.

QUESTION: Do you also provide vital information such as your pricing structure to the competitors? 
ANSWER:     Public information available on the GSA schedules program would be standard as in any channel to market (pricing, specs, value proposition). The US Government understands that they are “trade secrets” and will keep them in confidence accordingly. In regards to pricing structure, that discussion would need to happen with GSA directly when negotiating terms and price.

QUESTION: What are the benefits of the GSA?
ANSWER:     The US Government is the world’s largest marketplace with the US General Services Administration (GSA) operating as the government’s main acquisition service. It is through GSA and its procurement schedules that the government procures most of its basic services and needs. The GSA schedule contracts enables all authorised government buyers (military and civilian at the federal level, and some state and local) to purchase commercial good and services through pre-negotiated contracts. The schedules program is divided into individual sector-focused schedules (IT Services, Homeland Security, EmergencyPreparedness, et cetera) with subdivision in each schedule for specific products (i.e. lighting towers, road flares, safety gear).

An additional benefit of the GSA schedules program is when companies apply for a specific schedule they are painstakingly vetted by GSA. When a company is approved for a schedule it is like a government “seal of approval”. This approval is usually one of the first things potential government customers look for when conducting business.

QUESTION: Would it be worthwhile having a local USA company to do the application?
ANSWER:     That is really an individual corporate decision. GSA schedule applications are tedious and lengthily, that being said they are  manageable as long as you are committed to the process. If a company feels conformable to endeavour through the process themselves then great, but if its a complex or difficult offering (consulting, translating services, etc) then it might be worth contracting the work out. I will state though that having a GSA consultant can be costly ($15-30K) and would recommend thoroughly vetting any business prior to formal engagement. If requested Austrade is able to make referrals out on contractors.

Understanding the Importance of Incoterms when Exporting under Letters of Credit

Why are most US exporters still shipping “Freight Collect” when securing payment under a letter of credit (LC)? “We’ve always done it that way,” some will say. “We didn’t know it made a difference.” Or maybe it’s because they used these domestically, and kept it that way when they began selling internationally. For more, CLICK HERE.

What’s Considered a Violation of the Foreign Corrupt Practices Act?

Times are tight—that pretty much seems to be the case across the board.  We have all heard the old adage, “You’ve got to spend money to make money.”  While I firmly believe this is true, there is a right way to spend money, and then there’s the way to spend money that lands you in a federal prison for a really, really LONG time.  That would be spending money in any way that violates the Foreign Corrupt Practices Act (FCPA). For more, CLICK HERE.

Service exports are the wave of the future, particularly in Virginia

Service exports are critical for Virginia’s future.  Recent estimates put the dollar value of services exported from the Commonwealth around $11.9 billion, with service industries employing approximately 2.5 million people, about 82% of the workforce. (BEA)  Undoubtedly, this reflects the importance of services to Virginia’s economy. For more, CLICK HERE.

Want more of the ’Beyond Virginia’ news letter? CLICK HERE.

The Hon. Anthony Byrne
Parliamentary Secretary for Trade
Address to ACT Exporters’ Network Breakfast
27 May 2010
Canberra

Introduction

Whilst there’s been much discussion about the Australian mining sector in recent weeks, this has probably perpetuated common misconceptions that this and agriculture are virtually the only forms of exporting Australia undertakes.

Whilst these sectors are undoubtedly very important components of our economy, I’m here today to emphasise a much under-acknowledge, yet hugely significant contributor to both the ACT’s and Australia’s international success – service exports. 

Services now make up two-thirds of the world economy.  They are the fastest growing component of world trade, and the core drivers of economic growth, development and employment around the globe.

It was only just recently that I made an address here in Canberra to the Australian Services Roundtable, so it gives me great pleasure to continue to stress the vital importance about Australia’s services export capabilities and success.

Services exports

There has been some dispute about what services are – and what they are not. The Economist magazine deftly provided the answer to this question by describing services – somewhat tongue-in-cheek – as ‘things you cannot drop on your foot.’
 

But however you describe them, services certainly matter to Australia. They account for 73 per cent of our GDP, and our services exports were worth some $53 billion in 2008-09 – a rise of more than 5 per cent on the previous year.

The growth areas were professional services, worth $3.7 billion, up over 12 per cent on the previous year, and education services, worth $16.6 billion, up more than 22 per cent on the year before.

The United States is our largest single market for services exports, as well as our most diverse.

Australia’s services exports to the US in 2008-09 topped $5.8 billion, which was increase of more than 6 per cent on the previous twelve months.

And services exports to China, our second biggest market, brought in $5.7 billion, a huge 15.7 per cent rise on the previous year. 

The ACT stands out amongst all Australian states and territories for the extent to which services dominate its export make-up. 

It’s noteworthy that the ACT’s service sector accounted for 98.9 per cent (or $1.014 billion) of the Territories total exports in 2008/09 and almost 2% of Australia’s total service exports.  

More specifically, a number of ACT services companies have been punching well and truly above their weight in the export game. 

For example, I note the success of a finalist in the Small Business Award category of the Australian Export Awards, Recruitment Systems, which since 2001 has grown to successfully work with around 200 separate recruitment industry clients to substantially improve their everyday workflow in key markets such as China, the Middle East and South East Asia.

Another award winning local services company of note is software document management developer Intelledox.  Starting as a small IT consulting firm, called DPM Consulting, creating bespoke software solutions for government and corporate clients in Canberra, Intelledox has now grown to be a truly international software business selling its products around Australia and to North America, the UK, New Zealand, the United Arab Emirates, Papua New Guinea and South Africa.

Without doubt, the education sector warrants special mention in the ACT exporter context. 

The fact that education services make up the largest source of exports from the ACT is a testament to the quality of the educational institutions in this city, with the Australian National University (ANU), University of Canberra (UC), Canberra Institute of Technology (CIT), Australian Defence Force Academy (ADFA), and Australian Catholic University (ACU), all playing their part in establishing the impressive international reputation of ACT’s educational offering. 

Of particular note is the standing of the ANU, which has been ranked number one in Australia, top in the southern hemisphere, and 17th in the world by the UK Times Higher Education Magazine (2009).

The University is also ranked number one in the southern hemisphere by the Shanghai Jiao Tong University Institute of Higher Education (2009). 

It’s worth emphasising the much under recognised role educational institutions can play in fostering closer international relationships, both in a business and political context.

EMDG helps many services exporters

I’d like to mention here that the Australian Government supports services exporters in a number of practical ways.

The Export Markets Development Grants Scheme, for example, can be a big help.

This key Australian Government financial assistance program for aspiring and current exporters encourages small and medium-sized businesses to develop exports markets.

I note that over the last several years an increasing number of ACT companies have taken advantage of the EMDG scheme, with 37 local firms receiving EMDG payments received in 2008/09, equivalent to $2m, which facilitated $18.8m of export sales.  Figures to date for the 2009/10 financial year shows 47 recipients, equivalent to the value of $1.4m which has facilitated $32m in export sales .

In 2008-09, over 4,000 Australian businesses received EMDG funding, and 62 per cent of these companies were in the services industries.

In fact, services industry recipients received a total of $113.5 million worth of grants – and they, in turn, generated $2.6 billion in exports.

Australia’s trade negotiations make an impact

Australia’s trade negotiations make an impact on services exporters, too.

Because services are so important to Australia’s growth and our economic future, we are keen to see an agreement reached at the multilateral level on services trade.

This is a position Australia expressed strongly at the Global Services Summit in Washington late last year.

Australia also has a number of Free Trade Agreements which help services exporters.

I’ll briefly mention a couple of small, but specific examples, where a Free Trade Agreement has helped a services sector.

Under the historic FTA between the ten ASEAN nations and Australia and New Zealand, which began on January 1st this year, Australian lawyers can now extend their working periods in Singapore, Indonesia and Thailand.

And this Free Trade Agreement has also allowed Indonesian and Vietnamese law firms to have Australian lawyers working within their practices.

The Australia-United States Free Trade Agreement allows Australian companies to compete in the US market on equal terms with local businesses in most service sectors, including professional, education, business, environmental and transport services.

A major beneficiary of the FTA between Australia and the US has been our defence export industry exemplified by ACT firm CEA, whose President David Gaul has been made a 2010 National Export Hero.
Building Brand Australia

We are constantly looking at new ways to help our exporters, so I want to tell you something about the work being done to enhance our national image.

We Australians already have a national image, of course, and it’s by no means a bad one.

Ask people around the world what comes to mind when they think of Australia and you’ll hear that we are friendly, bathed in sunshine, and are lucky enough to have an unspoiled, natural environment.

All true. But we are much more than that.

Australia is a global participant on the world stage, and we make major contributions in many areas – from the shape and development of the G20 to work on nuclear non-proliferation.

We need to market ourselves better. Australia is a global participant on the world stage. 

We have made many important advancements in technology which have benefitted others – WiFi technology, the bionic ear and a vaccine for cervical cancer. 

We should be better regarded as a dynamic and creative nation, a good global citizen and a strong business partner.

And our creative sector has notched up many significant achievements, well beyond what you would expect from a nation of 22 million people.

But these successes are not always widely known.

Our national reputation – our national brand – needs to be updated to reflect the reality of our society, our economy and our culture.

And that is what we are doing – updating our brand – with a four-year $20 million dollar program to sell Australia to the world.

Australia’s new brand – Australia Unlimited – was launched in Australia by the Minister for Trade, Simon Crean.

Our new brand is aimed at taking us beyond tourism messages.

It will deliver a national brand for Australia through a consistent image and consistent message.

It is about positioning Australia for the 21st century and about showing Australia as what it is – a country of innovation with a diverse, multi-faceted, multi-cultural society which can produce excellent goods and services and export them to the world.

Australia’s new brand will be critical for our services industries.

Services, by their very nature, are more affected by how they are perceived than products such as iron ore or wheat.

One could say that image matters more where perception is a key driver for acceptance and sales.

Unquestionably, an up-to-date brand for our country – a brand which is more widely known around the world and which better reflects our reality – can only help all of our exporters.

It is noteworthy Australia Unlimited was launched internationally just last week by the Minister Crean, at the Shanghai World Expo. 

I note with interest that also last week, the ACT Chief Minister, Jon Stanhope, launched to much fanfare the ACT’s ACTuality web site as part of the ACT’s contribution to the Expo. 

This site is something Canberran’s should justifiably be proud about. 
Conclusion

Let me conclude by reminding you that the Australian Trade Commission – Austrade – can help you to export your services.

Austrade’s specialists can assist you in selecting an export market and help you to develop a market strategy. 

They are there to provide specialist coaching, opportunity matching, and industry specific advice.

And in market, they can advise you when you are visiting a new market, support you when you are on-the-ground far from home, and arrange for you to take part in trade missions to open up new parts of the world to what you have to offer.

So do avail yourself of these services.

Thank you.

——————————————————————————————

Media Release

 27 May, 2010

SERVICES EXPORTS VITAL TO AUSTRALIA’S ECONOMIC GROWTH

 
Parliamentary Secretary for Trade, Anthony Byrne said services exports were of fundamental and increasing importance to the Australian economy, with this sector the fastest growing component of world trade, and the core driver of economic growth, development and employment around the globe.

Speaking at ACT Exporters’ Network Breakfast today, Mr Byrne said services now make up two-thirds of the world economy.

“Australia is in a great position to leverage this sector; services account for 73 per cent of our GDP, and our services exports were worth some $53 billion in 2008-09 – a rise of more than 5 per cent on the previous year,” said Mr Byrne.

“The growth areas are professional services, worth $3.7 billion, up over 12 per cent on the previous year, and education services are worth $16.6 billion.

“Australia’s services exports to the US, our largest single market, topped $5.8 billion in 2008-09, which was an increase of more than 6 per cent on the previous twelve months.

“The ACT stands out amongst all Australian states and territories for the extent to which services dominate its export make-up. 

“It’s noteworthy that the ACT’s service sector accounted for 98.9 per cent (or $1.014 billion) of the Territory’s total exports in 2008/09 and almost 2% of Australia’s total service exports.

“The Australian Government is working actively on a number of levels to support the growth of this sector including;

• Working towards an agreement, at the multilateral level, on services trade, which is a position Australia expressed strongly at the Global Services Summit in Washington late last year.
• The Australian Government’s Export Markets Development Grants (EMDG) Scheme supported over 4,000 Australian businesses in 2008-09 with EMDG funding, and 62 per cent of these companies were in the services industries.  In fact, services industry recipients received a total of $113.5 million worth of grants – and they, in turn, generated $2.6 billion in exports.

Mr Byrne said the other key aspect of supporting the continued growth of our services sector is the four-year $20 million dollar program, Building Brand Australia, which was launched internationally a few weeks ago by the Minister for Trade, Simon Crean, at the Shanghai World Expo.

“Building Brand Australia is about positioning Australia for the 21st century and about showing Australia as what it is – a country of innovation with a diverse, multifaceted, multicultural society which can produce excellent goods and services and export them to the world,” said Mr Byrne.

“Australia’s new brand will be critical for our services industries. Services, by their very nature, are more affected by how they are perceived than tangible products such as iron ore or wheat. One could say that image matters more where perception is a key driver for acceptance and sales.”

He reiterated the Government’s commitment to the Doha Round of the World Trade Organisation and the General Agreement on Trade in Services; Australia’s six Free Trade Agreements (FTAs), with another seven FTA’s in the pipeline including with Japan and China, and two more under consideration with India and Indonesia; their pledge to undertake microeconomic reform including reducing red tape and other impediments to business, and the list goes on.

However when the 2010-2011 Budget was handed down on 4 May 2010, ACT exporters got an almighty shock. The Rudd Government announced that funding for the Austrade administered Export Market Development Grant (EMDG) scheme would be cut by $50M.

The EMDG scheme provides financial assistance to small and medium-sized Australian businesses to develop export markets by reimbursing up to 50% of eligible export promotion expenses above a threshold of $10,000. In addition to the budget cut, is the very real risk that the EMDG scheme will fall short this year by an estimated $30million leaving many ACT exporters short-changed only receiving a proportion of their total grant payment.

The Government also announced in the budget that the TradeStart Program, a co-funded partnership with State and Territory Governments, industry associations and regional development boards to deliver export assistance to small to medium enterprises would continue for another 4 years, albeit with its program budget halved.

Many ACT firms have benefitted from this Program over the 8 years that it has been operating in the ACT. Many have gone on to become sustainable exporters generating jobs for local people. It would be a pity if budgetary constraints saw the delivery of this Program in the ACT in any way curtailed.

Given this uncertain export assistance environment, the ACT Exporters’ Network was pleased to welcome the Parliamentary Secretary for Trade, the Hon Anthony Byrne MP as its guest of honour at its May Business Briefing function.

The ACT business community were keen to hear from the Parliamentary Secretary the rationale behind these cuts. Austrade and the programs it delivers are highly valued by industry and Government alike in the Territory and any diminution is viewed with some concern.

Mr Byrne began by acknowledging the Territory’s strong service sector which accounted for 98.9 per cent (or $1.014 billion) of the ACT’s total exports in 2008/09 and almost 2% of Australia’s total service exports. The key growth areas are in “professional services, worth $3.7 billion, up 12% on the previous year and education services worth $16.6 billion to the Australian economy, up more than 22% on the year before” said the Hon Anthony Byrne MP.

Canberra Business Council and the ACT Exporters’ Network are well aware of the role education exports play in the local economy. The Council just last year established an ACT Education Services Export Steering Committee entrusted with developing an overarching Strategy for the sector which focuses on developing Canberra’s identity as Australia’s Education Capital, enhancing the student experience and strengthening local infrastructure i.e. accommodation and transport for international students.

If one international student spends, on average, $486 per week on the purchase of goods and services in the ACT economy, this translates to an overall economic contribution of $25,272 per annum. When multiplied by the total number of international students living in Canberra, the economic benefit to local businesses is substantial.

Mr Byrne did take the opportunity to promote the Australia’s new national brand, Australia Unlimited.

“We need to market ourselves better. Australia is a global participant on the world stage. We have made many important advancements in technology which have benefitted others – WiFi technology, the bionic ear and a vaccine for cervical cancer. We should be better regarded as a dynamic and creative nation, a good global citizen and a strong business partner” said the Hon Anthony Byrne MP.

Australia Unlimited, which was launched recently by the Trade Minister Simon Crean at the Shanghai World Expo, has been in development for several years. The new brand, which was tested across 14 countries, is an important development for Australian business operating offshore, especially for our ACT service exporters such as our education and training providers, ICT software developers and business and financial service exporters.

Following a lively question and answer session, Mr Byrne was able to address some of the Network’s concerns and undertook to convey the ACT export community’s views onto the Minister for Trade Mr Simon Crean.

The Network was very appreciative that the Parliamentary Secretary was able to attend its monthly networking breakfast to respond to questions surrounding the Government’s current export promotion policy. The Network has offered Mr Byrne a standing invitation to attend whenever his schedule allows.

If you would like a transcript of the Parliamentary Secretary’s speech please visit www.trademinister.gov.au/parlsec/ or contact Brooke Anderson on 0400 090 452.

The ACT Exporters’ Network is proudly sponsored by the ACT Government, Canberra Business Council, the Centre for Customs & Excise Studies and AusIndustry.

A wide-ranging strategy for international education in Canberra, which was put together through collaboration between the Canberra Business Council and key players in Canberra’s tertiary education industry, is now being discussed with the ACT Government. The strategy has identified a range of possible initiatives to ensure the sustainable growth of the second-largest source of the ACT’s export income.

The ACT Education Services Export Strategy report was commissioned to advise the Council, the Government and other stakeholders about the contribution that almost 10,000 international students make to the ACT each year – around $260 million in 2008–09 plus the social and cultural benefits – and what might be done to enhance that contribution.

“Our education institutions have been very successful in their marketing, recruiting and international engagement strategies, even in recent more hard-pressed times,” said Canberra Business Council CEO, Chris Faulks.

“But our strategy is about what we call the ‘additionality dimension’ – doing what institutions wouldn’t otherwise do on their own, or what the market wouldn’t provide in response to market signals.”

“It’s about getting our education institutions, government and business to work together to realise our proposed statement of ambition: that Canberra exceeds student expectations and is recognised as Australia’s education capital.”

Four complementary approaches have been recommended to achieve that ambition: building collaboration and capacity, improving the student experience, creating a brand for Canberra as Australia’s education capital, and strengthening infrastructure and support.

The first and high-level task of a proposed education exports task force would be to bring cohesion to approaches by all parties to supplying international students with high-quality education, welfare and socio-cultural experiences.

That would mean bringing representatives of all those parties – existing providers, government agencies, business, diplomatic missions, alumni of education institutions, the broader community – into a coordinating forum to work to a five-year strategic plan, annual business plans and an evaluation framework to guide and prove the worth of cohesive and concerted action.

“The success of the strategy will be largely determined by the level of collaboration between the local business community, the ACT Government and our education institutions,” Chris Faulks said.

It has been increasingly acknowledged that a student’s experience of their host community can be as important to them as the quality of education they receive.

So the second component of the proposed Education Services Export Strategy aims to complement existing university, college and school initiatives with broader coordinated ways of welcoming and engaging international students.

In concrete terms, this may manifest in forms such as a Canberra ‘survival guide’ in hard copy and online to answer everyday-life questions; a program of student involvement in community cultural and social activities, music and sporting events; and a program of industry internships and other work experience that builds on the ACT Government’s successful 2009 StudentConnect pilot program.

Given the brand-driven nature of contemporary youth culture, Canberra’s lack of a brand as an international education destination is seen by some as a major weakness. Other Australian capitals have put in place international education marketing capabilities, some supported or run by government, some by education/government/business collaborations.

The third export strategy, then, is to develop a Canberra brand, a consistent and attractive marketing message to lift the ACT’s education and training profile internationally as Australia’s education capital.

Initiatives under a comprehensive marketing and communication strategy might include overseas delegations, education agent training, student exchanges in targeted markets, and capability statements in the ACT’s strong education, industry and research sectors. A web portal would underpin it all, focusing on the Canberra’s main attributes as a knowledge economy, a centre of innovation, and a safe, diverse regional hub with an excellent quality of life.

Finally, the Export Strategy recognises the importance of ensuring Canberra’s infrastructure and services meet international student needs. The priorities would be accommodation, security and safety, and access to community services.

The Strategy sees the ACT Government’s role as providing leadership and support in key areas, particularly in promoting and positioning Canberra as a place to study and the unique benefits that flow from off-campus life.

The Strategy provide a medium to long term pathway to support the development of the education services sector in the ACT and it will provide an important framework between the sector and government over the few months as the discussion moves to implementation activities.

Winners of the 2010 ACT Chief Minister’s Export Awards will progress to the 49th Australian Export Awards as national finalists and compete for an opportunity to win the coveted Prime Minister’s Australian Exporter of the Year.

Why should you enter the Awards?

• The ACT Chief Minister’s Export Awards are prestigious business awards.
• The ACT Award categories offer an opportunity for exporting businesses of any size or in any industry to enter. The benefits of winning a prestigious award can mean entering is a worthwhile investment of your time.

The ACT and region has a dynamic and successful exporting community

• Many of the past category winners are well-known – names such as Aspen Medical, the Centre for Customs & Excise Studies, CEA Technologies, Inland Trading, stratsec, Noetic Group, Intelledox and of course the 2009 ACT Exporter of the Year, Sentinel.
• But each year, refreshingly new exporting businesses emerge as category winners – Lucy Media, Windlab Systems, CIT Solutions and Dyesol Limited.
• As either an established or new exporter, your company could join the list of successful ACT region exporters.

Enter the Awards, give your business a health check, and enjoy the rewards and recognition associated with the Awards.

• Winning an award distinguishes you as a market leader, boosting your company’s reputation as a successful exporter.
• You gain exposure to influential and valuable networks, which can open up new business opportunities.
• You increase your brand awareness and generate marketing opportunities.

Applications close on 20 July and the presentation of Awards will be held on 8 September.

The Award organisers will shortly start to contact ACT and region firms to seek your interest in entering the awards and to offer assistance to potential applicants. If you are interested in talking to the organisers, please contact michael.cliff@cliffassoc.com.au or cathy.atkins@communicationtoolbox.com.au

The 2010 ACT Chief Minister’s Export Awards are managed and presented by the Canberra Business Council on the behalf of the ACT Government and sponsorsed by the Centre for Customs & Excise Studies, ACT Exporters’ Network, the Export Finance & Insurance Corporation and Austrade.

Sentinel, an ACT-based environmental consulting company that specialises in the design, implementation and operation of remote monitoring systems has been servicing the mining industry in Africa since 2000. 

“Our experience working in Africa has been terrific.  Whilst demanding and challenging, our work in Africa has been fulfilling, educational and profitable” says Rod Sandison, Managing Director Sentinel.

Australian mining investment in Africa is massive and by some estimates worth more than $20 billion. Sentinel, are just one of hundreds of Australian service companies who have entered the African market to provide to provide logistical and technical support to the mining sector.

Sentinel’s longevity in Africa has much to do with the enormous short-fall in the supply of educated and experienced personnel willing to operate in harsh and security challenged countries in Africa.

“Throughout the past ten years, Sentinel has worked to develop the skills base of its local African workers as well as developing partnerships with in-country professionals” says Rod.

Significant oil discoveries recently in Ghana and Uganda mean these countries are likely to show exceptionally high growth rates and present enormous opportunities for ACT companies like Sentinel in the future.

Education & Training is another area where the ACT has much to offer Africa.  The Centre for Customs & Excise Studies at the University of Canberra operates in a number of countries in East and Southern Africa. 

“All our activities in Africa are run in collaboration with African partners who understand the local culture, have extensive professional networks and have the ability to tailor our products and services to meet the specific requirements of the African market” says Professor David Widdowson, CEO, Centre for Customs & Excise Studies.

Across the African continent there is a growing appreciation of the benefits of education and an acknowledgement that domestic institutions alone cannot meet the insatiable demand for knowledge and specialist training.

Despite the many challenges that exist to doing business in Africa, ACT companies remain fairly optimistic about growth in Africa.  

ACT firm Corcon, produces environmentally sustainable formwork for the use in the construction of low-cost housing.  Corcon are currently investigating joint venture deals in Ethiopia and the Sudan to supply low-cost and environmentally sustainable housing on behalf of the local governments.

“To be sustainable in Africa in the long-term, businesses need to have a competitive advantage.  We are competing against cheaper Chinese, Indian and Middle East products and its vital we remain competitive and offer a superior alternative product” says Andy Stodulka, Managing Director, Corcon.

In 2006 Windlab Systems, a global wind energy development company were looking to break into new markets beyond Australia and New Zealand.  South Africa emerged as a market that had huge potential growth in the green energy industry but at the time, the wind energy market in South Africa was completely under developed.

Windlab worked with a South African partner who was invaluable in helping the company to navigate the South African regulatory environment for renewables.  “The risk we’ve borne in opening up the South African market is that these regulations have taken a while to be developed by government” said Dr Nathan Steggel, President – North America, Windlab Developments.

Windlab together with their South African partners are well poised to fully develop a number of large wind farms in South Africa over the coming years.

Africa is a largely untapped market for Australia firms and the potential for partnerships is enormous.  For ACT businesses looking to explore opportunities on the African continent, South Africa with its global focus, strategic geographical location and world class infrastructure presents a highly competitive investment location and a stepping stone into opportunities in the broader African region.

Tips for ACT businesses looking to explore opportunities in Africa

• Consider partnering with a local business.  “Look to complement your Australian-based capabilities with local knowledge of the African market” says Professor David Widdowson, Centre for Customs & Excise Studies.
• Stay in local guesthouses.  “They are much friendlier and the service is better than in most hotels.  Importantly it’ll save you money” says Dr Nathan Steggel, Windlab Systems.
• Don’t believe all you read in the media or hear from aid organisations.  South Africa is an emerging market underpinned by an abundant supply of natural resources, well developed financial, legal, communications, energy and transport sectors and modern infrastructure, enhanced in recent times by new and improved infrastructure to support the hosting of the 2010 World Cup. 
• As will all new markets it is important businesses conduct thorough market research and not to underestimate the local competition.  Even the biggest companies have struggled in South Africa because they failed to undertake detailed market analysis. 

 For more information contact Ms Cathy Atkins, Australia-Africa Tradelinks & Networks on cathyatkins@australiaafricatradelinks.com.au or Chris Horsburgh, ACT & Region Manager, Austrade at chris.horsburgh@austrade.gov.au

The ACT Exporters’ Network is proudly sponsored by the ACT Government, Canberra Business Council, the Centre for Customs & Excise Studies and AusIndustry.

“Canberra Business Council nominated Mr Gaul for the Australian Export Hero Award which recognises individuals who have made an outstanding contribution to building Australia’s position and performance in international trade” says Chris Faulks, CEO, Canberra Business Council.

David, together with his business partner Ian Croser, built CEA Technologies from a small two-person consultancy in 1983 into a company which employs over 260 staff, turning over in excess of $50 million per annum.    

The Council was thrilled to hear that David’s nomination had been successful.  David is represented on several management boards and continues to work tirelessly behind the scenes to support ACT and surrounding region business growth and to encourage the exploration of international markets” Chris Faulks said.

David joins the likes of Wolf Blass AM, Ambassador for Wolf Blass Wines International, John Conomos AO, former Executive Chairman of Toyota Australia and Peter Beattie, Queensland’s Trade Commissioner to the Americas, becoming only the third Export Hero from the ACT.  The other ACT Export Heroes are the Hon Tim Fischer in 2001 and Canberra’s own Brand Hoff, founder of Tower Software in 2006.

David single-handedly drove CEA Technologies export business right from the company’s inception in 1983 and was entirely instrumental in setting up CEA Technologies Inc, CEA Technologies’ US presence.

But beyond CEA, David became the first President of the ACT Exporters’ Network in 2003.  “He was extremely active in this role, constantly meeting with business and government representatives to further the export goals of ACT and surrounding region exporters across all industry sectors and at varying levels of export capabilities” says Brooke Anderson, Manager, ACT Exporters’ Network. 

David continues to play a pivotal role in developing an export culture within CEA Technologies, local start up businesses and in the Territory generally.  David’s experience has been invaluable in guiding companies like Seeing Machines through the global product development stage. 

The Governor General, Her Excellency Ms Quentin Bryce AC and His Excellency Mr Michael Bryce AM AE will present David Gaul and five other individuals with the 2009/2010 Australian Export Hero Award at an Induction Ceremony at Government House at 5pm on 30 April 2010.

For more information on the Australian Export Heroes Award or the 2010 ACT Chief Minister’s Export Awards please contact Brooke Anderson on 0400 090 452 or at brooke.anderson@canberrabusinesscouncil.com.au